Apply for and pay taxes with Sapphire Preferred?

[Anonymous]

I have never actually paid taxes with a credit card, but I am aware that there are third party payment processors that will take something along the lines of a 1.87% for credit card pay. Regardless of the route you take, there will be a fee for paying taxes with a credit card, but it is also likely that you will get the points because these would be classified as some "service" and not IRS or GOV payment per se. 

Just my 5 cents OP. Look into that and I hope it works out for you. 

[Anonymous]

I owed some back taxes and I put them on a credit card (one of my capital one cards). I lost .37% or so but I was able to park it for a few months at 0% so it was a better deal than government interest and penalties accruing.

Not sure on Chase but with Cap1 it is possible, no questions asked, I got my points just like normal.

[takeshi74]

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@Anonymous wrote:

I don't care about the general spend. I've never seen a travel card that has a good enough general spend reward program to beat normal cashback cards anyway. But the signup bonus looks really nice.

In addition to the fee make sure you're consider redemptions with any program like UR, MR, TY, etc. Don't just look at the bonus. The specific method you can use will have an impact on reward value with such programs.  If you opt for cash back it's only $0.01/UR point.  Better value is generally attainted by transferring to travel partners.

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@Anonymous wrote:

We already have a chase bank account (opened just for their bonus too) and a pair of Freedoms so I'm pretty sure we will be approved easy. 

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Don't assume.  Your deposit account does not matter.  Freeom has different underwriting criteria and your credit probably isn't the same as when you were approved for the Freedom anyway.

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@Anonymous wrote:

I dont know what UR cards are but I dont own any travel cards.

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Any card that accrues UR points on spend such as the CSP, Freedom, Ink Cash, Ink Plus, etc.

You don't own cards.  You are just authorized to use them.

[Anonymous]

I see absolutely zero reason why the transaction wouldn't count against minimum spend. It's money being spent, it's not a Chase fee.

[Anonymous]

If Chase does allow you to do it, ti's still a bad idea. I read an article from I believe the Washington Post that advised against putting taxes on a credit card for a number fo reasons. Several examples were given, but one person paid a similar amount of taxes on a credit card to the amount you are considering, in hopes of getting the bonus and meeting spend - after the fees charged, that person netted an entire $6. Six dollars.

Using a card only to acquire the bonus and then closing it down won't put you in a very good place on Chase's radar screen, in addition. Just some things to consider.

[mccallb]

I always pay my taxes with credit cards!

I in fact just opened a Barclay Card Arrival Plus to pay this years taxes.

I've paid installment-taxes with my quicksilver through pay1040.com for a while as well.  

It works great!

[Anonymous]

Ditto-

If you don't have the cash and need a few weeks to pay it off, taking a small loss on rewards is better than...being late on your taxes. C'mon.

[mccallb]

I just got the barclaycard arrival plus which gives 2x points per dollar spend, plus the 40K signup bonus at 3K spend.  I'll get 50+K bonus points for paying my taxes.  That's actually a very healthy net over the "fee" for paying the taxes.  It has nothing to do with my needing a few weeks to pay it.

[Anonymous]

I wasn't speaking for you. I was speaking for me.

[mccallb]

haha fair enough