E-Filing A Hit with Taxpayers From Individuals to Large Corporations

E-filing is a hit across the board. The Internal Revenue Service (IRS) reports that more than 39.5 million individual taxpayers, representing 73 percent of the total returns filed, had e-filed by early March. More than 450 of the nation’s largest corporation have electronically filled taxes in advance of the March 15 filing date, as well. Although individual taxpayers have a choice regarding whether or not to e-file, large corporate taxpayers, defined by the IRS as those with more than $50 million in assets that file at least 250 returns, are required to e-file this year.


Easy & Profitable Client Payroll with PayCycle

Now is a great time to get clients set up for payroll. We’d like to invite you to a FREE 60-minute web seminar sponsored by PayCycle, the leader in on-demand payroll. During this informative session, you’ll discover how to:

  1. Automate payroll tasks from paychecks to W-2’s
  2. Save time with electronic tax payments and filings
  3. Increase year-round firm profitability without adding staff or infrastructure

Come see for yourself how easy and profitable payroll can be - CLICK HERE TO REGISTER Hurry! Spaces are limited and the sessions fill up quickly.

All PayCycle webinar attendees will receive 1 month free on PayCycle’s service. After the free period, PayCycle costs just $14.99 per client per month for the first 5 employees. Each additional employee is just $0.25 per month. This low monthly fee includes everything you need to process payroll, including a firm-branded website for clients, direct deposit, electronic tax payments and filings, seamless integration with QuickBooks, ATX, CCH and other leading accounting software, free customer support with payroll experts, customized marketing resources to solicit your payroll service to clients, and much more.

Learn More Register for a Web Seminar Sign Up Now

“The home computer is increasingly replacing the paper tax form,” said IRS Commissioner Mark V. Everson in a prepared statement regarding the statistics for individual taxpayers. “Both individual taxpayers and tax professionals are turning to e-file more and more because it’s fast and accurate.”

Other statistics indicating individual taxpayers are making use of their electronic options at record paces include:

  • Since January, the number of visits to the IRS web site is up almost 6 percent over last year, to 70.4 million. Last week alone, there were more than 7.2 million visits to the site, up nearly 9 percent from the previous year.

  • So far this year, 33.9 million individual income tax refunds, or about 76 percent of all refunds, have been directly deposited in bank accounts, up from 73 percent for the same period last year.

  • Individual taxpayers have made 629,251 credit card payments, for a total of $355 million, so far this year. That’s a 41 percent increase from the 448,547 payments made last year. The total amount paid is up 48 percent over the previous year, too.

Individuals aren’t the only ones benefiting from e-file. Businesses and exempt organizations are conducting most or all of their transactions with the IRS electronically. In fact the IRS expects more than 10,000 large corporations to e-file by the extended filing date of September 15, 2006. Many corporations and exempt organizations will purchase software or rely on a tax professional to complete this year’s taxes electronically.

“We are pleased that large corporations have started making the transition from filing paper to electronic tax returns,” Deborah Nolan, commissioner of the Large and Mid-Size Business Division (LMSB) of the IRS, said in a statement regarding e-filing by large corporations. “We have worked closely with stakeholder groups representing corporations, tax professionals and the e-file software industry to develop e-file systems and processes that meet their needs.”

You may like these other stories...

As anyone who's ever been through a divorce can attest, the pain of parting with your spouse isn't just emotional—the fallout from divorce can wreak financial havoc as well long after the dust in the courtroom...
Former DOJ Tax Division head Kathryn Keneally joining DLA Piper in New YorkGlobal law firm DLA Piper announced on Thursday that Kathryn Keneally, the former head of the US Justice Department Tax Division, is joining the firm...
OECD calls for coordinated fight against corporate tax avoidanceDavid Jolly of the New York Times reported that dozens of countries with the most advanced economies have agreed on principles for concrete action to prevent...

Already a member? log in here.

Upcoming CPE Webinars

Sep 24
In this jam-packed presentation Excel expert David Ringstrom, CPA will give you a crash-course in creating spreadsheet-based dashboards. A dashboard condenses large amounts of data into a compact space, yet enables the end user to easily drill down into details when warranted.
Sep 30
This webcast will include discussions of important issues in SSARS No. 19 and the current status of proposed changes by the Accounting and Review Services Committee in these statements.
Oct 21
Kristen Rampe will share how to speak and write more effectively by understanding your own and your audience's communication style.
Oct 23
Amber Setter will show the value of leadership assessments as tools for individual and organizational leadership development initiatives.