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Old Mar 1, 14, 5:59 pm   #211
 
Join Date: Mar 2007
Location: S Cal
Programs: AA Lifetime Plat, British Air, United, Marriott Gold, Starwood, Priority Club Plat
Posts: 693
Quote:
Originally Posted by Roka View Post
Is there a way to avoid the two payments per provider per quarter limit?
http://boardingarea.com/frequentmile...-paying-taxes/

That's an older post by Frequent Miler, so the techniques for earning 5x that he discusses are now kaput, but if you read down you will find the following:

Another option was presented to me by Official Payment Corporation. They told me the following in writing (email writing, that is):

If you need to make more than two payments for each quarter, please contact Official Payments customer service at (800) 487-4567 and an associate will be able to assist with processing additional payments.

I called their phone number to confirm this. Could I really make more than two 1040-ES payments per quarter by doing so over the phone? “Yes, no problem,” I was told. Interesting. Official Payment Corporation charges 46 cents more than payUSAtax per debit transaction ($3.95 vs. $3.49), but offers a way to make as many payments as you’d like.


FM is discussing using VISA debit cards to make estimated tax payments. VISA debit cards are still around (such as the OneVanilla VISA gift card), usually in denominations up to $500. But I have no idea if Official Payments would accept multiple payments using larger denomination instruments than a $500 VISA debit card.

By the way, today is March 1, so it is now possible to make 2014 Estimated Tax payments online.
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Old Mar 2, 14, 9:54 am   #212
 
Join Date: Aug 2012
Location: SEA
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Quote:
Originally Posted by josephstern View Post
Applying an overpayment just moves MS forward.

In my mind, it's fine to overpay quarterly estimates a bit and then get a refund when you file the return. I even did back before MS just to steer clear of penalties (by check!).
I did this by accident a few quarters ago, and it turned into a hassle. There are so much more efficient ways of MS-ing that I'd be reluctant to intentionally use this method for MS, minimum spend, or otherwise.
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Old Mar 2, 14, 11:06 am   #213
 
Join Date: May 2010
Location: SoCal
Programs: SPG PLAT, AA Plat (2MM), BA, UA/CO
Posts: 415
Am I overlooking options?

Here's what I see as available and why it doesn't work for me. I'd appreciate hearing, here or by PM, any options I'm overlooking or misunderstandings I have. TIA.

CC - too expensive.
ST - shut me down.
BofA Alaska - no credit for taxes.
UFB - 1500 daily max, so a little expensive for 750 AA points.
VISA GCs - 500 limit makes this a hassle, assuming it's scalable by phoning

xlax
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Old Mar 2, 14, 11:09 am   #214
 
Join Date: May 2010
Location: SoCal
Programs: SPG PLAT, AA Plat (2MM), BA, UA/CO
Posts: 415
Quote:
Originally Posted by xlax View Post
Here's what I see as available and why it doesn't work for me. I'd appreciate hearing, here or by PM, any options I'm overlooking or misunderstandings I have. TIA.

CC - too expensive.
ST - shut me down.
BofA Alaska - no credit for taxes.
UFB - 1500 daily max, so a little expensive for 750 AA points.
VISA GCs - 500 limit makes this a hassle, assuming it's scalable by phoning

xlax
Forgot one - BB/serve (and their ugly non-AmEx stepsisters)
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Old Mar 2, 14, 9:26 pm   #215
 
Join Date: Nov 2007
Location: PHX
Programs: US CP; AA LTG; HH Dia; SPG Plat; Marriott Gold
Posts: 3,431
My vaniila debit used to be a good option. I was able to use it to turn vrs into tax payments every quarter, and while others got shut down left and right, I seemed to be fine using it only for tax payments. I was able to do more than 2 per quarter calling payusatax. But, alas, something has changed at my vanilla debit and I got shut down this month for not very much activity at all.

I think at this point the best option is gift cards, but again I can see where those with large bills would be unhappy about multiple $500 phone calls.
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Old Mar 4, 14, 5:41 am   #216
 
Join Date: Mar 2013
Location: Eastern Pa
Programs: United Gold
Posts: 359
http://boardingarea.com/frequentmile...-credit-cards/

I find this post useful this time of year.
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Old Mar 8, 14, 2:06 pm   #217
 
Join Date: Jun 2010
Posts: 253
I tried calling Official Payments to make more than two payments in same quarter, but was told no. Anyone have recent success?
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Old Mar 10, 14, 9:44 am   #218
 
Join Date: Aug 2011
Posts: 36
When filing your taxes in turbotax do you just choose pay by mail and then once you are done go to a website like paytaxusa and then use a debit like the Myvanilla which is loaded with enough VR's to cover your tax bill?

Last edited by dr0832; Mar 10, 14 at 10:01 am.
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Old Mar 26, 14, 9:58 am   #219
 
Join Date: Feb 2014
Posts: 184
Should I use a CC to pay my taxes, and if so, which one?

I am getting ready to do my tax return and I anticipate a fairly significant liability ($20K - $30K). I am considering using my Chase SWA card, or possibly my Chase UA card, to pay this balance. I have a few questions that I am hoping y'all can answer for me:

Assuming a $30K liability, does anyone know the fee that I will need to pay when using a credit card?

