How long does it take the IRS to process an electronic payment?
Published on February 28, 2023
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The time that the IRS takes to process electronic payments depends on which payment method the taxpayer uses. Here’s what to expect:
- Direct pay: This is a bank transfer that is usually processed within 1 business day.
- Debit or credit card payments: This can take 1 to 2 business days, depending on the payment processor.
- Electronic Federal Tax Payment System (EFTPS): Payments scheduled before 8 PM ET on a business day are processed the following business day.
- Same-day wire transfer: Generally processed on the same day if submitted before the bank’s cutoff time.
Where can I check the status of my payment?
You can check your payment status on the IRS website or through your payment channel’s payment history. If it takes longer than expected, you may need to contact the IRS or your payment provider.
What is the Electronic Federal Tax Payment System (EFTPS)?
The Electronic Federal Tax Payment System (EFTPS) is a free and secure system that allows businesses and individuals to pay federal taxes online or by phone. One of the main benefits of this payment channel is that there are no additional fees with 24/7 access.
EFTPS is provided by the US treasury, making the payment process faster and having immediate payment confirmation.
How do I enroll in EFTPS?
You can go to EFTPS official website to learn more. There is an enrollment tab in which you can enroll. You just need to provide your Individual Taxpayer Identification Number (ITIN), banking information, and other required details.
Once you’ve completed the process, you will receive a PIN via mail (within 5-7 business days) to activate your account. Then, once activated, you can schedule and manage payments online.
Does the IRS offer payment plan options?
Yes! Luckily, the IRS offers payment plan options for taxpayers who can’t pay their full tax bill immediately. There are short-term for less than 180 Days, long-term on an installment agreement, and an Offer in Compromise (OIC) if you can’t afford to pay your full tax debt.
You can set up a payment plan tool via the IRS Payment Plan Tool or call them at 1-800-829-1040.
How long does it take for the IRS to process an e-filed tax return?
E-filed tax returns are usually processed as fast as 21 days or earlier. Just ensure that there are no errors or additional reviews required from your tax return.
How long does it take to process a paper-filed tax return?
For paper returns, it can take approximately 4-6 weeks and longer during peak season. This is to say that the tax return has no errors as well and the IRS has no backlogs.
Why use the IRS Streamlined Tax Amnesty Program?
It’s for American citizens that didn’t know they had to file US tax returns each year, and have therefore fallen behind. Some more than 30 years! With the IRS Streamlined Procedure, say goodbye to overdue tax returns, late fees, and penalties.
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How long will it take to receive my tax refund?
It also depends on how you filed and how you chose to receive your refund. You can review it here:
- E-filed tax return
- Direct Deposit: 21 days or less
- Paper Check: 4-6 weeks
- Paper-filed tax return
- Direct Deposit: 4-6 weeks
- Paper Check: 6-8 weeks
What can delay my tax refund?
Here are some things to review on your tax return to check the cause of the delay:
- Filing errors (incorrect SSN/ITIN, missing information, computation mistakes)
- Identity verification issues
- Claiming certain credits (e.g., Earned Income Tax Credit or Additional Child Tax Credit may delay refunds until mid-February)
- IRS audits or additional reviews
How long does an amended return take to process?
If you amended your tax return or filed Form 1040-X, the processing can take up to 20 weeks. So, it’s important to double check your information and the amounts to lessen the wait time and hassle.
How do I troubleshoot a rejected payment?
If your payment bounced or was rejected, check to see if you have insufficient funds, incorrect bank details, or a closed bank account. If all of these are fine, you need to resubmit the payment ASAP to avoid penalties.
If you’re using EFTPS, you can check for any errors in your online account before resubmitting.
I accidentally overpaid. How can I get a refund?
In this instance, the IRS will automatically refund overpayments if you don’t have any outstanding tax debt. If you don’t receive a refund, you can file Form 843 or a Claim for Refund and Request for Abatement.
For refund requests already over 6 weeks, you can call the IRS for further support.
My payment went through, but I was still charged a penalty. What should I do?
You can request a Penalty Abatement if the late payment was due to a reasonable cause (e.g., banking error, medical emergency). Additionally, you can file Form 843 or call the IRS to request penalty relief.
Who should I contact for specific payment issues?
Here are the available numbers you can call for specific issues:
|
Issue |
IRS contact |
|
Individual Tax Payments |
1-800-829-1040 |
|
Business Tax Payments |
1-800-829-4933 |
|
EFTPS Support |
1-800-555-4477 |
|
Amended Return Payments |
1-866-464-2050 |
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