Archived News Index

Taxhead.com Tax Software Approved by IRS; Prepare and EFile a 2006 Tax Return Starting January 10, 2007

Santa Rosa, CA (PRWeb) December 26, 2006 -- Taxhead.com has completed tax software acceptance testing with the IRS. "PATS," which stands for the "Participants Acceptance Testing System," is a testing requirement for Software Developers, Reporting Agents and e-file Transmitters planning to transmit individual electronic returns to the IRS. The purpose of PATS is to ensure, prior to live processing, that Providers transmit in the correct format and meet the IRS electronic filing (efile) specifications, that returns have few validation or math errors, that required tax return fields will post to the IRS Master File and that Providers understand the mechanics of IRS eFile.

Taxhead.com is recognized by consumers and industry analysis to be the fast, easy online tax software program. With a software package that covers about 70 percent of all personal income tax filers, Taxhead.com specializes in persons who use the 1040-A or 1040-EZ tax return form.

An executive from Taxhead.com said, "We don't ask a lot of questions that do not apply to most people. Other tax software takes people through pages and pages of questions that have nothing to do with that person's tax situation. Our approach is user-friendly. We cover the most common, most popular tax forms and situations, and cater to those persons and situations. The result is fast, easy tax software that meets the needs of most people. And, our software remains completely free to use. We only charge if a person wants to eFile their tax return, rather than print and mail the tax return. Many people choose eFile for the same reason they choose Taxhead.com tax software -- fast, easy, secure and paperless."

Last year more people than ever used Taxhead.com to prepare their tax return online free of charge. And record numbers of people used Taxhead.com's IRS eFile service to electronically file tax returns with the IRS. In preparation for the new tax season, Taxhead.com tax software has been made even easier to use. And the new tax laws, tables and codes have been added to cover changes made by the IRS for 2006 tax returns.

The Safe Shopping Network has also finished reviewing www.Taxhead.com online tax software and IRS tax e-file services. Taxhead.com has received a perfect score (100 points out of 100 possible) in all four categories reviewed: (1) safety scoring, (2) usability scoring, (3) performance scoring and (4) overall scoring. The company has received perfect scores since it began online tax filing.

An executive from Taxhead.com responded by saying, "Analysis of our own data has suggested we offer secure, fast tax software and an easy IRS eFile service. Once again an independent tester has helped back up our claims."

Last year two-thirds (67 percent) of Taxhead.com customers completed their tax return in under 30 minutes. About 40 percent completed their tax return in under 20 minutes. And 90 percent of Taxhead.com customer taxes were accepted by the IRS the first time they used our IRS efile service. Almost all of the other 10 percent of tax returns, prepared using Taxhead.com online tax software, were accepted by the IRS after people made minor corrections to their returns.

He added, "Taxhead.com offers a 100% success guarantee, and we stand behind it."

Links:
IRS eFile information at www.IRS.gov
SafeShoppingNetwork.com

Taxhead.com Receives Perfect Safety Rating, Again

24 July 2006, Santa Rosa, CA - The Safe Shopping Network has granted online tax software and IRS efile company www.Taxhead.com perfect scores, again.

The Safe Shopping Network has finished reviewing www.Taxhead.com who offers online tax software and IRS tax e-file services. Taxhead.com has received a perfect score (100 points out of 100 possible) in all four categories reviewed: (1) safety scoring, (2) usability scoring, (3) performance scoring, and (4) overall scoring. The company has received perfect scores since 2003.

An executive from Taxhead.com responded by saying, "Analysis of our own data has suggested we offer secure, fast tax software and an easy IRS eFile service. Once again an independent tester has helped back up our claims."

Last year two-thirds (67%) of Taxhead.com customers completed their tax return in under 30 minutes. About 40% completed their tax return in under 20 minutes. And 90% of Taxhead.com customer taxes were accepted by the IRS the first time they used our IRS efile service. Almost all of the other 10% of tax returns, prepared using Taxhead.com online tax software, were accepted by the IRS after people made minor corrections to their returns.

He added, "Taxhead.com offers a 100% success guarantee, and we stand behind it."

To review the scoring go to: SafeShoppingNetwork.com

Tax Refund Loans Under Fire - www.Taxhead.com offers alternative

Saturday, 18 Feb. 2006, Santa Rosa, CA - Refund Anticipation Loans (RAL) are a tool used by many tax preparation services and are coming under increased scrutiny by many consumer advocacy agencies. www.Taxhead.com does not offer refund loans, and manages to get tax refunds to people in days.

Refund Anticipation Loans (RAL) offer to get tax refunds to tax filers in a few days, but RAL's come with a high cost, are not endorsed or encouraged by the IRS, and are under suit by many consumer advocacy agencies. Online tax services such as www.Taxhead.com do not offer refund loans, and for good reasons: With IRS e-file a person can receive a tax refund in less than two (2) weeks, and as fast as nine (9) days. As an alternative to refund loans, www.Taxhead.com promotes e-file and direct deposit. This is the fastest, lowest-cost way to receive a tax refund.

For the official IRS refund cycle chart go to http://www.irs.gov/pub/irs-pdf/p2043.pdf

Still, many other major tax preparation services offer tax refund loans. Those offering "free" tax services often make their money selling refund loans to tax filers, many of which are of low income or otherwise under financial distress. These RAL's are costly and may even be illegal.

An executive from www.Taxhead.com said, "Beware of Tax Refund Loans. It is better to use eFile and direct deposit. We do not offer tax refund loans, but still manage to get our customer's refunds deposited into their bank account in as few as nine days. Our easy, fast tax software combined with IRS e-file makes all this possible."

Recently, California Attorney General Bill Lockyer filed lawsuit against H&R Block for "Illegally Marketing and Selling High-Cost Loans as ‘Instant’ Tax Refunds- Refund Anticipation Loans Enrich Firm, But Drain Millions from Low-Income Families", according to the Attorney General's press release.

