The electronic system allows Americans to pay taxes online.
But can it be used to all of your taxes?
What is EFTPS?
Electronic Federal Tax Payment System (EFTPS) is a federal tax-payment system for paying business taxes online. The system allows payment of income taxes, quarterly estimate taxes, federal employment taxes, and corporate taxes using this tool. Read more about it here.
To use it, you’ll have to sign up on the IRS website. Information about your business bank account will be required for verification. After that, you’ll be able to make payments.
Payments can be scheduled ahead of time, and there is no limit on how many payments you can schedule at once. 15 months of payment history is available on your account. The tool also tracks payment via email notifications.
EFTPS can be used to pay:
- federal payroll taxes: including FICA tax and withholding foe employee federal income tax
- federal unemployment taxes
- corporate income taxes
- estimated taxes for individuals and corporations
- federal excise tax
- payments on instalment agreements: you can make payments on partial-payment installment