What sets authorized IRS e-file providers apart from other businesses and individuals who say they can e-file for you? We’ll discuss this and the benefits of using an authorized IRS e-file provider whose services are available online only.
An “authorized IRS e-file provider” is a business or individual that is authorized by the IRS to electronically file taxpayer returns. This provider can either be a local business, online business (like eFile360), or a business selling an e-file software, but for the focus of this article, we’ll discuss the benefits specific to online businesses.
According to the IRS, a business is recognized as an “Authorized IRS e-file Provider” when it is “accepted to participate in the electronic filing (IRS e-file) program.” Since the IRS maintains the highest standards for e-file providers, this designation is important and shows that the business promises to “protect the integrity and security of the electronic filing system” as well as the security of the taxpayer’s information.
Here are 7 benefits of choosing to use an online and authorized IRS e-file provider:
- Eliminate mistakes
- Complete a variety of forms quickly
- Last-minute filing
- Customer service assistance
- Repurpose last year’s data
- No need to purchase paper forms in bulk
- No administrative and IT costs
Eliminate mistakes
An authorized IRS e-file provider will help you eliminate mistakes in your Information Return forms before you submit them using the bulk upload option and the TIN Check add-on. The bulk upload option allows you to upload a large amount of data at once using a formatted Excel spreadsheet. If you use eFile360, we provide you with a unique Excel spreadsheet template specific to our bulk upload option in our e-filing system. You can copy the data from your accounting software into this template, which eliminates manual mistakes.
Another way to eliminate mistakes on your forms is to utilize the TIN Check add-on service. When you choose this option, our software checks the TINs (Tax Identification Numbers, such as Social Security Numbers or Employee Identification Numbers) for each form. The penalty from the IRS for reporting a wrong TIN can cost your business hundreds or even thousands of dollars, so eliminate the potential for this costly mistake by choosing TIN Check in your order.
Complete a variety of forms quickly
The bulk upload option available only through online and authorized IRS e-file providers not only eliminates mistakes, but it also saves you time. Whether you have tens, hundreds, or thousands of forms to complete, create them in minutes with the bulk upload option.
If you only have a few forms to complete, using an authorized IRS e-file provider to create forms online is quick and easy. The provider walks you through the process through the online software, making it quick and easy to complete.
Not only does an authorized e-file provider help you complete forms quickly, but we also help you complete a variety of forms quickly. At eFile360, we support the following forms:
- 1099-MISC
- 1099-INT
- 1099-DIV
- 1099-C
- 1099-S
- 1099-B
- 1099-R
- 1098
- 1098-T
- 1098-MA
- W-2
- 1095-B
- 1095-C
Last-minute filing
Each form has a submission deadline with the IRS, either by mail or e-filing. The deadline for 1099 forms is Jan. 31, so we will use that date for our example.
If you choose to manually file your Information Return forms, you can still file until the post office closes on Jan. 31, but you don’t receive any last-minute guidance or assistance while you do so.
If you choose to work with a tax professional, they will have their own deadline for accepting form submissions so they have time to process and submit the forms on your behalf.
Authorized IRS e-file providers that are solely online work similarly to tax professionals, but they have more flexibility for those who need to file last-minute. At eFile360, we accept 1099 form orders until Jan. 31 at 5 p.m. This way, we can still submit your forms on your behalf before the day is over and answer your questions before business hours end at 5 p.m.
Customer service assistance
If you have any questions while filling Information Return forms or placing an order, an authorized e-file provider is generally a phone call or email away. Many providers, like eFile360, also offer chat communications. This customer service is not meant to replace professional tax advice from your tax advisor but can help you through the e-filing process, especially if it is your first-time e-filing, aspects of your business have changed, or the tax laws have changed. This service is meant to help you get the most out of our services in a timely manner.
Repurpose last year’s data
When you manually fill out your tax forms or have a tax professional do it for you, there is no way to repurpose last year’s data. This is one major benefit of using an authorized IRS e-file provider like eFile360. When you enter data in your free account, it’s saved for 4 years, which follows the IRS’s regulations for storing data. If you use the same contractors or vendors within the next 4 years, you can copy and repurpose some of the data from the old forms to make filling out the forms even easier.
No need to purchase paper forms in bulk
When you choose to work with an authorized IRS e-file provider, we print and mail the forms to the IRS and the recipient for you. There’s no need to purchase Information Return forms in bulk, fill them out by hand or use a printer, or mail copies to the IRS and recipient. E-filing helps you purchase the exact amount of forms you need, which is not an option when purchasing paper forms as they are only available in bulk.
No administrative and IT costs
Online providers don’t require you to download software, which can spike IT costs, or take a lot of time, which can increase administrative costs. Using an authorized IRS e-file provider that is solely available online is more cost-effective because it bypasses all of these additional costs.
Conclusion
Using an authorized IRS e-file provider that is only available online will eliminate mistakes, save you time, and be more cost-effective for your business than trying to DIY the process.
Are you ready to start using an authorized IRS e-file provider? Register for a free account today.