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  • When are corporations required to pay electronically?
View All Corporate Income Tax FAQs

When are corporations required to pay electronically?

If the payment is $750 or more, payments must be made electronically. For more information, visit ADOR’s Make A Payment Page or call the EFT unit at 1-877-256-2447 or (334)353-7659.

New taxpayers, who have recently created a corporate income tax account, will receive an Online Filing Information letter. The Online Filing Information letter is for information purposes only and provides the taxpayer with the account number, Sign-on ID, and Access Code which will allow the taxpayer to create an account at My Alabama Taxes (MAT).

NOTE: Corporate income tax returns cannot be filed on MAT.

Electronic Payment Options Available:

ACH Debit– Taxpayers making e-payments via ACH Debit must have a Sign On ID and Access Code to login to My Alabama Taxes (MAT) . Pre-registration is not necessary to make a payment on an invoice or assessment.
ACH Credit– Taxpayers making e-payments via ACH Credit must be pre-approved by ADOR. To register, complete and submit Form EFT: EFT Authorization Agreement Form .
Alabama Interactive– The Department will accept e-payments for estimated and automatic extension payments through Alabama Interactive. Visit Tax Estimation or Tax Extension .
Official Payments– The Department will accept credit card payments through Official Payments Corporation. Visit Official Payments Corporation . There is a convenience fee for credit card payments. The fee is based on the amount of the tax payment and is paid directly to Official Payments Corporation.
Value Payment Systems– The Department will accept credit card payments through Value Payment Systems. You may choose to use your Discover/Novus, MasterCard or Visa card. Value Payment Systems does not accept the American Express card but has a program called BillMeLater. Visit Pay AL Tax . There is a convenience fee for this service. The fee is based on the amount of the tax payment and is paid directly to Value Payment Systems.

If the payment is $750 or more, payments must be made electronically. For more information, visit ALDOR’s Make A Payment Page or call the EFT unit at 1-877-256-2447 or 334-353-7659.

New taxpayers, who have recently created a corporate income tax account, will receive an Online Filing Information letter. The Online Filing Information letter is for information purposes only and provides the taxpayer with the account number, Sign-on ID, and Access Code which will allow the taxpayer to create an account at My Alabama Taxes.

NOTE: Corporate income tax returns cannot be filed on My Alabama Taxes.

Electronic Payment Options Available:

  • ACH Credit – Taxpayers may remit tax payments by electronic funds transfer (EFT). The taxpayer must be pre-approved by ALDOR. To register, complete and submit Form EFT: EFT Authorization Agreement Form or call the EFT unit at 1-877-256-2447 or 334-353-7659.  For more information on EFT, please go to ALDOR’s Pay by EFT/ACH Page.
  • ACH Debit – Taxpayers making e-payments via ACH Debit must have a Sign On ID and Access Code to login to  My Alabama Taxes. Pre-registration is not necessary to make a payment on an invoice or assessment.

New taxpayers, who have recently registered with the Alabama Secretary of State, will receive an Online Filing Information letter. The Online Filing Information letter is for “information purposes” and provides the taxpayer with a Sign On ID and Access Code which permits access to My Alabama Taxes.

  • Alabama Interactive – ALDOR will accept e-payments for estimated and automatic extension payments through Alabama Interactive. Visit Tax Estimation or Tax Extension .

Payments less than $750 not remitted electronically must be remitted with Form BIT-V. DO NOT MAIL FORM BIT-V IF THE PAYMENT IS REMITTED ELECTRONICALLY. To obtain Form BIT-V visit revenue.alabama.gov.

 

Related FAQs in Corporate Income Tax

View information on the Small Business Health Premiums Deduction (Act 2008-559, amended by Act 2011-155). View Form 4020- Small Business Health Insurance Deduction Information.

View information regarding Alabama Consolidated Income Tax Returns.

C-corporations, and those LLCs that have elected to file as a c-corporation, doing business in Alabama or deriving income from sources within Alabama, including income from property located in Alabama and on every corporation licensed or qualified to transact business in Alabama except for those corporations specifically exempted by §40-18-32.

Yes. If the company has registered or qualified to do business in the state, a Form 20C is required to report no activity and/or business activity as provided by Sections 40-18-2 and 40-18-31, Code of Alabama 1975.

Yes. If an extension has been granted for federal purposes, the extension is also granted for Alabama purposes; the Federal Form 7004 must be submitted with the Form 20C.

NOTE: This is an extension for filing purposes ONLY. The full amount of the tax liability is due by the original due date of the return.

Yes. Alabama Code §40-2A-7(c)(2) states, “A petition for refund shall be filed with the department or an automatic refund issued pursuant to Section 40-29-71, or a credit allowed, within (i) three years from the date that the return was filed, or (ii) two years from the date of payment of the tax, whichever is later, or, if no return was timely filed, two years from the date of payment of the tax.”