If you're looking to file your tax return online this year, you may be in luck. The Internal Revenue Service Thursday launched a new Web site in conjunction with the Treasury Department and Office of Management and Budget featuring a list of private-sector partners that will allow most taxpayers to prepare and file their taxes over the Internet for free.
Up to 60 percent of American taxpayers, or nearly 78 million people, will be eligible for the program. Through the public-private partnership, called the Free File Alliance, taxpayers will be able to access online tax preparation and electronic filing services through irs.gov. The tax software, however, is provided by the alliance members -- not the IRS.
"No one likes paying taxes – it's too confusing and time consuming. The launch of this new Web site is great news for millions of Americans. Free File makes it easy," said Acting Treasury Secretary Kenneth W. Dam.
Adds IRS Acting Commissioner Robert Wenzel: "E-file is quicker. E-file is more accurate. E-file is the best way to confirm the IRS received your return, and it's the fastest route to a refund."
Each participating software company in the alliance has its own eligibility requirements. Generally, they are based on: age; adjusted gross income (AGI); eligibility to file Form 1040EZ; eligibility to claim the Earned Income Credit; state residency; and active duty military status (if applicable). But the primary candidates for Free File are those who prepare their own taxes and still file paper returns.
Last filing season, the IRS received nearly 85 million paper returns and nearly 47 million e-filed returns.
President Bush proposed free online tax filing last February as one of his E-Government initiatives, which are designed to make it easier for citizens and businesses to interact with the government and cut costs.
Quelle: CNN Money
