EFTPS or Electronic Federal Tax Payment System offers an easy way for federal tax payments electronically 24 hours a day and 7 days a week. EFTPS allows payments by transfer of funds the taxpayer’s bank account to the federal government’s account. The good point is that IRS records for the taxpayer is automatically updated. This post is a collection of most frequently asked questions on EFTPS.
1.What is EFTPS?
The EFTPS or Electronic Federal Tax Payment System is a free service by the U.S. Department of the Treasury that allows taxpayers to make tax payments either by using the EFTPS® Voice Response System or online.
2.Who can use EFTPS?
The free and convenient service of electronic payments through EFTPS can be used by almost all individuals, federal agencies, businesses, tax professionals, and payroll services.
3.Is EFTPS Safe?
IRS website on eftps , clears the air around this question by saying as under :
EFTPS® is a secure government web site that allows users to make federal tax payments electronically. Every user must have a secure Internet browser with 128-bit encryption in order to access the site. To log on to the system, an enrolled user must be authenticated with three pieces of unique information: Taxpayer Identification Number (EIN or SSN), EFTPS® Personal Identification Number (PIN) and an Internet Password. The combination of these three pieces of identification adds to the security of the site and the privacy of taxpayer data.
4.How do I pay Eftps?
First, you need to enroll to EFTPS . For this or for more information on enrollment, visit EFTPS® or call EFTPS® Customer Service to request an enrollment form:
- 1-877-333-8292 (Federal Agencies)
- 1-800-733-4829 (TDD Hearing-Impaired)
- 1-800-244-4829 (Español)
5.What is the difference between IRS direct pay and EFTPS?
Good question. Yes, a taxpayer can pay taxes using the Direct Pay which is also a free online method of payment Like EFTPS, Direct Pay is a free online payment system. Click image for FAQs on IRS Direct Pay. And also like EFTPS, Direct Pay will take money from your designated checking or savings account to cover your tax bill. But unlike EFTPS, Direct Pay is available without having to pre-register.
When you successfully enrolled to EFTPS, you will be given the 4-digit EFTPS PIN and the password. Both credentials are required when e-paying your 940 and 941/944.
You can cancel the EFTPS payments if the payment is more than two business days before the payment is scheduled to be made. For this go to EFTPS website, login and click on Payments from the home page. Then, click Cancel a Tax Payment on the left menu, and follow the onscreen instructions.