Using Electronic Federal Tax Payment System EFTPS

By | November 24, 2015

How do you use Electronic Federal Tax Payment System EFTPS to pay taxes and estimated taxes?

Now let’s talk about how to pay your Federal taxes.IRS direct pay is a new secure service to pay an individual tax bill or estimated tax payments directly from your checking or savings account at no cost to you. You’ll receive instant confirmation that your payment has been submitted. Your bank account information is not retained in IRS systems after payments are made. Also, if you have already made a payment through direct pay, you can use the Look Up a Payment feature to view your payment details and status. There you can modify or cancel your payment until two business days before your payment date.


Pay your Federal taxes using the Electronic Federal Tax Payment System (EFTPS)

You can also pay your Federal taxes using the Electronic Federal Tax Payment System. It’s a payment system provided free by the U.S. Department of Treasury. By using this system, you can pay Federal taxes electronically via the Internet or by phone 24 hours a day/7 days a week. Businesses and individuals can pay all their Federal taxes using the Electronic Federal Tax Payment System. Individuals can pay their quarterly 1040 estimated taxes electronically using EFTPS; and they can make payments weekly, monthly or quarterly.


Who can use EFTPS to pay taxes online?

Both businesses and individual payments can be scheduled in advance. EFTPS via the Internet is a secure government website that allows users to make Federal tax payments.Every user must have a secure Internet browser to access the site.


Using EFTPS and IRS Website

To log onto the system, an enrolled user must authenticate it with three pieces of unique information: taxpayer identification number, and again, that’s going to be your EIN or Social Security number; the EFTPS personal identification number or pin; and an Internet password. The combination of these three pieces of identification adds to the security of the site and the privacy of your data. To use EFTPS, you must first enroll.To enroll, or for more information online, visit and select the EFTPS link.


What is IRS Free File for Self Employed Individuals?

Now let’s talk about Free File. It makes filing your Federal tax returns easy if your income is less than $60,000 a year. The Free File software does the hard work for you, with free tax preparation and free e-Filing. It’s available only through the www.irs. gov website where tax software companies make their products available for free. Some also support State tax returns for free. Go to and select the Free File link on the Home Page to take advantage of this option. Regardless of income, everyone can use online fillable forms, which are electronic versions of the IRS’s paper forms. This option is best for people who are comfortable preparing their tax returns but want the advantages of fast, free, and secure e-Filing.


Who can use IRS efile to pay taxes?

Fillable forms do only basic math and do not support State tax returns. Everyone can file their Federal tax return electronically with IRS e-File. The advantages of e-File are receiving your refund in half the time or, if you owe taxes, payment options are available.Buy tax preparation software either over the counter or online, prepare your own returns, and press Send to e-File. Your return is sent through e-mail in a safe and secure manner. Prices do vary so shop around. Or use Free File if you qualify. Or you could find a tax professional you trust to prepare and e-File your return. It’s still a good idea to tell your tax preparer you want the advantages of e-File.