If I use my SWA card, will the spend count toward CP eligibility (I have the personal Premier card)?

Alternatively, if I use the UA card I will get 45,000 miles (I have the Club card which gives me 1.5 miles per dollar spent). Will this be a better option?

I also have the SPG Amex, Amex Platinum, FIA Amex (2% CB), Discover, and Chase Freedom cards. Should I consider using one of these instead?

My initial thought is to use the SWA card and also shift most of my other spending to that card to try for CP eligibility. It would be tight, but I think I could get there without actually flying on WN at all this year. This will only work if all CC spending qualifies for CP eligibility. I believe it does, but please correct me if I am wrong.
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Old Mar 26, 14, 11:07 am   #220
 
Join Date: Sep 2011
Posts: 188
Generally CC for taxes isn't a good deal. Most providers that allow this will charge 2%+, offsetting any reward you may gain. A better way would be to use some MS techniques to convert your credit spend into debit spend, which is much cheaper (but time consuming).

The only time using a CC MAY make sense is if you're trying to hit some type of min spend from a CC (either large spend bonus or signup bonuses). In that case you're basically buying miles/points and will need to make the decision yourself whether it is worth it or not. Is hitting the spend for XXXX bonus worth ~$690 (assuming 30k tax)??
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Old Mar 26, 14, 12:42 pm   #221
 
Join Date: Feb 2014
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Quote:
Originally Posted by cornellfOo View Post
Generally CC for taxes isn't a good deal. Most providers that allow this will charge 2%+, offsetting any reward you may gain. A better way would be to use some MS techniques to convert your credit spend into debit spend, which is much cheaper (but time consuming).

The only time using a CC MAY make sense is if you're trying to hit some type of min spend from a CC (either large spend bonus or signup bonuses). In that case you're basically buying miles/points and will need to make the decision yourself whether it is worth it or not. Is hitting the spend for XXXX bonus worth ~$690 (assuming 30k tax)??
Just curious.... why $690? That's 2.3%. Is that the typical fee?
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Old Mar 26, 14, 1:04 pm   #222
 
Join Date: Sep 2011
Posts: 188
Sorry I wasn't clear-that number was off the top of my head. It is the fee that my local property tax collector charges so I just went with it. According to this page on IRS.gov[1], certain operators can get that fee down to ~1.87%. Same decisions still apply, though-is it worth the ~$561 cost?

[1] http://www.irs.gov/uac/Pay-Taxes-by-...-or-Debit-Card

Last edited by cornellfOo; Mar 26, 14 at 1:05 pm. Reason: formatting
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Old Mar 26, 14, 1:45 pm   #223
 
Join Date: Feb 2014
Posts: 184
Quote:
Originally Posted by cornellfOo View Post
Sorry I wasn't clear-that number was off the top of my head. It is the fee that my local property tax collector charges so I just went with it. According to this page on IRS.gov[1], certain operators can get that fee down to ~1.87%. Same decisions still apply, though-is it worth the ~$561 cost?

[1] http://www.irs.gov/uac/Pay-Taxes-by-...-or-Debit-Card
Thanks

The other consideration is the 1.5 month float on the $30K. Not worth a whole lot given the extremely low interest rates out there, but assuming a 1% annual rate, its $37.50. Gets the cost down to $524 or so for 45,000 UA miles, or 1.2 cpm if I go that route.

Or I could just use the 2% cash back FIA Amex and make a straight profit of $76 in cash.

Sorry. I tend to be a tad bit anal.....
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Old Apr 6, 14, 10:05 am   #224
 
Join Date: Jul 2003
Location: MSY
Posts: 229
CITI AA to buy Prepaid Debit to save fees to pay taxes?

I'm thinking of applying for the AA CITI 100K offer and just realized that the minimum spending would be just about covered by our upcoming tax payment.

The lowest fee would be 1.87% or $187. Seems the debit card fee is less.

Can I buy prepaid debit cards with the AA CITI card? I'd then meet the minimum for the 100K offer AND save the 1.87% fee?

I've always paid taxes with a check but seems silly to throw away the opportunity to immediately meet the min spending.

No finance charge for the balance as I'd pay that off immediately.

Thoughts?

Jen
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Old Apr 7, 14, 12:55 pm   #225
 
Join Date: Mar 2007
Location: S Cal
Programs: AA Lifetime Plat, British Air, United, Marriott Gold, Starwood, Priority Club Plat
Posts: 693
Yes, you could likely buy prepaid debit cards with your credit card and use those to pay taxes. BUT there is a big BUT.

It sounds like you are looking to make a large tax payment. Prepaid debit cards generally come in denominations up to $500. There are 3 websites that will accept debit card payments for taxes, but each website limits you to 2 online payments. So you could pay up to 500 x 6 = $3000 in taxes this way (less the fees for using a debit card). You've still got a long way to go to meet your required spend on your AA card, but at least you've made a dent in it.

One of the websites that accepts online payments will possibly accept additional payments (more than 2) if you phone. I did try phoning, but gave up after I seemed to be on interminable hold. Perhaps your patience is greater than mine.

Frequent miler posted a basic primer on paying taxes by credit card today: http://boardingarea.com/frequentmile...part-1-primer/
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