If the goverment saves money when consumers efile, and they want to encourage more people to efile to save paper (good for the environment) and other resources, then why do they charge a fee? Would it not make more sense to charge a fee to file a paper return and allow efile to be free?
There used to be rebates for efiling, but that was discontinued.
2007-03-17 12:34:24 · 4 answers · asked by not yet 7 in Business & Finance ➔ Taxes ➔ United States
So it is only free to efile if you demonstrate financial need? How the heck do they expect people to support the efile program without any incentive?
I'd love to efile again, but I have a family of 5 and we live on one income. That $29.95 efile fee (federal and state) would pay for a week of school lunches for 2 of my kids!
2007-03-17 13:43:16 · update #1
At www.taxactonline.com, you can prepare your return and e-file your federal return for free if you use the basic edition, regardless of your income level. They will try to get you to upgrade several times, but just keep saying no and it will be totally free.
2007-03-17 17:18:38 · answer #1 · answered by figment_usa 5 · 0⤊ 0⤋
The government does NOT charge a fee for efiling. If you go to a company like H&R Block, or a CPA, and have them do it, then THEY might charge you a fee - they keep it, they don't send it to the government. They're in business to provide a service and to make a profit from that, so that's not unreasonable to charge a fee for their services.
I don't know about this rebate for efiling that you mention used to exist.
If your income is below around $40,000, look for a VITA or TCE site near you - see irs.gov for more info on these programs - type "VITA" into the search box. Sites will prepare your return at no charge, and most of them will also efile them, also at no charge. Note: you don't have to be over 60 to use a TCE site.
2007-03-17 21:28:19 · answer #2 · answered by Judy 7 · 0⤊ 0⤋
Because it is now a convenience now. But there are a few places that will allow you to prepare and e-file for free, as long as you fit certain requirements. Check out www.irs.gov to find out more.
2007-03-17 19:41:35 · answer #3 · answered by sven_kirk 2 · 0⤊ 0⤋
If you earn less than $52,000, you can e-file for free. Go to the IRS website and click on the Free E-File link.
2007-03-17 19:39:28 · answer #4 · answered by Bostonian In MO 7 · 0⤊ 0⤋