Electronic Funds Tax Payment System
Methods of Compliance
EFTPS is an electronic tax payment system in which the Federal tax payment information and funds move electronically. The electronic payment mechanism used to move the tax payment information and funds use the Automated Clearing House (ACH) network. The
ACH network allows the taxpayer to electronically initiate tax payment transaction against or send it from your bank account.
EFTPS is easy to use. When a taxpayer makes a deposit through EFTPS, the taxpayer has the flexibility of choosing how to make the Federal tax deposit.
If you choose the ACH DEBIT transaction, the government has the right to charge your account for the amount of your liability. The bank can only honor the government request. The system will prompt you to provide the additional payment information needed to update your tax liability with the Internal Revenue Service. The taxpayer sees flexibility and control if this method is selected.
If you choose the ACH CREDIT transaction, the transaction will be initiated by your bank or financial institution. Your account will be charged for the withdrawal and the funds will be sent to the Treasury's General Account. When sending your electronic payment transaction, via ACH CREDIT, you include the additional payment information needed to update your tax liability with the Internal Revenue Service by using extended record formats called addenda. This is the method that we suggest.
Enrollment
The Internal Revenue Service requires enrollment in EFTPS. IRS form 9779 is the form used to enroll your business. This form is used to instruct the IRS about the taxpayer information, contact information, method of payment (either the ACH DEBIT or ACH CREDIT), the various tax forms and financial institution. The IRS will send confirmation that the registration process has been completed.
If you need to enroll, please either go online at www.eftps.gov or call IRS EFTPS Customer Services
Customer Service
The Internal Revenue Service has established a toll free telephone number to call for additional assistance. EFTPS customer service representatives are available from 8:30 a.m. to 8:00 p.m. Eastern Time Monday through Friday. The telephone number is (800) 555-4477.
If you have any questions on the new Electronic Funds Tax Payment System (EFTPS), please contact us today!
EFTPS is an electronic tax payment system in which the Federal tax payment information and funds move electronically. The electronic payment mechanism used to move the tax payment information and funds use the Automated Clearing House (ACH) network. The
ACH network allows the taxpayer to electronically initiate tax payment transaction against or send it from your bank account.
EFTPS is easy to use. When a taxpayer makes a deposit through EFTPS, the taxpayer has the flexibility of choosing how to make the Federal tax deposit.
If you choose the ACH DEBIT transaction, the government has the right to charge your account for the amount of your liability. The bank can only honor the government request. The system will prompt you to provide the additional payment information needed to update your tax liability with the Internal Revenue Service. The taxpayer sees flexibility and control if this method is selected.
If you choose the ACH CREDIT transaction, the transaction will be initiated by your bank or financial institution. Your account will be charged for the withdrawal and the funds will be sent to the Treasury's General Account. When sending your electronic payment transaction, via ACH CREDIT, you include the additional payment information needed to update your tax liability with the Internal Revenue Service by using extended record formats called addenda. This is the method that we suggest.
Enrollment
The Internal Revenue Service requires enrollment in EFTPS. IRS form 9779 is the form used to enroll your business. This form is used to instruct the IRS about the taxpayer information, contact information, method of payment (either the ACH DEBIT or ACH CREDIT), the various tax forms and financial institution. The IRS will send confirmation that the registration process has been completed.
If you need to enroll, please either go online at www.eftps.gov or call IRS EFTPS Customer Services
Customer Service
The Internal Revenue Service has established a toll free telephone number to call for additional assistance. EFTPS customer service representatives are available from 8:30 a.m. to 8:00 p.m. Eastern Time Monday through Friday. The telephone number is (800) 555-4477.
If you have any questions on the new Electronic Funds Tax Payment System (EFTPS), please contact us today!
There are other tax-cutting strategies in addition to those mentioned here. If you would like assistance in selecting tax-saving strategies that make the most sense in your situation, contact us today!