Table of Contents In this article

Why You Can Trust CNET Money

CNET Money’s mission is to help you maximize your financial potential. Our recommendations are based on our editors’ independent research and analysis, and we continuously update our content to reflect current partner offers. How we rate credit cards
Advertiser Disclosure

CNET editors independently choose every product and service we cover. Though we can’t review every available financial company or offer, we strive to make comprehensive, rigorous comparisons in order to highlight the best of them. For many of these products and services, we earn a commission. The compensation we receive may impact how products and links appear on our site.

Best Credit Cards for Paying Your Taxes in December 2023

Not all credit cards are worth using to pay your taxes, but a few make the cut.

  • CNET'S PICK
    CNET Rating CNET rates credit cards by comparing their offers to those of their categorical competitors. Each card is individually evaluated through a formula which reflects the standards and expectations of the contemporary market. Credit card issuers have no say or influence in our ratings. How we rate credit cards
    9.5/10
    Annual Fee $0
    Rewards Rate
    2% Earn unlimited 2% cash rewards on purchases
    Intro offer available Earn a $200 cash rewards bonus after spending $500 in purchases in the first 3 months
    Apply Now with Wells Fargo
  • CNET Rating CNET rates credit cards by comparing their offers to those of their categorical competitors. Each card is individually evaluated through a formula which reflects the standards and expectations of the contemporary market. Credit card issuers have no say or influence in our ratings. How we rate credit cards
    7.5/10
    Annual Fee $0
    Rewards Rate
    1% - 5% Earn 5% cash back on everyday purchases at different places each quarter like Amazon.com, grocery stores, restaurants, and gas stations, up to the quarterly maximum when you activate. ; Earn 1% unlimited cash back on all other purchases – automatically.
    Intro offer available Intro Offer: Unlimited Cashback Match - only from Discover. Discover will automatically match all the cash back you've earned at the end of your first year! There's no minimum spending or maximum rewards. You could turn $150 cash back into $300.
  • CNET Rating CNET rates credit cards by comparing their offers to those of their categorical competitors. Each card is individually evaluated through a formula which reflects the standards and expectations of the contemporary market. Credit card issuers have no say or influence in our ratings. How we rate credit cards
    8/10
    Annual Fee $0
    Rewards Rate
    2% - 5% Earn 2% on every purchase with unlimited 1% cash back when you buy, plus an additional 1% as you pay for those purchases. To earn cash back, pay at least the minimum due on time.; Plus, for a limited time, earn 5% total cash back on hotel, car rentals and attractions booked on the Citi Travel℠ portal through 12/31/24.
    Intro offer available Earn $200 cash back after you spend $1,500 on purchases in the first 6 months of account opening. This bonus offer will be fulfilled as 20,000 ThankYou® Points, which can be redeemed for $200 cash back.
    Apply Now with Citi
CNET'S PICK
Best cash-rewards and welcome offer combo

Wells Fargo Active Cash® Card

9.5/10 CNET Rating CNET rates credit cards by comparing their offers to those of their categorical competitors. Each card is individually evaluated through a formula which reflects the standards and expectations of the contemporary market. Credit card issuers have no say or influence in our ratings. How we rate credit cards
Apply Now with Wells Fargo

This story is part of Taxes 2023, CNET’s coverage of the best tax software, tax tips and everything else you need to file your return and track your refund.

If you owe the IRS money this tax season, you could use the right credit card to make your tax payment. Though paying your taxes with a credit card may not be the best choice for all scenarios, especially if you’re in the red or don’t expect to be able to pay off your balance soon, there are circumstances that can make it lucrative.

If you’re facing a lot of debt already or your credit is not in good standing, working out a payment plan with the IRS might be a better, lower-interest option. Even the best credit cards for bad credit don’t have the perks to make this maneuver worthwhile. But if you have good credit, you can use a card that earns you some combination of rewards, a welcome bonus and interest-free financing to make the transaction advantageous.

Keep in mind that the IRS and state websites typically charge nearly 2% to process credit card transactions, while online tax software services may charge as high as 2.49%. So you’ll want the right mix of credit card benefits -- plus no annual fee -- to neutralize processing fees and reap the benefits.

Here’s what you need to know if you’re considering using a credit card this tax season.

How do you pay taxes with a credit card?

You can make your payment directly on the IRS website, with your choice of three different third-party payment processors for a credit or debit card. Each processor charges about 2%, but it can be more expensive if you use a credit card to file your taxes using an online software service like TurboTax or H&R Block.