"February 15, 2006 - Attorney General Bill Lockyer today filed a lawsuit against H&R Block alleging the tax preparation giant has violated 15 state and federal laws in marketing and providing high-cost refund anticipation loans (RALs) mainly to low-income families."

"Millions of Californians have placed their trust in H&R Block, and unfortunately H&R Block has repaid them by violating that trust," said Lockyer. "In marketing and selling these expensive loans, H&R Block has profited greatly, but deceived consumers, violated their privacy rights and taken money from California families who can least afford it. This lawsuit seeks to hold the company accountable for unlawful business practices, prevent future violations and compensate victims."

The complaint alleges the H&R Block defendants have violated 15 state and federal laws that regulate debt collection practices and contracts, and prohibit false or deceptive advertising, unfair business practices, and unauthorized use or sharing of individuals’ tax return information.

RALs are loans, they are not tax refunds. These refund loans are sold to taxpayers and secured by their expected refund. According to the complaint, Internal Revenue Service rules prohibit tax preparers from providing the loans themselves, so they often contract with banks for that purpose. However, the tax preparer often provides clients the loan applications, fills out the applications, sends the applications to the banks, and distributes the loan checks to customers.

If a person uses a tax refund loan, depending on the amount of refund, the refund loan fees can force customers to pay the equivalent of annual interest exceeding 500 percent, according to the complaint.

Additionally, according to the complaint and other research performed by www.Taxhead.com, many tax services that offer free tax preparation, including many participants in the IRS Freefile initiative, use and share customers’ tax-return information without clients’ written consent, in violation of state and federal law.

The www.Taxhead.com official said, "We offer a safe, sane environment for our customers. We will not sell, trade or otherwise release our customers personal information, except to file their tax return for them. People should go by the old wisdom 'there is no free lunch'. If someone offers to file taxes for free, there is probably a catch, a hidden cost, or the misuse of consumer's personal information. We do not, will not, and never have done this to our customers. With www.Taxhead.com we charge a small fee to e-file your tax return. And, your tax and personal data is kept safe and secure. No hidden fees, not gimmicks, no catches""

References:

Taxhead.com Approved as an IRS E-File Partner

Thurs., 26 Jan. 2006, Santa Rosa, CA - Taxhead.com has once again been awarded the IRS e-file partner status. The IRS's individual e-file Partnership Program relies on its partners to help make the e-file program a success. Due in part to the IRS E-File Partnership program, last year, for the first time, more than 50% of federal tax returns were e-filed.

Taxhead.com is one of only a few companies awarded the E-File Partner status by the U.S. Internal Revenue Service. E-File Partners are listed at www.IRS.gov.

To qualify as an IRS e-file Partner, Taxhead.com had to meet several criteria including longevity as an approved e-file service, tax software acceptance testing (PATS) and reviews to help insure the quality of its software and e-file tax service. These criteria are designed to help insure e-file remains accurate, secure and private for individuals. Taxhead.com marketing plans have been aligned with those of the IRS E-File program. Special offers are being extended to help first-time and low-income tax filers efile their tax return electronically. Earned Income Tax Credits (EIC) are supported, along with the self-select PIN program (this makes eFiling taxes a truly paperless experience). With online tax software and e-file, tax preparation is easy, tax refunds are received faster, and errors are fewer, as compared to paper form returns.

Taxhead.com offers the easiest tax software for 1040A and 1040EZ filers. Two-thirds of its customers complete their tax return and eFile in under 30 minutes. Thirty-eight percent (38%) file in under 20 minutes. The average time to prepare and file taxes using www.Taxhead.com tax software is under 30 minutes. See Taxhead.com?page=speed. An executive from Taxhead.com stated, "No other online tax software is easier or faster to use. Others claim to be easy efile but their results do not prove it. Analysis of our actual users suggests Taxhead.com is the fastest, easiest tax software available for 1040A and 1040EZ filers. For two years in a row we have been granted the IRS E-File Partner status. And our list of satisfied customers is growing at a record pace. We are proud to be an active, approved member of the IRS E-File program, and to be able to offer tax filers an easy, fast, accurate way to prepare and file their tax return securely online, on the web. 98% of all our customers are successful the very first time they file their tax return through us. Almost everyone is successful the second time they e-file through us. Without question, we are the easy efile option for 1040A and 1040EZ tax filers."

Taxhead.com Reports Five Fold Increase in E-File Usage

Sunday, 22 Jan. 2006, Santa Rosa, CA - Online tax software and eFile company www.Taxhead.com reports a five fold increase in sales of its eFile service. Their service is proven easy, fast and effective.

Taxhead.com is experiencing a five fold increase in e-file tax returns for the 2005-2006 tax season. Last year about 400,000 people came to the www.Taxhead.com website and the company eFiled thousands of tax returns. This year is breaking all records.

An executive from the company said, "This year people are finding our new, improved tax software significantly easier to use. Two-thirds (67%) of our customers have completed their tax return in under 30 minutes and about 40% of our customers completed their tax return in under 20 minutes. That is significantly faster than last year. We think this makes us the fastest, easiest tax software on the market. Almost all of our tax software users have their return accepted by the IRS the first time (98%) and more than 80% of our users complete their tax return in a single sitting, in front of their computer, using our secure, private Internet web software."

Last year over half of all tax returns were electronically filed. Based upon historical trends, there should be about a 10% growth in eFile usage this year. Taxhead.com is an eFile leader, realizing much greater growth in usage of its tax eFile service and web tax software.

The Taxhead.com executive also said, "Our tax software is free to use. We only charge a small fee if people want to eFile their return, instead of mailing a paper tax form to the IRS. This year we are finding more and more people choose to eFile instead of mail a paper tax return."

The benefits of IRS e-file are explained in a new article printed by Entrepreneur Magazine ( see: http://www.entrepreneur.com/money/taxcenter/article82920.html). This article was written by Taxhead.com staff to promote the benefits of IRS e-file.

Taxhead.com Proves it's 2005 Tax Software and EFile Service is even Faster and Easier.

