The IRS is taking another step toward offering taxpayers an option to submit documents online. So, if taxpayers receive a specific notice to send information to IRS, they now have the opportunity to present the documents online with the help of IRS.gov.
According to the National Taxpayer Advocate, the IRS has 29 million tax returns and correspondence at the end of the last filing season. There are now only weeks before the start of the current tax season. The IRS has about 5.1 million taxpayer correspondence and accounting management cases to process 2.6 million paper tax returns and an additional 1.5 Million revised returns.
But it is speculated that the IRS believes this new process cannot change the frustrated condition of the taxpayers. Sometimes before, tax professionals and taxpayers had options for responding to IRS notices like letters, phone calls, or faxes.
How can you pay tax electronically?
The IRS shall allow tax professionals and taxpayers to upload documents electronically. Firstly, the online correspondence facility shall be available to taxpayers who receive 1 of the 9 IRS notices –
- CP05A- refund information request.
- CP04- related to the varied situation in the war zone.
- CP08- relating to the child tax credit.
- CP06 and CP06A- relating to Premium Tax Credit.
- CP75- related to EITC.
- CP09- in respect of claiming Earned Income Tax Credit.
- CP75d- related to EITC and other credits.
- CP75a- related to EITC.
So, if a taxpayer receives these notices can respond to the IRS online.
The online tax-paying process
1. So, if a taxpayer gets a notice on the list, the IRS shall include language in your mailing that shall say
“Send your documents to us using the Documentation Upload Tool within 30 days from the date of this notice.”
2. The notice can include a link and a unique access code. So, you shall be able to open the link in any browser to enter your unique code, Employee Identification number or Individual Taxpayer Identification, name and Social Security.
3. Then, you can upload digital copies of documents, scans, and photos, up to 15MB per file, to up to 40 files. You will also receive a confirmation that the IRS has received your documents.
4. The IRS representative can respond to your queries after uploading the documents.
The IRS has estimated that about 500,000 taxpayers get these notices every year. The Acting Commissioner of the IRS, Doug O’Donnell, said that this is another step by the IRS to help taxpayers and improve service. This equally provides an immediate benefit to taxpayers. The taxpayers get an instant confirmation that the IRS received the documents. Also, this shall dramatically speed up the resolution of problems by removing a time-consuming step in this process.
In this way, the IRS plans to expand its program to help taxpayers. This process makes tax paying digital. It also helps taxpayers make the tax-paying process fast and advanced. Today, helping taxpayers with a digital option is a better and faster communication method. Now, the whole process can become far more advanced than it was before.