A Link2Gov charge on your bank statement means you paid a government agency electronically through Link2Gov, a third-party payment processor, and the line item includes both what you owed and a separate convenience fee the processor keeps. The most common source is a federal income tax payment, though the same company also handles state and local payments like property taxes, vehicle registration, and utility bills. You may also see the charge labeled “Pay1040,” which is Link2Gov’s federal tax portal.
Federal law lets the Treasury Secretary accept tax payments by credit card, debit card, or charge card and contract with private processors to run those transactions.1Office of the Law Revision Counsel. 26 USC 6311 – Payment of Tax by Commercially Acceptable Means None of the convenience fee reaches the IRS or the agency you paid.2Internal Revenue Service. Pay Your Taxes by Debit or Credit Card or Digital Wallet
What Payment Likely Caused the Charge
Think back to the days around the transaction date. Federal income taxes are the leading source: annual returns, estimated quarterly payments, and balances owed after filing. If you paid through tax software like TurboTax, TaxAct, TaxSlayer, H&R Block, or Drake, Link2Gov is often the processor behind the card transaction even though you never saw its name during checkout.3Internal Revenue Service. Pay by Debit or Credit Card When You E-File
State and local payments are the other common source. Property taxes, vehicle registration renewals, water and sewer bills, and traffic citations are typical examples. Which agencies use Link2Gov varies by jurisdiction, so any recent electronic government payment is a candidate.
Fees themselves depend on how you paid. Direct payments to the IRS through Pay1040 run 1.75% for credit cards with a $2.50 minimum, or a flat $2.15 for personal debit cards.2Internal Revenue Service. Pay Your Taxes by Debit or Credit Card or Digital Wallet Payments routed through tax software cost more, typically around 2.49% to 2.59% with minimums near $3.3Internal Revenue Service. Pay by Debit or Credit Card When You E-File State and local processors often charge 2.5% to 3.5%. Compare the fee percentage to the payment amount on your statement and see if the math lines up with a bill you paid.
How to Verify the Charge
Link2Gov runs an online lookup that pulls the confirmation number, payment date, payment amount, convenience fee, and total charged for any transaction made in the past 12 months. You’ll need three things:
- The Social Security Number, ITIN, or EIN you used at the time of payment
- The dollar amount of the government payment itself, not including the fee
- The last four digits of the card that was charged
Enter those in the verification form on the Pay1040 website. A match will show exactly which government payment produced the charge. For anything older than 12 months, or a payment made by phone, email customer service at customerservice@acipayonline.com. You can also call 888-658-5465, or 501-748-8507 internationally, for federal tax payments through Pay1040.2Internal Revenue Service. Pay Your Taxes by Debit or Credit Card or Digital Wallet
What to Do If You Don’t Recognize It
If the lookup surfaces a legitimate payment you’d forgotten, you’re done. If it returns nothing, or you’re sure you never authorized the transaction, call Link2Gov customer service first so the processor can search from their side and tell you whether the charge is tied to your account. If they can’t confirm it, contact your bank or card issuer to report suspected fraud and request a chargeback.
Don’t Chargeback a Real Tax Payment
This is where it gets expensive. If you dispute a legitimate tax payment and your bank reverses it, federal law says you remain liable for the full tax plus every penalty and addition, as if you’d never paid.1Office of the Law Revision Counsel. 26 USC 6311 – Payment of Tax by Commercially Acceptable Means
The IRS then adds a dishonored payment penalty on top. For reversed payments of $1,250 or more, the penalty is 2% of the payment. For amounts under $1,250, it’s the lesser of the payment or $25.4Internal Revenue Service. Dishonored Check or Other Form of Payment Penalty Then comes the failure-to-pay penalty at 0.5% per month on the outstanding balance, up to 25% total, plus interest that keeps compounding until you settle up.5Internal Revenue Service. Failure to Pay Penalty Only dispute a charge you’re truly certain isn’t yours.
How to Avoid the Fee Next Time
The convenience fee is optional for federal tax payments. The IRS offers two free electronic alternatives that pull directly from your bank account instead of running through a card processor.
- IRS Direct Pay is a free bank transfer with no account registration. You can schedule, change, or cancel a payment up to two business days ahead, and single payments can go as high as $10 million.6Internal Revenue Service. Direct Pay With Bank Account
- EFTPS, the Electronic Federal Tax Payment System, is also free but requires enrollment. It’s the practical choice for business taxes and recurring estimated payments.7U.S. Department of the Treasury. Welcome to EFTPS Online
You give up card rewards and the float of a billing cycle. On a four-figure tax bill, that trade usually beats a 1.75% to 2.59% fee.