
e-file or personal tax prepared services? Which do you trust? Tax season can be a bit scary of all of us, and even more so when it comes to choosing the right person to handle your taxes. The IRS expects the total number of individual tax returns, both electronic and paper, to total about 140 million in 2010, and for e-file returns to exceed last year’s record high of 95 million. So where do you turn to?
The Many Benefits of E-file
Faster refunds. With IRS e-file, taxpayers get refunds in half the time it takes to file a paper tax return and receive a refund check. E-filers who choose Direct Deposit can receive their refund in as few as 10 days.
Paperless. A taxpayer eliminates paperwork by creating his or her own Personal Identification Number (PIN) and filing a paperless return using tax preparation software or a tax professional. There is nothing to mail to the IRS.
File now and pay later options. Taxpayers can file early and pay later by scheduling an electronic funds withdrawal any time through April 15, 2010. Taxpayers can also pay by credit or debit card when they e-file their returns. By enrolling in the Electronic Federal Tax Payment System (EFTPS), taxpayers can make all federal tax payments online or by phone.
More accurate returns. In addition to the error checks built into return preparation software, additional checks are done during the transmission of software enabled e-file returns. These checks reduce the chance a taxpayer will receive an error letter from the IRS.
Quick electronic confirmation. E-filers are notified within 48 hours that their returns have been received.
E-file limitations
Electronically is not for everyone, though. You must file on paper if you are–
- Married, but filing a separate return, and you live in a community property state,
- Claiming a dependent who has already been claimed by someone else,
- Submitting a tax form that cannot be electronically filed (such as a multiple support agreement),
- Filing before e-file begins (January 15) or after e-file ends (October 15)
To learn more visit: http://www.irs.gov/newsroom/article/0,,id=217790,00.html or visit www.delaney-law.com