Tuesday, 17 Jan. 2006, Santa Rosa, CA - Based upon early 2006 tax filer results, online tax software and e-file company www.Taxhead.com demonstrates it's tax software and efile service is faster and easier than ever.

Taxhead.com has analyzed tax filers using its 2005 tax software to prepare tax returns in 2006, to date. This information confirms its online tax software and efile service is faster and easier than ever. Based upon actual results, 67% of Taxhead.com customers completed their tax return in less than 30 minutes. This compares to 49% who finished in under 30 minutes using their 2004 tax software. This represents a significant increase in speed and ease.

Data is based on an analysis of tax year 2005 customers who completed entering their tax information in a single sitting (more than 80% of customers), and whose tax returns were accepted by the IRS on their first attempt (about 98% of customers).

Free Tax Software and eFile Discount Offered

Fri, 30 Dec. 2005 - Santa Rosa, California - Taxhead.com announces special discounts for first-time tax filers and low-income tax filers. Recognized as one of the easiest tax software packages on the market, Taxhead.com is making special efforts to provide first-time and low-income tax filers the opportunity to eFile their taxes online in 2006 for a special low price.

In concert with the IRS e-file program, whose goal it is to receive 80% of all tax returns electronically by 2007, www.Taxhead.com is encouraging low-income and first-time tax filers to try eFile in 2006 (filing 2005 tax returns).

An executive from Taxhead.com said, "We are trying to reach those persons that qualify for the earned income tax credit. This is a tax credit that helps working persons receive financial incentives through their income tax return. We also want new, first-time tax filers to experience the speed and ease of preparing and filing their taxes online. Our tax software has always been free to use. In other words you can prepare your taxes for free and mail them to the IRS. But if you want to gain the benefits of eFile, or electronic filing, we charge a small fee. Actually one of the lowest eFile fees in the industry. Now we want to make eFile even more affordable to more people. There are still a lot of people out there mailing paper tax returns. We think eFile should be affordable and within the reach of all Americans, no matter their income. With the discounts announced today, you can get the benefits of our easy tax software and eFile for less than ten dollars."

He noted that many military families qualify for the EITC since supplemental payments and combat pay are exempt from the EITC income calculations.

Taxhead.com tax software prepares short form taxes (1040A and EZ), which are most applicable to low-income persons, working families, students and the like - almost anyone who earns less than $100,000 a year and does not itemize their tax return.

The benefits of eFile include greater accuracy, secure personal information, faster tax refunds and a truly paperless experience if you use the self-select PIN program (an easy-to-use system offered by Taxhead.com and the IRS to make tax returns paperless).

Most Taxhead.com customers finish their tax return in under 30 minutes. The Taxhead.com tax software takes users through a simple interview process. Step, by step, the tax software has the user enter tax return data, offers answers to common questions, and helps determine if they qualify for the earned income tax credit (as well as a host of other tax credits). The software is offered through Taxhead.com's secure servers, online, and does not need to be downloaded.

To take advantage of these special offers, visit Taxhead.com. Links to the offers are available from the home page.

eFile Income Taxes Online for Free in 2006

Fri, 9 Dec. 2005 - Santa Rosa, California - In 2006, consumers have many new online ways to prepare and e-file tax returns for free. Several tax software companies offer free tax preparation software.

www.Taxhead.com offers free tax software. And the IRS free file initiative helps low income taxpayers efile their federal tax returns for free. Most states offer free online tax filing.

An executive from www.Taxhead.com stated "Online tax filing has reached a tipping point. Self-prepared online tax filing is growing at 15% a year and last year more than 50% of individual tax returns were electronically filed (e-file). There are real, practical reasons for the growing popularity of online tax software and eFile - easy, fast, secure tax preparation, fewer errors, and faster tax refunds. We offer our tax software free of charge, and link people to state tax sites where they can file their state tax return for free. We only charge a small fee if people want to e-file their federal income tax return. There are no hidden fees or additional services. We make filing taxes easy."

But "free" does not always mean free, he cautioned, "Read the fine print BEFORE you start work on your tax return. Some tax software companies, like www.Taxact.com, do allow you to prepare, print and e-file your federal tax return for free, but charge you extra for tax help and for filing state tax returns. These companies try to suck people into their tax software, knowing that most people will end up paying for tax help and to e-file tax returns. With us our tax help screens are free of charge. Some companies also try to sell you refund anticipation loans. RAL's are loans that usually come with high fees. The IRS does not encourage or endorse the use of RALs, and so we do not offer them. With e-file you can get your tax refund in days, so why pay for a refund loan?"

Taxhead.com specializes in short form tax returns (1040A and 1040EZ). Because their tax software is specially made for these tax returns, their tax service is fast and easy to use. People are not asked a lot of questions that do not pertain to their tax situation. He added, "If you file a short tax form, which 70% of all people do, why use tax software designed for more complicated long forms? We think preparing taxes is troubling enough for people. Our goal is to make tax preparation easy and fast. We are an authorized IRS E-File provider, which sets strict security and privacy guidelines. But we also go above an beyond the IRS guidelines for security and privacy."

Taxhead.com does not offer state tax filing because many, in fact most, states now offer free tax e-File services. This allows you to file your state income tax return directly through the state Web site.

For example, CalFile is the California Franchise Tax Board's (FTB) free and direct way to file your California income tax return. Over 8 million taxpayers chose to e-file their California income tax return last year because it's a great option for filing. And CalFile is free. No need to pay H&R Block or TurboTax or TaxAct or any other online tax software company to file your tax return -- use Calfile, or other state tax filing sites.

Taxhead.com offers a page that provides links to tax filing agencies in all 50 states.

Taxhead.com, a leader in online tax filing, recommends you use their free tax software to prepare your 1040-A (or EZ) federal tax return. Then use the state e-file services to file your state return, if you need to -- You may not need to file a state income tax return if you are a resident of Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, or Wyoming.

Taxhead.com tax software is free to use. They are an authorized IRS e-file provider and offer e-file for just $12.95. E-file comes with many benefits, making it an excellent value.

