Electronic Filing
What it is:
Electronic filing, or e-File, is the online tax return filing system developed by the Internal Revenue Service (IRS)
How it works/Example:
Individual taxpayers, businesses, large and mid-sized corporations, and non-profits can file their required tax returns, including quarterly filings, directly online with the IRS through its automated e-File system.
The e-File system allows taxpayers to make payments from a credit or debit card, or through the U.S. Treasury's Electronic Federal Tax Payment System (EFTPS).
Why it matters:
Electronic filing allows for faster tax return filing, review, payment processing and refunds. Overall, the e-File system is a lower-cost alternative compared with paper form mailings, processing, and check mailings, saving money and time for both the IRS and the taxpayer.