# Taxes owed but no US account



## Debzinuk (Jun 17, 2017)

Hi all
Originally from U.K., became a US citizen after living inUS 20yrs. Now back in Uk, sold US house last year and have to pay fed taxes of $13,000!
I don't have it, but a friend is helping me for some of it. Don't look like she can pay online with UK bank card...they only accept US accounts.

How the heck am I supposed to pay it? Help anyone please? Thanks


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## nyclon (Apr 3, 2011)

I've moved your post to the tax forum.


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## Debzinuk (Jun 17, 2017)

nyclon said:


> I've moved your post to the tax forum.


Where is that please? Can you send a link


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## Bevdeforges (Nov 16, 2007)

Basically, your options are to make a foreign electronic transfer https://www.irs.gov/individuals/international-taxpayers/foreign-electronic-payments
or to use a credit or debit card https://www.irs.gov/uac/pay-taxes-by-credit-or-debit-card

Neither option is free, but they get the job done.
Cheers,
Bev


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## Debzinuk (Jun 17, 2017)

> Neither option is free, but they get the job done.
> Cheers,
> Bev


Oh, great, I didn't think it could be done with a UK debit card....that solves everything. Cheers!


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## Debzinuk (Jun 17, 2017)

Bevdeforges said:


> Basically, your options are to make a foreign electronic transfer https://www.irs.gov/individuals/international-taxpayers/foreign-electronic-payments
> or to use a credit or debit card https://www.irs.gov/uac/pay-taxes-by-credit-or-debit-card
> 
> Neither option is free, but they get the job done.
> ...


Could someone else use their card to pay on my behalf?


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## iota2014 (Jul 30, 2015)

Debzinuk said:


> Could someone else use their card to pay on my behalf?


Sounds complicated? 

If in theory you're supposed to disclose every penny of your income to the IRS, aren't you in theory supposed to pay the taxes out of the income you've disclosed? If someone else pays, would that not be additional income, which should be disclosed on next year's tax return? Beware of international AML regulations.

You might be able to get a pre-paid card you could use to pay the IRS. Try the Post Office.


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## Moulard (Feb 3, 2017)

> I don't have it


If you really don't have it, then you can come to an arrangement regarding payment via payment/installment plans etc. In theory at least you can make an offer in compromise to settle for less than the total amount due..

https://www.irs.gov/payments/altern...lternative-payment-plans-hardship-information



> If someone else pays, would that not be additional income


Only in certain circumstances. If all it is is an agreement by someone with a US bank account to pay and then be reimbursed as a private agreement, I don't even think it would be considered a gift.


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## iota2014 (Jul 30, 2015)

Moulard said:


> If all it is is an agreement by someone with a US bank account to pay and then be reimbursed as a private agreement, I don't even think it would be considered a gift.


Such a benign view does not sound at all like the IRS to me. 
Can someone else pay your taxes?

And the UK anti-money-laundering legislation is scarier than the IRS.

Much simpler:
a) Payor transfers the money to the OP's account
b) OP pays IRS with UK debit card 
c) OP reports the gift on next year's 1040.

Or use the money to buy a pre-paid card - reporting the gift as in c) above.

Why attract the interest of tax and law enforcement agencies in two countries over a transaction that is in fact perfectly legitimate?


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## Bevdeforges (Nov 16, 2007)

Sorry, but you don't report gifts on a 1040. If someone "gives" you the money to pay off your IRS bill, it's between you and the "giver" whether that is a gift or a loan. It's the giver's problem if the amount falls under local gift tax regulations, or if the repayment might be subject to income taxes on any interest paid.

You're giving the IRS credit for powers they simply don't have. (At least not for small sums like $12,000 or so.)
Cheers,
Bev


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## cirrus (Aug 2, 2014)

Another way:

I have had a few checks go missing in the US mail so have paid a couple of contractors by PayPal. 
Works well.


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## Bevdeforges (Nov 16, 2007)

cirrus said:


> Another way:
> 
> I have had a few checks go missing in the US mail so have paid a couple of contractors by PayPal.
> Works well.


I don't think the IRS accepts payment by PayPal. It seems to be either direct bank transfer or by credit card using one of their posted "services" (which usually charges a percentage of the transaction as its fee for service). 
Cheers,
Bev


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## cirrus (Aug 2, 2014)

Bevdeforges said:


> I don't think the IRS accepts payment by PayPal. It seems to be either direct bank transfer or by credit card using one of their posted "services" (which usually charges a percentage of the transaction as its fee for service).
> Cheers,
> Bev


May have changed but 2 years ago:

U.S. Treasury Now Accepting PayPal | Money


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## iota2014 (Jul 30, 2015)

Bevdeforges said:


> Sorry, but you don't report gifts on a 1040. If someone "gives" you the money to pay off your IRS bill, it's between you and the "giver" whether that is a gift or a loan. It's the giver's problem if the amount falls under local gift tax regulations, or if the repayment might be subject to income taxes on any interest paid.
> 
> You're giving the IRS credit for powers they simply don't have. (At least not for small sums like $12,000 or so.)
> Cheers,
> Bev


You mean, if the tax is paid for a person by the person's employer, it counts as additional taxable income, as per https://supreme.justia.com/cases/federal/us/279/716/case.html, but if paid by someone other than the person's employer, it does not? You may be right. If it was me I'd report it "in case" and let the IRS decide, since they already know that the tax has been paid from someone else's account and it's not likely to cost much in additional tax even if the IRS does treat it as taxable income.

In any event, IMO the really important point, as I said before, is the anti-money-laundering regulations.


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## iota2014 (Jul 30, 2015)

cirrus said:


> May have changed but 2 years ago:
> 
> U.S. Treasury Now Accepting PayPal | Money


Apparently you can use PayPal via this service:

https://www.payusatax.com


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## Bevdeforges (Nov 16, 2007)

Paypal isn't mentioned here https://www.irs.gov/individuals/int...-aliens-abroad-where-and-when-to-file-and-pay

I'd be wary of services that claim they can pay your taxes for you unless they are mentioned on the IRS website. There are LOTS of scams around to prey on US taxpayers.
Cheers,
Bev


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## iota2014 (Jul 30, 2015)

Bevdeforges said:


> Paypal isn't mentioned here https://www.irs.gov/individuals/int...-aliens-abroad-where-and-when-to-file-and-pay


PayUSATax.com is one of the three Payment Processor services listed here:

https://www.irs.gov/uac/pay-taxes-by-credit-or-debit-card

These Payment Processor services handle credit card payments, debit card payments, and digital wallet payments 

and PayPal is one of the digital wallet methods accepted by PayUSATax.com:

https://www.irs.gov/uac/pay-taxes-by-credit-or-debit-card


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