IRS Warns of e-Mail Scam about Tax Refunds

Wed, 7 Dec. 2005 - Santa Rosa, California - The Internal Revenue Service issued a consumer alert about an Internet scam in which consumers receive an e-mail informing them of a tax refund. To protect yourself, use an IRS authorized tax software and e-file provider.

The Internet scam uses an e-mail which claims to be from the IRS, directs the consumer to a link that requests personal information, such as Social Security number and credit card information.

This scheme is an attempt to trick the e-mail recipients into disclosing their personal and financial data. The practice is called "phishing" for information. »Review the complete IRS press release

However the safety and security of the IRS E-FIle system remains robust. According to an executive at Taxhead.com, "The IRS E-File system is absolutely secure. Authorized e-file providers, like us, adhere to strict IRS security guidelines. In fact, we exceed the IRS security guidelines."

He added, "Whenever you use online tax software or tax e-file services, make sure the company you use is authorized by the IRS. Taxhead.com provides state-of-the-art security to ensure that tax filer data is not compromised. At Taxhead.com, we know that security is crucial to our customers. That's why security is our top priority. We devote significant resources to continually develop our world-class security infrastructure."

"Taxhead.com seeks to encourage a safe, sane and comfortable environment for our customers. We do not sell, give or barter email addresses or any other information about our customers."

The IRS keeps a list of authorized tax software developers and e-file providers at: www.IRS.gov

View:
» Security features used by Taxhead.com
» The company's Privacy Policy

Taxhead.com is an authorized IRS tax software developer, e-file tax return provider, and IRS e-File Partner.

Taxhead.com Tax Software Approved by IRS for 2005 - 2006 Tax Season

Wed, 23 Nov. 2005 - Santa Rosa, California - Energy Matters LLC, owner and operator of Taxhead.com has completed its tax software acceptance testing requirements with the United States Internal Revenue Service (IRS) for its tax year 2005 software (for tax returns being prepared and filed in 2006).

"PATS", which stands for the "Participants Acceptance Testing System", is a testing requirement for Software Developers, Reporting Agents, and e-file Transmitters planning to transmit individual electronic returns to the IRS. The purpose of PATS is to ensure, prior to live processing, that Providers transmit in the correct format and meet the IRS electronic filing (e-file) specifications; that returns have few validation or math errors; that required tax return fields will post to the IRS Master File; and that Providers understand the mechanics of IRS e-file.

New tax codes have been added to the tax software to cover changes made by the IRS for 2005 taxes. These tax changes include an increase in the IRA deduction, Hurricane Katrina tax relief, a new definition for a Qualifying Child, and the exclusion of an exemption for dependents if the tax filer is also a dependent claimed on someone else's tax return.

Several tax software enhancements have also been made by Taxhead.com, making it easy to prepare and eFile tax returns (tax form 1040A, EZ). Taxhead.com is proud to continue to offer one of the easiest, fastest, most secure ways for people to prepare their taxes.

This online tax software remains free to use. Taxhead.com only charges a small fee for their eFile service.

eFile Tax Software Private and Secure - American Owned and Operated

Sunday, 20 Nov '05, Santa Rosa, CA - Taxhead.com remains 100% American owned and operated, even as other tax preparation services outsource and offshore tax and financial data handling.

To prepare and E-file your income tax requires that a great deal of personal data be collected and transmitted. The use of IRS E-File has grown substantial in the past few years, surpassing 50% of all tax returns in 2005. At the same time identity theft, and data outsourcing have grown. As such, privacy and security are growing concerns for persons using the Internet to prepare and efile tax returns.

As part of a long and growing line of privacy and security measures, www.Taxhead.com, announced today that it remains 100% American owned and operated, and handles all data processing in-house, using its own secure servers.

An executive from Taxhead.com said, "More and more tax preparation services are outsourcing and offshoring aspects of their business processes. They seek to improve their organizational efficiency and reduce costs. But we have not seen where this benefits to individual tax filer. Tax software from other companies remains expensive, and often difficult to use. For Taxhead.com, privacy and security are of paramount importance. We have developed an operational strategy that allows us to remain fully, 100%, American owned and operated. We do not outsource any of our data handling. Our tax software remains free to use, and we offer one of the lowest price tax eFile services on the market."

He added, "Taxhead.com seeks to encourage a safe, sane and comfortable environment for our customers. We do not sell, give or barter email addresses or any other information about our customers. We keep our business structure clean and we think this shows in our products; our eFile serve remains the easy, fast, secure choice in the tax software and eFile market."

According to the Federal Deposit Insurance Corporation (FDIC), "The use of offshore contractors has grown dramatically in the past few years due to the flexibility offered by new information technology (IT) and the prospect of lower costs. At the same time, consumers have become more concerned about privacy, and the abuse of personal data has increased as instances of fraud, such as identity theft, have become commonplace."

According to MSN.com Money Central,"Tax returns, mortgage applications, even credit-bureau files are among the sensitive financial data that cost-conscious American firms are quietly shipping overseas. As many as 500,000 U.S. tax returns could be prepared in India next year, says tax outsourcing expert Gary Boomer of Boomer Consulting in Manhattan, Kan ... The motivator is simple: Money. Overseas processors often can do the work for a fraction of what it would cost domestically."

"Persons interested in the highest level of security should consider self-preparing their taxes. Tax software, like ours, is available to help people prepare their own tax return easily. In any event, we encourage people to look at the privacy and security policies of any company before choosing an online tax software and eFile service. We work hard to protect our customer's identity, privacy or security.", said Taxhead.com

Tax Panel takes a Populist Position on Taxes

Saturday, 5 Nov '05, Santa Rosa, CA - President Bush's Tax Advisory Panel may have recommended something that flies in the face of Bush's critics. The tax recommendations, if adopted, may actually help the bulk of Americans, and not the affluent.

