IRS Says E-Filing Growing More Popular

More taxpayers filed their taxes electronically this year than ever before.

For the first time, the Internal Revenue Service predicts that more than half of all individual tax returns will be e-filed. Through March 25, 66 percent of all returns, or 49 million, were e-filed. The increase is 7 percent over last year.

“More and more taxpayers are turning to e-file and other electronic programs,” said IRS Commissioner Mark W. Everson in a statement. “This shapes up as a really strong year. Taxpayers who haven't filed yet should check into e-file and Free File.”

Free File, offered through the IRS and a partnership of tax software manufacturers, and is available at IRS.gov and allows free access to private-sector federal tax preparation software. So far this year, 3.74 million returns have been filed through the Free File program, compared to 2.6 million at this time last year.

Taxpayers are taking advantage of other conveniences, the IRS announced. Almost a half million people are paying their taxes with credit cards, and record numbers are opting to have their refunds directly deposited into their bank accounts. The IRS said that 64 percent of all refunds were paid through direct deposit so far this year, compared to 60 percent for the same time last year. If you choose direct deposit, you'll get your refund a week sooner than if you wait for a paper check.

Taxpayers apparently like how technology makes tax preparation easier, but they also want to speak to a real person. According to Federal Computer Week, a random phone survey conducted for the IRS Oversight Board found that 57 percent said they were “very likely” to use a toll-free telephone number to ask questions.

You may like these other stories...

Event Date: May 29, 2014 In this presentation Excel expert David Ringstrom, CPA brings you up to speed on the Excel feature you should be using, but probably aren't. The Table feature offers the ability to both...
No field likes its buzzwords more than technology, and one of today's leading terms is "the cloud." But it's not just a matter of knowing what's fashionable. Accounting professionals who know how to use...
There is a growing trend of accountants moving away from traditional compliance work to more advisory work. Client demand is there, but it is up to the accountants to capitalize on that. What should accountants' roles be...

Upcoming CPE Webinars

Apr 22
Is everyone at your organization meeting your client service expectations? Let client service expert, Kristen Rampe, CPA help you establish a reputation of top-tier service in every facet of your firm during this one hour webinar.
Apr 24
In this session Excel expert David Ringstrom, CPA introduces you to a powerful but underutilized macro feature in Excel.
Apr 25
This material focuses on the principles of accounting for non-profit organizations' revenues. It will include discussions of revenue recognition for cash and non-cash contributions as well as other revenues commonly received by non-profit organizations.
Apr 30
During the second session of a four-part series on Individual Leadership, the focus will be on time management- a critical success factor for effective leadership. Each person has 24 hours of time to spend each day; the key is making wise investments and knowing what investments yield the greatest return.