E-filing taxes has become a popular method of doing taxes. There are so many benefits to this process, it is no wonder so many taxpayers are turning online methods to file annual required paperwork required by federal tax agencies.
Anyone who’s ever done their taxes before by hand probably easily recalls how painstakingly tedious tax season was prior to the availability of e-filing. Electronically filing taxes has incredibly simplified the tax return process and makes the process far less cumbersome than it used to be.
6 Reasons to File Your Taxes Electronically
Filing taxes over the computer is very convenient. No more sorting through packets of paperwork, making copies, or filling out schedules. The software program conveniently walks taxpayers through the filing process one step at a time. Taxpayers can simply point and click and fill in information when prompted. How easy is that?
The ability to follow the prompts also eliminates the need to intensely study tax laws and learn all the updates; the software program takes care of this part of tax filing. Yet there are choices. For those who still are inclined to do the computations and configure taxes on their own can still use e-filing with forms approved by the IRS.
2. Fast Filing
With the ability to file taxes over a computer network, the paperwork is sent immediately. Filing through the now old-fashioned method of using paper entailed making copies, filling out envelopes, getting the return stamped (and often weighed at the post office), and then waiting. Now filers can simply finish their taxes and click send and the return is immediately sent to the appropriate tax agency.
3. Faster Refunds
It goes without saying that if a tax return is received quickly, it will be processed sooner. Filing taxes electronically enables those entitled to a tax refund to receive their money much more quickly. On average with e-filing, tax return refunds come within a week or two, even if the tax return was filed closely to Tax Day, April 15. In years past with paper returns, returns could take until June or July when done by paper, if my own experience is any indicator.
Software has the ability to quickly point out errors or that something filled in may not be correct. In essence when e-filing, software can help be a “second set of eyes” when filing. The applications often pick up inaccuracies or mistakes that might be missed by the naked eye and lead to an audit.
5. No Paper
Today’s trends are going green and e-filing helps support this cause. No longer do taxpayers have to store packets full of paper (with sensitive information contained within) for years, they can simply store the files in digital format and secure it. Just remember to create backup files to make sure your records aren’t lost.
6. Quick Confirmation
With e-filing quick confirmation is received when the IRS or state tax agency receives a return. No more worries about wondering if a tax return was lost in the mail or received on time. E-mails verifying receipt of tax returns are typically sent within 1-2 days.
E-filing has offered taxpayers a tremendous convenience during tax time. In 2014, the IRS reported more than 117 million taxpayers used efiling methods. There are many benefits associated with e-filing and with each tax year more and more people are turning to this option of tax preparation.
Leigh has been writing on the web since 2007. She has a high interest in business, tech, higher education, and Washington D.C. and Northern Virginia travel, but loves to write about a variety of topics. In addition to writing on Writedge, she also runs a blog about the Washington DC Metro Area and a photography blog Photos by Leigh Goessl.