The most controversial aspect of the Tax Panel's recommendation seems to be related to mortgage interest deduction limits. But, according to the IRS, today about 70% of Americans file tax form 1040-A or 1040-EZ, the "short forms". These forms do not allow mortgage interest deductions to be claimed. So for about 70% of Americans, changes in mortgage interest deduction tax law will have little direct effect on them. But other effects from these tax law changes may work to the advantage of the 70% of Americans who file tax form 1040-A or 1040-EZ.

According to the New York Times, "The panel had a powerful rationale behind its proposal: many economists say the real estate subsidy is one of the tax code's most unfair features, overwhelmingly benefiting the affluent and pulling investment from the rest of the economy into the housing sector. Today, most of the mortgage tax advantages accrue to the rich rather than struggling first-time homeowners. More than 55 percent of the mortgage tax subsidy last year, according to the Congressional Joint Committee on Taxation, accrued to just 12 percent of taxpayers with incomes above $100,000."

The Times added, "Low-income homeowners often do not claim the deduction (for home mortgage interest), opting instead to take the $10,000 standard deduction available to families. Turning the deduction into a tax credit would equalize its value and make it available to more people on the lower end of the market."

Affordable housing in the high-priced real estate markets is a problem often talked about. And, perhaps the tax laws changes proposed, if adopted, would also help level the housing market for the benefit of more Americans. Some analysts and special interest groups, critical to the Tax Panel's recommendations, fear such changes in tax laws will cause housing prices to fall, especially in high-cost real estate markets. But James Poterba, an economist at the Massachusetts Institute of Technology who is on the president's panel argues that it is unlikely home prices would fall as much as others fear. For example, the tax law changes could slow investment in housing, thus reducing the supply of homes along with the demand. Methods of financing homes could also change in response to the tax laws.

In fact, reducing the tax code's subsidy to housing may be a sound idea. "It's an appropriate change to the tax code," said Mark Zandi, chief economist at Economy.com, a research firm. "While it may have made sense a quarter of a century ago, now I don't see a compelling advantage to providing these tax advantages to housing."

Edward L. Glaeser, an economics professor at Harvard said, "The deduction increases the amount spent on housing, but it has almost no effect on the home ownership rate." Instead, what the subsidy has done, according to the New York Times article, is encourage people to build and buy bigger and more expensive houses.

Joel B. Slemrod, the director of the Office of Tax Policy Research at the University of Michigan said, "At the high end it reduces demand and will probably push prices down. For low-end housing, it could go the other way around."

Overall, the Tax Panel's recommendation, if adopted, could result in more Americans filing short tax forms (1040A and 1040EZ). Simpler taxes for all, a more even spread across income and wealth brackets, more affordable housing -- these all sound like the right direction. According to an executive at Taxhead.com, an online tax software and e-file company, "As a side benefit, but an important one, if taxes are indeed simplified, more Americans will be able to prepare and file their own income tax returns. Rather than spending hundreds of dollars on paid preparers like H&R Block, Jackson-Hewitt, and Liberty Tax, more Americans will be able to prepare their own taxes. With this, people would better understand, and be more accountable for their own financial and tax situations. It's a move toward a learning and learned population of tax payers. Accountability at the home level, the personal level."

Today, the IRS E-File system together with a broad range of online tax software products allow many people to prepare their own taxes. Many of these online tax software programs are free, or offered for a nominal cost. Tax services like Taxhead.com offer online tax software for free and charge a small fee for eFile.

The IRS, with its E-File system, and online tax software companies are ready to help millions of American tax payers file taxes more simply, more quickly and themselves.

The Taxhead.com executive added, "Perhaps with new tax code laws adopted, the U.S Government will also help move more Americans toward financial accountability, self-prepared taxes, more affordable housing for more people, and a fairer spread of the riches of America across all Americans."

E-File Can Help Reduce Undelivered Tax Refunds

Wednesday, 2 Nov. 2005, Santa Rosa, CA - The IRS is looking for more than 84,000 owners of undelivered tax refunds. E-file combined with direct deposit can help reduce this problem.

The Internal Revenue Service has reported that it is "seeking 84,290 taxpayers whose income tax refund checks could not be delivered in 2005. Checks totaling approximately $73 million can be reissued as soon as taxpayers correct or update their addresses with the IRS. In some cases, a taxpayer has more than one check waiting. The average amount owed to each taxpayer is $871."

IRS Commissioner Mark W. Everson said, "Our goal is to get this money back in the hands of the people it belongs to. Visiting IRS.gov makes it easy for taxpayers to see if they've missed a refund."

E-File & Direct Deposit Help Tax Refunds Find Their Owners

To put an end to undelivered refunds, taxpayers can join more than 52 million individuals this year who have taken advantage of Direct Deposit. Taxpayers who choose this service received their tax refunds directly into their personal checking or savings account. According to the IRS, Direct Deposit, which also guards against theft or lost refund checks, is available for filers of both paper and electronic returns.

If tax filers electronically file (E-file) and use direct deposit the problem can be further reduced; tax form errors are reduce and more quickly remedied. Online tax software and e-file dramatically reduce tax return errors. According to the IRS, an error rate of about 20% is found with paper tax returns. In comparison, tax returns which use e-file have an error rate of about 1%. With e-file, if an error is found, the tax filer can correct and resubmit their return quickly, electronically, and often themselves online. Also with e-file, the tax filers gets an official IRS acknowledgement that their return was received. E-filed tax returns are generally processed in about 24 hours. Online tax services like Taxhead.com offer free tax software designed to improve tax form accuracy and greatly reduce tax form errors. For a small fee, tax filers can e-file their tax return online. Direct deposit is offered for all tax filers.

How to Update an Address with the IRS

Taxpayers who have moved since filing their last tax return can ensure the IRS has their correct address by filing Form 8822, Change of Address, with the IRS. Download the form from IRS.gov or request it by calling 1-800-TAX-FORM (1-800-829-3676). Those who do not have access to the Internet and think they may be missing a refund should first check their records or contact their tax preparer, then call the IRS toll-free assistance line at 1-800-829-1040 to update their address.

Links:

Taxhead.com Proves again that it's Tax Software and EFile Service is Fast and Easy.