The fees are broken down in this chart on the IRS website. You can pay directly by selecting a “make a payment” under the payment processor of your choosing from this page.

2023 credit card payment processors for taxes: IRS
Screenshot by Courtney Johnston/CNET; IRS

Read more

You can also pay by calling the payment processors directly using the numbers listed on the IRS site. The same fees will apply. 

The IRS says your transaction is safe and secure, and your information will be used solely to make your payment. And it notes that the agency doesn’t see any part of the card service fee, which you can deduct for business taxes. If you’re worried about security, though, using a virtual credit card can offer additional privacy.

There are some limits on the number of credit card payments you can make with the IRS per year -- you’re limited to two in most cases, and you can use two different credit cards for each payment if you want. If you own a business or are self-employed, you can also use your credit card to make estimated tax payments throughout the year.

The benefits of paying taxes with a credit card

If you’re going to pay your taxes with a credit card, you can rack up some bonus rewards points or get cash back. Maybe you’ve recently opened up a card with a signup bonus or welcome offer that requires you to put a certain amount on your card within a specific time frame. Or maybe you have a card that offers benefits once you reach a particular spending threshold, like the X1 Card. Charging your taxes could help you get there.

In general, you’ll want to make sure your credit card’s rewards return rate percentage exceeds the payment processor fee percentage. For example, if you’re paying with a credit card using Pay1040, the fee is 1.87%. It’s only worth charging your taxes if you’re using a card with a reward rate that’s at least 2%.

For some, the primary benefit of using a credit card to pay your taxes will be the extra few weeks you’ll have to scrape together a payment. But be careful. Note your statement close date and how long you’ll have to pay the balance off in full -- because there are some major risks in using a credit card to pay your taxes. 

Read more

Best credit cards for paying your taxes

If you do decide to pay your taxes with a credit card, below are our picks and partner offers for the cards with the best combinations of rewards rates, welcome bonuses and introductory 0% APR offers to mitigate the burden of putting your taxes on a credit card. 

CNET’S PICK
9.5/10
CNET Rating CNET rates credit cards by comparing their offers to those of their categorical competitors. Each card is individually evaluated through a formula which reflects the standards and expectations of the contemporary market. Credit card issuers have no say or influence in our ratings. How we rate credit cards
Apply Now
with Wells Fargo
Intro Offer
$200 cash rewards Earn a $200 cash rewards bonus after spending $500 in purchases in the first 3 months
Annual Fee
$0
Rewards Rate
2% Earn unlimited 2% cash rewards on purchases
Rec. Credit Recommended Credit: A credit score is used to indicate an applicant’s credit worthiness and may provide guidance about account eligibility. It does not necessarily guarantee approval for any financial product.
670 – 850 Good – Excellent
APR
20.24%, 25.24%, or 29.99% Variable APR

The 2% flat cash-rewards rate essentially negates the IRS processor fees, and if you put at least $500 worth of taxes on this card within the first three months of account opening, you’ll earn the $200 cash rewards welcome bonus.

See our full review of the Wells Fargo Active Cash Card for more details.

Intro Balance Transfer APR
0% intro APR for 15 months from account opening on qualifying balance transfers
Intro Purchase APR
0% intro APR for 15 months from account opening
Regular APR
20.24%, 25.24%, or 29.99% Variable APR
Balance Transfer Fee
up to 5%, min: $5
2%
Earn unlimited 2% cash rewards on purchases

The 2% flat cash-rewards rate essentially negates the IRS processor fees, and if you put at least $500 worth of taxes on this card within the first three months of account opening, you’ll earn the $200 cash rewards welcome bonus.

See our full review of the Wells Fargo Active Cash Card for more details.

