Paying your taxes with a credit card that has a 0% APR might work to your advantage — especially if you earn rewards for money spent using your credit card. My Account. Benzinga Edge.

When your credit card rewards are not taxable. If you earn income, you generally have to pay taxes on it, but if you earn rewards for spending money on your credit card, you typically don't have ...

The downsides of paying your taxes with a credit card. John Thompson, vice president at Spruce, H&R Block’s mobile banking app, doesn’t mince words about the downsides.

For those paying taxes via credit card through a third-party processor, you'll pay the following convenience fees: Pay1040: 1.75% fee with a $2.50 minimum fee; ...

Your tax bill has come and gone with you still owing money because you’re a little strapped for cash. Or maybe you’re considering alternative payment options for your upcoming ...

So if you pay your taxes with your credit card at the beginning of your 30-day statement period and have a 25-day grace period, then you could get up to 55 days to pay your balance interest-free.

If you file and pay using tax software such as TurboTax, your fees might be even higher. The TurboTax credit card fee, for example, is 2.49% if you pay income tax via credit card through its website.

Earn credit card rewards. If you use a rewards credit card to pay your taxes, you can earn cash back, points or miles.. For instance, if you owe $1,000 to the IRS and pay it with a credit card ...