Can I use multiple bank accounts to pay my Fed/State taxes due?

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dxchopra
dxchopra Member Newcomer

Hello all,

I am filing my taxes using FreeTaxUSA and noticed I have a large tax liability this year. Can I use 2 bank accounts to pay the taxes due?

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Answers

  • Kellip
    Kellip FreeTaxUSA Agent
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    Hi dxchopra. There is not a way to pay for the same tax liability with two separate accounts. However, you will still have multiple options. You can pay your federal balance due with one account and pay for a state balance due with a different account. Or you can select to pay with an account and only select a certain amount to be paid from that account. Then later go to the federal and/or state site and pay the remaining balance(s).

  • MatthewD
    MatthewD FreeTaxUSA Team
    edited February 22
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    Hi @dxchopra,

    Interesting question. Let me provide some more information. The e-file specs only allow for one bank account to be entered for direct debit, so our software only allows one bank account to be used.

    However, you can use the IRS Payments page to make multiple payments. That way you can pay with two bank accounts.

  • dxchopra
    dxchopra Member Newcomer
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    Thanks @MatthewD and @Kellip. Which option should I select on Federal Taxes Pay page.

    Pay when I e-file

    Pay later

    Do you recommend paying State Taxes due in full? I was thinking of making partial payment for my Federal Taxes for now and maybe use IRS Payments Page link you provided above to make the rest of the payment.

    Please advise.

  • RyanZ
    RyanZ FreeTaxUSA Agent
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    It is recommend to pay all outstanding taxes due as soon as possible to minimize interest and late payment penalties.

    If you are not able to pay the entire amount of federal tax by the due date, another option is to request an Installment Agreement within the software (or you can request the Installment Agreement directly from the IRS). I suggest that you search for "Installment Agreement" in the search bar at the top of the page while logged into FreeTaxUSA and expand the answer, "Where do I enter an Installment Agreement Request (Form 9465)." This help page will provide you additional information to help you decide if that is the right choice for you.

    As for making a recommendation of paying the federal or state taxes due first, I cannot advise you on this.

  • dxchopra
    dxchopra Member Newcomer
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    Hello,
    I already filed my taxes using FreeTaxUSA this year. While my federal tax return was accepted, I was asked to file my state taxes by mail as I had an early withdrawal penalty greater than the interest income generated per one of the 1099-INT form.
    Now, while filing the state taxes I was provided the below instructions on the main page -

    1. Click View or Download to print your Pennsylvania tax return.
    2. Sign and date your return.
    3. Be sure both spouses sign the return.
    4. Include a copy of any W-2s, W-2Gs, or 1099s.
    5. Mail your Pennsylvania tax return to the address listed below.

    Now as can be clearly seen on #3 above, it is mentioned to include 'any' W2 or 1099-INT, however, the pdf generated for my Pennsylvania Tax Return says the below on the Instructions page -
    --> Include a copy of your W-2s and 1099s.

    So, my question is, Do I really need to include all my W-2s and 1099s? OR including any of them would work?
    I have several 1099s and two W2s (for myself and my spouse) and I am not sure whether including all of them is really necessary.
    Please advise.

  • KeriC
    KeriC FreeTaxUSA Agent
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    Please include a copy of all W-2 and 1099 forms with your mailed return.

  • RyanZ
    RyanZ FreeTaxUSA Agent
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    I want to emphasize a COPY of all the W-2 and 1099 forms. Never mail in the original, unless you were provided multiple copies of the same form.