Intro Balance Transfer APR
0% intro APR for 15 months from account opening on qualifying balance transfers
Intro Purchase APR
0% intro APR for 15 months from account opening
Regular APR
20.24%, 25.24%, or 29.99% Variable APR
Balance Transfer Fee
up to 5%, min: $5
2%
Earn unlimited 2% cash rewards on purchases
7.5/10
CNET Rating CNET rates credit cards by comparing their offers to those of their categorical competitors. Each card is individually evaluated through a formula which reflects the standards and expectations of the contemporary market. Credit card issuers have no say or influence in our ratings. How we rate credit cards
Intro Offer
Cashback Match™ Intro Offer: Unlimited Cashback Match – only from Discover. Discover will automatically match all the cash back you’ve earned at the end of your first year! There’s no minimum spending or maximum rewards. You could turn $150 cash back into $300.
Annual Fee
$0
Rewards Rate
1% – 5% Earn 5% cash back on everyday purchases at different places each quarter like Amazon.com, grocery stores, restaurants, and gas stations, up to the quarterly maximum when you activate. ; Earn 1% unlimited cash back on all other purchases – automatically.
Rec. Credit Recommended Credit: A credit score is used to indicate an applicant’s credit worthiness and may provide guidance about account eligibility. It does not necessarily guarantee approval for any financial product.
670 – 850 Good – Excellent
APR
17.24% – 28.24% Variable APR

The Discover it® Cash Back* offers the Unlimited Cashback Match™ as a welcome bonus, meaning in addition to the 1% you earn when you make a transaction with this card, Discover will match your total cash back at the end of your first year. This nets you a total of 2% to cover the processor fees -- and then you can also take advantage of the 0% introductory APR on purchases for 15 months (17.24% to 28.24% variable APR thereafter).

See our full review of the Discover it Cash Back for more details.

Intro Balance Transfer APR
0% for 15 months
Intro Purchase APR
0% for 15 months
Regular APR
17.24% – 28.24% Variable APR
Balance Transfer Fee
3% intro balance transfer fee, up to 5% fee on future balance transfers (see terms)*
5%
Earn 5% cash back on everyday purchases at different places each quarter like Amazon.com, grocery stores, restaurants, and gas stations, up to the quarterly maximum when you activate.
1%
Earn 1% unlimited cash back on all other purchases – automatically.

The Discover it® Cash Back* offers the Unlimited Cashback Match™ as a welcome bonus, meaning in addition to the 1% you earn when you make a transaction with this card, Discover will match your total cash back at the end of your first year. This nets you a total of 2% to cover the processor fees -- and then you can also take advantage of the 0% introductory APR on purchases for 15 months (17.24% to 28.24% variable APR thereafter).

See our full review of the Discover it Cash Back for more details.

Intro Balance Transfer APR
0% for 15 months
Intro Purchase APR
0% for 15 months
Regular APR
17.24% – 28.24% Variable APR
Balance Transfer Fee
3% intro balance transfer fee, up to 5% fee on future balance transfers (see terms)*
5%
Earn 5% cash back on everyday purchases at different places each quarter like Amazon.com, grocery stores, restaurants, and gas stations, up to the quarterly maximum when you activate.
1%
Earn 1% unlimited cash back on all other purchases – automatically.
A long introductory APR with no annual fee

BankAmericard® credit card

8.75/10
CNET Rating CNET rates credit cards by comparing their offers to those of their categorical competitors. Each card is individually evaluated through a formula which reflects the standards and expectations of the contemporary market. Credit card issuers have no say or influence in our ratings. How we rate credit cards
BankAmericard® credit card
Annual Fee
$0
Rewards Rate
N/A This card doesn’t offer cash back, miles, or points
Rec. Credit Recommended Credit: A credit score is used to indicate an applicant’s credit worthiness and may provide guidance about account eligibility. It does not necessarily guarantee approval for any financial product.
670 – 850 Good – Excellent
APR
16.24% – 26.24% Variable APR on purchases and balance transfers

The BankAmericard® credit card is a great choice if you’re looking for a card with a long 0% introductory APR for purchases and balance transfers. Cardholders will get 18 billing cycles to pay off new purchases or a transferred balance before the standard APR of 16.24% to 26.24% variable applies. Balance transfers must be completed within 60 days of opening the account.

While the card offers no rewards, which means you’ll have no buffer between you and any processing fees, it will give you one of the longest time periods on the market to pay off your taxes.

Intro Balance Transfer APR
0% Intro APR for 18 billing cycles for any BTs made in the first 60 days. A 3% fee applies.
Intro Purchase APR
0% Intro APR for 18 billing cycles for purchases
Regular APR
16.24% – 26.24% Variable APR on purchases and balance transfers
Balance Transfer Fee
3% of the amount of each transaction
N/A

The BankAmericard® credit card is a great choice if you’re looking for a card with a long 0% introductory APR for purchases and balance transfers. Cardholders will get 18 billing cycles to pay off new purchases or a transferred balance before the standard APR of 16.24% to 26.24% variable applies. Balance transfers must be completed within 60 days of opening the account.

