How does the Cash Payment Option for Taxes Work?

Posted by on June 1, 2016 · Leave a Comment 

If you are unable to pay your taxes through any other form of currency other than cash, it is important for you to know that the Internal Revenue Service is now providing services for cash-only taxpayers. The IRS is working in coordination with companies, such as ACI Worldwide, the PayNearMe Company, and 7-Eleven in order to provide this option.CashPaymentOption

How It Works

Taxpayers interested in paying their taxes with cash, need to visit the IRS’s official website and select the cash option button in the “other ways” section of website’s payments page. From there, they will receive an official email from OfficialPayments.com to confirm their information.

Once the taxpayer responds and all information is verified, PayNearMe sends an email link with a payment code and instructions on how to use that code to pay for taxes. This code can be printed or sent to a taxpayer’s smartphone along with a list of 7-Eleven stores which participate in the Cash Payment Option program. All taxpayers are provided with a receipt once the transaction is completed. Payment is usually processed by the IRS within two business days.

In addition, taxpayers participating in this program can only pay up to $1,000 per day, and are subject to $3.99 service charge for each transaction that they make.

Using the Option

If you are considering using this option to pay your taxes, start the process well in advance of your tax payment deadline. The option is a three-step process and the IRS encourages early enrollment.

Image credit: Kurtis Garbutt

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