It is that time of the year once again that makes people scared and happy depending on your situation, yes tax time is here! So, there is so much to consider and look at in getting your taxes prepared, so where does one start? Basically, you just pick somewhere and start.
So, lets just go K.I.S.S (keep it simple stupid). That is why I like the concept of e-filing, because that is the format I need to follow myself. So, we will start with e-filing. So, before we get started, here are the topics for e-filing that we will look at here: How do I prepare for e-filing? What are payment options when e-filing? What is e-filing? What are the benefits of e-filing? What are draw backs of using e-file? Where do I go for e-filing?
There are some that are familiar with e-filing and some that are not, so for those who are not here is a basic overview. You have to use an authorized provider such as Tax Brain to e-file. See, the IRS does not have electronic filing directly with them set up but you can prepare your tax return or have a tax professional prepare it and e-file. The concept of an e-file is the electronic transmission of your tax return to the IRS from a computer of a online tax prep service, tax professional, or tax prep software program.
So, now that you know what electronic filing is, you could be asking yourself what is the benefit of it. Well here is a brief list of benefits: E-filing provides reliability. Having the confidence of know it was done then and there despite if you did it yourself or had a company do it for you as well as giving you an IRS confirmation. E-Filing is very easy to use. E-filing always goes through an encrypted and secure mode. That is a ease on the minds of tax payers also. When compared to conventional filing of taxes, it takes half the time. Saves you time allowing you to have your tax return done in just minutes and not dealing with envelopes and lots of papers as well as finding proper addresses and all that mess.
No matter what it is you do that has benefits for using something, there will be draw backs. That even holds true with taxes. The following are some draw backs for using e-filing: If your computer doesnt meet system requirements on the hard drive to install the e-file software requirements then you might just be out of luck. Yet once more, the benefit is being able to use e-file anywhere. If you are not comfortable using a computer, then the process of e-filing can seem time consuming and tedious to you. If you or the tax preparer forgets to print out a copy of the tax return, you could be out of luck once again. Because if you saved it to the hard drive and the computer crashes, it could be lost. This is a benefit of a system like Tax Brain for e-filing eliminating this draw back as it will deep a saved for a minimum of 1 year and a maximum of 7 years and unlike most unscrupulous vendors or preparers, the service is free. Say you want to e-file, but have no computer, then you have to visit a computer rental spot, friend or family member with a computer, or a library. But, at the same time is a benefit as you can use e-filing anywhere.
There are many options to tax payers using e-filing when taxes are due. Here are some of the options available to tax payers using e-file: Check (Payable to the U.S. Treasury with copy of payment coupon) Money Order Check (Payable to the U.S. Treasury using form 1040-v, payment voucher to be mailed with money order) EFTPS (Electronic Funds Transfer Program Service) through the IRS allowing a scheduled recurring payment or installment from a tax payers bank account. Direct debit from electronic funds withdrawal from a checking or savings account at your bank. Credit card (Visa, Master Card, Discover, or American Express)
Now, like anything else you might ever do that bares any significance in your life, you have to prepare for it. So, either if you are filing yourself or having a professional tax preparer file your taxes for you, here are some suggestions to keep in mind to help you save some time and money: Double check that you’ve claimed the deductions you are entitled to if you are age 65 or older, or blind. Make sure the refund due to you or your tax payable is on the correct line. For direct deposit or debit, make sure you have provided the correct routing number for your bank account. If you are filing jointly, both you and your spouse must electronically sign the return. Print up a copy of the return for your records. Attach the Federal copy of your W-2 to your printed copy. Attach all appropriate forms and schedules to your printed copy. Check and double check your calculations. List your correct Social Security number. This both you and your spouse, if filing jointly. Review the checked boxes that state your filing status and exemption claims Double check the Social Security numbers of each dependent.
So, where do you do for e-filing? You should try to check out Tax Brain for a lot of reasons. Reasons like: Free live chat Prior tax refunds Online State Tax Prep Accuracy Guarantee Online e-file service Fast tax refunds Also, Tax Brain automatically figures and determines the right tax package for your tax situation!