While the card offers no rewards, which means you’ll have no buffer between you and any processing fees, it will give you one of the longest time periods on the market to pay off your taxes.

Intro Balance Transfer APR
0% Intro APR for 18 billing cycles for any BTs made in the first 60 days. A 3% fee applies.
Intro Purchase APR
0% Intro APR for 18 billing cycles for purchases
Regular APR
16.24% – 26.24% Variable APR on purchases and balance transfers
Balance Transfer Fee
3% of the amount of each transaction
N/A
8/10
CNET Rating CNET rates credit cards by comparing their offers to those of their categorical competitors. Each card is individually evaluated through a formula which reflects the standards and expectations of the contemporary market. Credit card issuers have no say or influence in our ratings. How we rate credit cards
Apply Now
with Citi
Intro Offer
$200 cash back Earn $200 cash back after you spend $1,500 on purchases in the first 6 months of account opening. This bonus offer will be fulfilled as 20,000 ThankYou® Points, which can be redeemed for $200 cash back.
Annual Fee
$0
Rewards Rate
2% – 5% Earn 2% on every purchase with unlimited 1% cash back when you buy, plus an additional 1% as you pay for those purchases. To earn cash back, pay at least the minimum due on time.; Plus, for a limited time, earn 5% total cash back on hotel, car rentals and attractions booked on the Citi Travel℠ portal through 12/31/24.
Rec. Credit Recommended Credit: A credit score is used to indicate an applicant’s credit worthiness and may provide guidance about account eligibility. It does not necessarily guarantee approval for any financial product.
580 – 850 Fair – Excellent
APR
19.24% – 29.24% (Variable)

The Citi Double Cash® Card is another option that gives you the opportunity to earn enough cash-back rewards to meet or exceed the processor fees. You earn 1% when you make the transaction, and another 1% when you make the corresponding payments.

See our full review of the Citi Double Cash Card for more details.

Intro Balance Transfer APR
0% intro for 18 months on Balance Transfers
Intro Purchase APR
N/A
Regular APR
19.24% – 29.24% (Variable)
Balance Transfer Fee
There is an intro balance transfer fee of 3% of each transfer (minimum $5) completed within the first 4 months of account opening. A balance transfer fee of 5% of each transfer ($5 minimum) applies if completed after 4 months of account opening.
5%
Plus, for a limited time, earn 5% total cash back on hotel, car rentals and attractions booked on the Citi Travel℠ portal through 12/31/24.
2%
Earn 2% on every purchase with unlimited 1% cash back when you buy, plus an additional 1% as you pay for those purchases. To earn cash back, pay at least the minimum due on time.

The Citi Double Cash® Card is another option that gives you the opportunity to earn enough cash-back rewards to meet or exceed the processor fees. You earn 1% when you make the transaction, and another 1% when you make the corresponding payments.

See our full review of the Citi Double Cash Card for more details.

Intro Balance Transfer APR
0% intro for 18 months on Balance Transfers
Intro Purchase APR
N/A
Regular APR
19.24% – 29.24% (Variable)
Balance Transfer Fee
There is an intro balance transfer fee of 3% of each transfer (minimum $5) completed within the first 4 months of account opening. A balance transfer fee of 5% of each transfer ($5 minimum) applies if completed after 4 months of account opening.
5%
Plus, for a limited time, earn 5% total cash back on hotel, car rentals and attractions booked on the Citi Travel℠ portal through 12/31/24.
2%
Earn 2% on every purchase with unlimited 1% cash back when you buy, plus an additional 1% as you pay for those purchases. To earn cash back, pay at least the minimum due on time.

*All information about the Discover it Cash Back and the BankAmericard has been collected independently by CNET and has not been reviewed by the issuer.

The editorial content on this page is based solely on objective, independent assessments by our writers and is not influenced by advertising or partnerships. It has not been provided or commissioned by any third party. However, we may receive compensation when you click on links to products or services offered by our partners.

Jaclyn is a CNET Money editor who relishes the sweet spot between numbers and words. With responsibility for overseeing CNET's credit card coverage, she writes and edits news, reviews and advice. She has experience covering business, personal finance and economics, and previously managed contracts and investments as a real estate agent. Her tech interests include Tesla, SpaceX, The Boring Company and Neuralink.
Michelle Meyers wrote and edited CNET News stories from 2005 to 2020 and is now a contributor to CNET.