Should you e-file?

One of the more recent innovations in taxes and tax filing is the ability to e-file your taxes. E-filing provides many advantages and disadvantages associated with it and may or may not be right for you. This article will discuss some of the considerations that you should have when deciding whether or not you want to e file my taxes.

Should you e-file your taxes?

E-filing your taxes is easy and generally very safe and allows you to receive your refund significantly faster than you may otherwise. When you e-file you don’t have to print out a return and mail it in and the federal and state tax bureau receives the return instantly which allows you to receive your return quicker. Further, there is a decreased risk of transposition or other typing errors when the IRS or other tax agency receives your information as computer are able to quickly extract information from e-filed returns. Finally, e-filing saves the government money which may or may not lead to lower tax bills in the future. These advantages greatly quicken the process of filing your taxes and is the reason many tax payers are turning to e-filing in record numbers.

On the other hand, there are security concerns associated with e-filing your taxes as hackers and other inscrutable individuals may be able to access your personal information easier and commit identity fraud. While companies have protections in place to reduce the risk of identity theft, the risk still exists and those who are sensitive to this risk may not want to e-file. Further, data loss can lead to the elimination of saved information unless copies of e-filed information is printed and stored in a safe location.