Tuesday, 31 Oct. 2005, Santa Rosa, CA - Online tax software and e-file company www.Taxhead.com demonstrates it's tax software and efile service is fast and easy.

Taxhead.com has released information confirming the ease and speed of its online tax software and efile service. Based upon actual results, half (49%) of Taxhead.com customers completed their tax return in less than 30 minutes. Three-quarters (76%) of customers were able to complete and efile their taxes in under 60 minutes.

Data is based on an analysis of tax year 2004 customers who completed entering their tax information in a single sitting (84% of customers), and whose tax returns were accepted by the IRS on their first attempt (about 90% of customers). For more information please go to www.Taxhead.com?page=speed

For comparison purposes, the IRS reports that the average completion time for tax form 1040 is over 13 hours, and over 10 hours for form 1040A. Online tax preparation together with e-file has proven itself to be a more accurate, less time-consuming method for preparing and filing income tax returns. IRS statistics show that in 2003, over 54 million tax returns were filed electronically (e-File) versus mailed paper forms. In 2004, for the first time, more than 50% of individual tax returns used efile.

Using online software, such as that offered by Taxhead.com, allows most people to complete their tax return in less than 30 minutes. And, according to the IRS, the error rate for e-file returns is only about 1%, as compared to more than 20% errors with paper returns.

Taxhead.com offers free online tax software for tax form 1040-A, which also covers tax form 1040-EZ filers. This tax software covers approximately 70% of all income tax returns in the United States. The company is an authorized authorized IRS E-File Partner.

Taxhead.com Announces Affiliate Program

Tuesday, 25 Oct. 2005, Santa Rosa, CA - Online tax software and e-file company www.Taxhead.com kicked off an affiliate marketing program with ShareASale.com.

Taxhead.com has teamed up with ShareASale.com to offer an affiliate marketing program. This is part of the growth strategy being implemented by Taxhead.com, in step with the IRS tax e-file program. According to IRS reports, in 2005, for the first time, the IRS e-file program processed more than 50% of all individual income tax filings. E-file continues to grow at record paces.

Announcing the affiliate program, an official from Taxhead said, "Last year we had almost 400,000 visitors and we expect to grow significantly in 2006. E-file is proving to be the best way for people to file their taxes. And online tax software is one of the best ways for people to do their taxes -- it empowers people to take tax matters into their own hands. Online tax software with e-file is secure. It reduces tax errors, speeds tax refund payments from the IRS, and people can finish their taxes in minutes. This affiliate marketing program is one of our many new initiatives designed to help more people learn about the innovative, easy-to-use, affordable online tax services we offer".

Taxhead.com is a leading tax e-file service providing tax filers a fast, easy way to e-file taxes. And, at one of the lowest prices in the industry. The Taxhead.com tax software works well for most taxpayers (about 70%). It covers the most popular tax situations and can e-file "short form" tax returns (1040A and EZ).

If you are interested in marketing Taxhead.com online, affiliate accounts can be requested through ShareASale.com

Taxhead.com Receives Perfect Safety Rating

Saturday, 22 Oct. 2005, Santa Rosa, CA - The Safe Shopping Network has granted online tax software and efile company www.Taxhead.com perfect scores.

The Safe Shopping Network has finished reviewing www.Taxhead.com who offers online tax software and IRS tax e-file services. Taxhead.com has received a perfect score (100 points out of 100 possible) in all four categories reviewed: (1) safety scoring, (2) usability scoring, (3) performance scoring, and (4) overall scoring.

An executive from Taxhead.com responded by saying, "Analysis of our own data has suggested we offer the fastest tax software and that we are the easy-to-use eFile service. Now an independent tester has helped back up our claims."

Last year half of Taxhead.com customers completed their tax return in under 30 minutes. And 90% of Taxhead.com customer taxes were accepted by the IRS the first time they used efile. Almost all of the other 10% of tax returns, prepared using Taxhead.com online tax software, were accepted by the IRS after people made minor corrections to their returns.

He added, "Taxhead.com offers a 100% success guarantee, and we stand behind it."

To review the scoring go to: SafeShoppingNetwork.com

About the Scoring

High quality web sites earn high scores because they are owned by business people who care about quality. The web sites listed in the Safe Shopping Network (SSN) have been tested by SSN to help consumers decide which web sites they should shop at. SSN takes the trouble to test and score each web site. This provides consumers with objective information from an objective source: The Safe Shopping Network

About the Safe Shopping Network

The Safe Shopping Network is a guide to the tested best shopping websites in the world. Our testing technologies have the ability to test many safety and reliability features of any merchant online. No other company possesses such consumer oriented testing software and results and our users know that. We have used these technologies to test thousands of top merchants from Amazon on down successfully mining useful safety and reliability information for consumers. We have used our data to create the first standard for Internet safety and reliability on the web. As visitors browse our listings they are able to compare each site to that standard.

More short form taxes for all Americans?

Thursday, 20 Oct. 2005, Santa Rosa, CA - New tax law changes planned by President Bush's tax advisory commission, may result in more Americans filing short form (1040A and 1040EZ) tax forms, instead of the 1040 long form tax return. This may be welcome news for many Americans, but perhaps not for paid tax preparers.

With these changes, and others planned, it is likely that more Americans will be filing short form (1040A and 1040EZ) tax forms, instead of the 1040 long form tax return. This may be welcome news for many Americans. But perhaps not for paid tax preparers. With short forms, many Americans are finding they can do their own taxes ("self prepare"). Several new online tax software programs, together with the IRS e-file system are allowing most people to easily, and quickly prepare and efile their own tax returns.

Many Americans are finding they can do their own tax returns, or "self prepare". In recent years, the IRS's e-file system has resulted in a growing number of online tax software programs. Currently the IRS E-File Partnership lists twenty seven (27) IRS-approved efile services (http://www.irs.gov/efile/lists/0,,id=101223,00.html). Some of these efile services, such as www.Taxhead.com, specialize in short form tax returns. This online tax software allows most people to easily, and quickly prepare and efile their own tax returns. According to IRS statistics, almost 70% of all individual federal income tax returns are short form returns (1040-A or 1040-EZ). And in 2005, for the first time, the IRS reported that more than half of all tax returns were electronically filed (e-file).

