Tax season is probably the most dreaded time of year. Between filing everything correctly, figuring out what we owe, and handing over our hard-earned cash, it feels like a headache waiting to happen. 

Until now, paying taxes in Canada has been limited to bank payments, mail, or costly third-party providers. But things just got a whole lot better. Enter Chexy Tax—the game-changing way to pay taxes with your credit card and earn rewards on those big payments.

With Chexy, you can simplify your tax payment process, rack up valuable rewards, and even hit those high credit card welcome bonuses. Keep reading to find out how to turn your tax bill into hundreds of dollars of rewards. 

Can You Pay for Taxes with a Credit Card?

With Chexy Tax, you can pay the CRA with a credit card. For years, the only other third-party options that allowed you to pay your taxes with a credit card were Plastiq and PaySimply, but they came with higher fees. 

Chexy is here to disrupt the market. With only a 1.75% fee, you can pay your large income tax bill with your rewards credit card. 

How to Pay Your Taxes with Chexy Tax

Nobody wants to pay their tax bill and give up thousands of dollars, but it's something we must all do. To make the dreaded tax season feel a little bit better and put some money back into your pocket, use Chexy Tax. 

Here’s how you can pay your taxes with Chexy Tax:

1. Log into your Chexy Dashboard and choose “Pay Income Taxes.” Here, you can make a one-time payment to the CRA or Revenu Quebec. 

2. Choose which type of tax you need to pay, then enter your SIN. 

3. Enter the payment amount. 

4. Follow the steps to verify your identity.

5. Enter your personal info and credit card details.

6. Your card will be charged, and the amount you owe will be sent to the CRA 3 business days later. *Note that the payment may not appear in your CRA account for up to 7 business days. 

The fees for paying the CRA with your credit card are:

• 1.75% for Visa and American Express

• 2.5% for international credit cards 

Why Pay Taxes with a Credit Card?

Many Canadians (likely yourself included) pay thousands in yearly income taxes. In fact, Canadian families spent an average of $13,113 on income tax in 2021. You’re just giving away that money and not earning anything back!

Here are a few reasons why you should pay your taxes with a credit card:

• Earn Rewards on a Large Payment: Paying your taxes with a credit card that offers cashback, points, or travel rewards allows you to maximize the benefits. This can also be an easy way to meet the spending requirements for credit card welcome bonuses. 

• Split Tax Payments & Earn More: With Chexy, each tax payment is classified as a recurring payment, meaning you can earn higher rewards on certain credit cards. Some cards offer up to 4% cashback on recurring bills (like the Scotia Momentum Visa Infinite card) instead of the standard 1%, allowing you to maximize your rewards while managing your tax payments efficiently.

• Reach the Welcome Bonus Requirement: To reach the bonus points, many credit cards require spending of about $5k or $10k within the first few months of card membership. This can be difficult with everyday spending but easy to achieve with a large tax payment. 

• Simplify Payments: Credit card payments are easy, quick, and secure. You don’t have to worry about sending a large bank transfer or cheque in the mail. Plus, putting your tax bill on your credit card can give you several more weeks before the payment is due, helping you manage your budget better. 

• Boost Your Credit Score: Paying off your credit card bill on time and in full each month can positively impact your credit score. Make sure you have the money before putting a large amount on your credit card, though, as you don’t want to accrue interest! 

Traditional Tax Payment Methods vs Chexy Tax

You have 11 different CRA payment options for your income taxes, including:

• Online banking

• Debit card

• Pre-authorized-debit payments

• Canada Post

• Through the mail

• Using a third-party service provider

Paying your taxes with a credit card via Chexy trumps all of these options, as it allows you to earn rewards and hit those minimum spending requirements for welcome bonuses with a low fee. 

However, let’s see how the other third-party services you can use to pay your taxes with a credit card stack up against Chexy Tax. If you’re paying an $8,000 income tax bill, this is how much you’ll be charged:

• Plastiq: 2.9% fee ($232): $8,232

• PaySimply: 2.50% fee ($200): $8,200

• Chexy: 1.75% fee ($140): $8,140

Chexy is the clear winner here. Why pay more fees when you don’t have to? 

Best Credit Cards to Pay Your Taxes in Canada 

Here are our top picks for the best credit cards to pay your taxes with in Canada. We compared multiple cards, analyzing their welcome bonuses, points-earning structure, and overall reward value. 

American Express Aeroplan Reserve Card

If you travel frequently with Air Canada, the American Express Aeroplan Reserve Card is for you. The welcome bonus structure looks like this:

• Earn 65,000 Aeroplan points after spending $7,500 within the first 3 months of card membership.

• Earn an additional 25,000 Aeroplan points when you spend $2,500 in month 13.

Those additional 25k points in month 13 are easily achievable by using this card to pay your monthly rent and bills with Chexy. 

In addition to the signup bonus, you can earn 3x the points on Air Canada purchases, 2x the points on dining and food delivery, and 1.25x the points on everything else (including your income tax bill).

This card gets you incredible Air Canada benefits, such as priority airport treatment, unlimited access to Maple Leaf Lounges, free checked bags, and travel insurance. 

For example, paying an $8,000 tax bill with Chexy will earn you 10,000 Aeroplan points (a value of about $210 in travel rewards) after fees. 

Scotia Momentum Visa Infinite Card

The Scotia Momentum Visa Infinite card is the best in town when it comes to earning cashback. Any recurring payments, including bill and tax payments made with Chexy, earn you 4% cash back. 

This card comes with Visa Infinite benefits, travel insurance, and a welcome bonus of up to 10% cash back on all purchases for the first three months (up to $2,000). 

For any purchases not classified as recurring payments, you can earn:

• 2% back on gas and daily transit 

• 1% back on everything else

For example, paying an $8,000 tax bill with Chexy will earn you $185.60 cashback after fees.

TD Aeroplan Visa Infinite Privilege Card

$599 annual fee 20.99% purchase APR 20.99% cash advance APR

The TD Aeroplan Visa Infinite Privilege Card† is also a top pick for frequent Air Canada travelers. With the welcome bonus, you can earn up to 85,000 Aeroplan points (about a $1,700 value):

• Earn 20,000 points when you make your first purchase.

• Get an additional 35,000 points when you spend $12,000 within the first 6 months.

• Get an anniversary bonus of 30,000 points when you spend $24,000 and your account has been opened for 12 months. 

If you think this signup bonus is difficult to achieve, try putting your monthly rent on your credit card via Chexy. You'll quickly reach the spending threshold if your rent is about $2,000. 

Besides the amazing travel benefits, you can earn:

• 2x the points on Air Canada purchases

• 1.5x the points on gas, groceries, travel, and dining

• 1.25x the points on everything else (including your income tax bill)

For example, paying an $8,000 tax bill with Chexy will earn you 10,000 Aeroplan points (a value of about $210 in travel rewards) after fees. 

Paying your taxes with a credit card has never been easier or more rewarding. With Chexy Tax, you can earn valuable rewards while paying your tax bill, all for a low processing fee.

Ready to make your tax payments work for you? Opt into Chexy Tax today and earn rewards on what’s likely your biggest yearly expense. 

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