In preparation for the upcoming 2006 tax filing season, the Internal Revenue Service has added new services on its website, as reported today by Government Computer News .
Among the improvements are a drop down menu called “I need to,” which gives taxpayers better access to frequently asked questions, and an automated worksheet called the AMT Assistant, which taxpayers can use to determine if they are subject to the alternative minimum tax.
Individual taxpayers have been able to pay taxes owed by credit cards, and starting this year, businesses will be able to do the same for employment tax returns. Businesses can use electronic funds withdrawal for employment, corporate and fiduciary tax returns. Individual taxpayers and businesses also can pay taxes without extra fees through the Treasury Department’s Electronic Federal Tax Payment System.
The IRS has been trying to convince more Americans to file electronically for years, as part of the IRS’s major modernization effort. (See “The IRS Makes Progress,” and “For the IRS There’s No EZ Fix,”) In 2005, 68 million Americans, more than one-half of all income tax filers, filed their tax returns electronically. IRS officials expect that percentage to increase in 2006.