According to a Taxhead.com official, "We welcome any move that helps simplify the tax code and the tax return process for Americans. We think all Americans should be able to prepare and efile their own taxes. Some of the changes to be proposed by the Bush Tax Advisory Commission may help with this desire for tax simplification. We hope with such changes enacted the growing disparity we've seen in recent years, between rich and poor, may start to come back in line -- to make things fairer across American society as a whole. People should be empowered to take control of their own tax returns. Tax simplification, combined with the power of online taxes and eFile, is a step in that direction."

According to the New York Times (19 Oct, 2005 -Tax Advisers to Bush Prepare 2 Overhaul Plans, David E. Rosenbaum), "President Bush's tax advisory commission agreed on Tuesday to recommend two alternative plans, both of which would limit or eliminate almost all existing tax deductions, including those for state and local income and property taxes." It was further reported that "the plans, if enacted, would amount to the most fundamental change in the American tax system in 20 years. ... One of the chief aspects of the plans is that they would replace personal exemptions and almost all deductions with tax credits. That means a tax break like the one for interest payments on a modest-size mortgage would be worth the same to each taxpayer regardless of income. Deductions and exemptions, by contrast, are worth more to taxpayers in high brackets than to those in lower brackets." Apparently the panel decided early on to recommend abolishing the alternative minimum tax. This is an unpopular tax that may impact middle-income taxpayers at an increasing rate in coming years.

Free File is not necessarily free, and it is confusing

Wednesday, 12 Oct. 2005, Santa Rosa, CA - The IRS free file initiative was designed to help low income taxpayers efile their returns. But, if you are using Free File, read the fine print BEFORE you start work on your tax return. Free file can be confusing and many hidden fees can apply. Your privacy and security may also be at risk.

Watch out for Cross Marketing Programs

Read the Privacy policies. Often companies are offering free tax eFile only to get your personal information and sell it to others, or use it themselves to sell you other products. This is a common tactic of the free eFile companies. This tactic may skirt the protections of the Internal Revenue Code, 26 U.S.C. section 7216. If you are interested in the privacy and security of your personal taxpayer information, read the privacy policy carefully.

Watch out for any "hidden fees" in preparing your return.

Users should watch out for Cross Marketing Programs. It is important to read the privacy policies. Often companies are offering free tax e-file in exchange for your personal information which can be sold to others, or Free File companies themselves may try to sell their other products. This is a common tactic of the free e-file companies. So, if you are interested in the privacy and security of your personal taxpayer information, read the privacy policy carefully.

The American Bar Association offers the following additional advice: "Watch out for any 'hidden fees' in preparing your return."

Even though some qualify to have their federal return electronically filed for free, other services offered by the commercial filers may not be free. Hidden costs are everywhere, so users need to be alert and aware. Some companies participating in Free File may offer to 'professionally review' tax returns after they are filed, or they may offer an online interactive feature to answer your questions, all for a price.

Check to make sure what, if any, costs would be charged if you have questions about your tax return once it is filed. Make sure to understand if the company will charge to help you fix any problems you might later have with your tax return, if they even offer this service. Free Assistance my also be available. Call the Taxpayer Advocate's office at 877-777-4778.

Beware of pitches for costly refund anticipation loans.

If you Free File and arrange for direct deposit of your refund into a bank account, the IRS says you should have your money generally within ten days. The IRS does not charge any fees to do this and you receive your FULL refund amount. Nevertheless, participating companies in the Free File program offer refund anticipation loans (RALs). If you agree to an RAL, you will receive the dollar amount due you by the IRS as soon as you file your tax return. You should understand that RALs are NOT REFUNDS. RALs are loans with interest. RALs always include interest, usually very high, and many times an additional fee will be added. An RAL reduces the amount of your REFUND by the amount of the fees and interest charges. The longer it takes you to pay back your RAL the more it will cost you. Think carefully before you agree to an RAL. You are liable for the RAL (loan) even if your refund from the IRS is disallowed in whole or in part. This is because an RAL is a separate loan from a lender. It is not your refund.

The IRS does not encourage or endorse the use of RALs offered by commercial providers.

You have important rights as a taxpayer. If you are uncertain of your rights, contact:

There is no single way to determine who qualifies for Free File so you will need to do some homework. In order to qualify, you also must meet one or more eligibility conditions, including:

Still, the process can be confusing. Seventeen companies are participating in the Free File alliance, and each has its own criteria for determining who can eFile for free. For example, one company offers free e-filing for those with an adjusted gross income of $30,000 or less. Another offers the service to someone with an adjusted gross income of $100,000 or above. Still other companies offer free services to anyone 50 or older, taxpayers on active military duty, or residents of specific states.

A Safer, Easier Way to File Your Taxes is to use Low-Cost E-File Companies

Reputable companies like Taxhead.com charge a small fee to efile your tax return, but honor and respect your privacy. According to their Privacy Policy, which is monitored by TRUSTe, your information will never be sold, disclosed, or used for cross marketing. Taxhead.com also offers a single fee, with no hidden charges, to eFile your federal income tax return.

Taxhead.com Awarded "Hacker Safe"

Thursday, 10 Feb. 2005, Santa Rosa, CA - Taxhead.com, as a leading online tax e-file service, is sensitive to consumer privacy and security. The IRS reports that "IRS e-file transmissions are absolutely secure." However consumer surveys indicate that online privacy and security are one of the major concerns of persons using online systems. Taxhead.com has taken several important steps to help insure the security and privacy of its customers. This includes participation in the TRUSTe privacy program, use of GeoTrust for encrypted data transmission, and two services to insure Taxhead.com servers remain secure - SecurityMetrics and ScanAlert. ScanAlert has certified Taxhead.com "Hacker Safe".

