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How will taxpayers use the system?
Step 1. Locate free services site on irs.gov: Taxpayers may access the free services web page through a number of paths. These will include other government web sites such as firstgov.gov.
Step 2. Determine eligibility: Taxpayers must determine their eligibility for using a free offering. In order to provide a high level of customer service and to minimize confusion, the criteria will be clear and written in plain language. As much as possible, eligibility will be determined at the free services site rather than after starting work on the return. It is understood that offerings based on AGI and similar data will require some taxpayer data entry.
Step 3. Link to free offering: Upon determining that they are eligible for a particular offering, the taxpayer will follow a link to that Alliance member’s free offering. The free services page will provide a link to each Alliance member’s free application using a minimum number of clicks.
Step 4. Prepare and file tax return: The taxpayer will prepare and e-file their tax return using proprietary processes and systems comparable to the Alliance member’s paid product. Completed returns will be transmitted to the IRS using the existing e-file system
Washington — The Internal Revenue Service announced today the recently completed 2007 Filling season set a series of records, highlighted by 70 million tax returns being filed electronically this year and home computer usage jumping 18 percent.
The jump in e-file reflected a larger increase in the use of electronic services. The IRS saw new records for in Fillings from home computers and the use of IRS.gov.
"We saw a surge of e-Filling at the end of the tax season, particularly with people using software on home computers. Compared to recent years, we had much more e-Filling in the weeks leading up to the deadline, signaling that more balance due filers are embracing this service," said IRS Commissioner Mark W. Everson. "Overall, we received more tax returns electronically this year than the number of paper returns we processed for the entire United States in 1966. E-file is changing the way the nation does taxes."
"E-Filling complemented the hard work of IRS workers, tax professionals and tax volunteers during the tax season," Everson said. "I'd like to thank these people for their hard work and dedication."
The 70 million e-file returns accepted through April 21 topped the 68.5 million electronic returns received for all of 2005. The agency expects the e-file number to increase before the close of the e-file season in October. Taxpayers who filed for extensions can use e-file until Oct. 16.
Through April 21, 2007, the IRS had received:
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70 million returns through IRS e-file — up 6 percent from the same time last year.
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Almost 20 million taxpayers filed from a home computer — up 18 percent from the same time last year and almost 3 million more than for all of 2005. The IRS will continue to receive returns filed from home computers until October 16.
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50 million returns from tax professionals, up 9 percent from the same period last year.
By April 21, the IRS had issued 85 million refunds averaging $2,237 per refund. More than 60 percent - 53 million - were issued through direct deposit, representing a 7 percent increase from last year. Direct deposit gets refunds to the taxpayer a week sooner than issuing a check.
Usage of IRS.gov, this Filling season climbed more than 7 percent. So far this year, there have been 122 million visits to IRS.gov, up from 113 million for the same period last year. [Note: Attached are the Filling season statistics for the week ending April 21, 2007.] |
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