Taxhead.com Awarded IRS e-file Partner Status

Thurs., 20 Jan. 2005, Santa Rosa, CA - Taxhead.com has been awarded the IRS e-file partner status. The IRS's individual e-file Partnership Program relies on its partners to help make the e-file program a success. Due in part to the e-file partnership program, this year, for the first time, more than 50% of federal tax returns will be e-filed.

To qualify as an IRS e-file Partner, Taxhead.com had to meet several criteria, including those designed to help insure e-file remains accurate, secure and private for individuals. Taxhead.com marketing plans also have been aligned with those of the IRS. Special offers are being extended to help first-time tax filers efile their tax return electronically. Earned Income Tax Credits are also supported, along with the self-select PIN program (this makes eFile a truly paperless experience). With online tax software and e-file, tax preparation is easier, tax refunds are received faster, and errors are fewer, as compared to paper form returns.

IRS Begins 2005 Filing Season with Taxhead.com

Thurs., 13 Jan. 2005, Santa Rosa, CA - The Internal Revenue Service opened the 2005 tax filing season on January 3rd. E-file submissions will start on Friday, January 14th. This year the IRS announced that it has expanded electronic services, and offers easier tax filing rules and new tax law changes. Thanks in part to the significant benefits of IRS e-file the IRS announced that it expects to surpass a milestone in the e-file program by the April 15 filing deadline.

According to the IRS, it mailed about 30 million tax packages to Americans the first week in January. "But, increasingly, taxpayers are swapping their pencils for their mouse."

In 2005, the IRS projects "the number of individual taxpayers filing their taxes electronically will surpass 50 percent for the first time. More than half of the expected 133 million individual tax returns will be filed through IRS e-file in 2005. Last year, almost 62 million Americans used e-file."

"E-filing is fast, secure and reliable. Taxpayers who e-file will get their refunds in half the time", said Mark W. Everson, IRS Commissioner.

And the IRS adds that "Taxpayers who use IRS e-file have a higher satisfaction rating than those who still use paper returns, according to the American Customer Survey Index, which rates private and public sector service industries."

Taxhead.com and Latino-Efile.com are operated by Energy Matters LLC. In December the Company passed IRS acceptance testing in less than 2 days. The IRS test reviewer suggested this was the best test result she had seen in more than thirteen years she has managed e-file acceptance testing for the IRS. Energy Matters prides itself on its proprietary, high-quality, secure and accurate tax software. This software has been specially designed to help persons complete "short" tax forms -- form 1040A, which also applies to form 1040EZ filers -- in under 30 minutes. The Company offers its tax software free of charge.

For a small fee, the Company offers the acclaimed IRS e-file service. With e-file tax filers can normally expect their tax refund to be direct deposited into their bank account the next week. The Taxhead.com software in combination with IRS e-file has been proven to be the fastest, most accurate and socially-responsible way for Americans to file their tax returns. It uses less time, less energy, less paper and fewer resources than the old way - paper filing. And, with modern data security and privacy practices, online tax preparation is also proving to be one of the most secure ways to prepare and file a tax return.

Special Offer for First-Time Tax e-Filers

Fri., 31 Dec 2004, Santa Rosa, CA - If in 2005 you will file your federal income tax return for the first time, then Taxhead.com is offering a special discount on its IRS e-File service. E-file offers many advantages over filing a tax return with paper forms.

Taxhead.com is designed to make preparing and filing your tax return easy. Their tax software is free to use and guides you, step by step, through the tax preparation process. Extensive online help screens answer questions you may have during the process. Most of their customers finish in under 30 minutes and get a tax refund only days later. Several security measures are used to protect personal information.

Taxhead.com specializes in the 1040-A tax form (also called the "short form"). This form works for most people that earn less than $100,000 per year and do not itemize deductions -- that's about 70% of all personal income tax returns in the USA. As a first-time tax filer, you will probably find yourself in this category.

With the Taxhead.com online tax software you are empowered to prepare your own tax return, for free. After you finish preparing your tax return, take advantage their IRS e-file service. This electronically and securely transmits your return to the IRS. With e-file you can get your tax refund in as few as nine (9) days.

Taxhead.com software is free, but they charge one low price for the e-file service. To help get first-time tax filers started with IRS e-file, Taxhead.com is offering a special discounted price to first-time filers.

Paperless Tax Returns - the Self-Select PIN

Fri., 31 Dec 2004 - Santa Rosa, CA - Taxhead.com and Latino-efile.com offer the IRS Self-Select PIN (Personal Identification Number). This allows taxpayers to electronically sign their e-filed tax return by selecting a five-digit PIN as their signature. The five-digit PIN can be any five numbers except all zeros. To use the self-select PIN program, the taxpayer will need their original adjusted gross income (AGI) from their prior year (Tax Year 2003) tax return and their Date of Birth for verification purposes. It eliminates the requirement for Form 8453, U.S. Individual Income Tax Declaration for an IRS e-file Return, in most cases, making e-filing returns TRULY PAPERLESS for most taxpayers.

For more details about the IRS self-select PIN program please see the IRS's information page: IRS Self-Select PIN Method for e-file.

Taxes Meet Their Match

Mon., 26 Dec 2004

Santa Rosa, CA - Taxhead.com is launching an advertising campaign with InterActive Corporation, owner of Match.com. Energy Matters LLC, the company behind www.taxhead.com and www.latino-efile.com has signed an agreement with InterActive Corp. to advertise on Match.com.

The online ad campaign will target persons with incomes below $50,000 who live in the states of Alaska, Florida, New Hampshire, South Dakota, Tennessee, Texas, Wyoming, Washington and Nevada.

Taxhead.com and Match.com designed this advertising campaign to reach the persons most likely to benefit from Taxhead.com's tax preparation and efile services. Taxhead.com is tailor-made for taxpayers who are eligible to file federal income tax forms 1040EZ or 1040A. This covers about 70% of all federal income tax returns. Persons who qualify for the Earned Income Tax Credit (EITC), persons who received combat pay, and persons not required to file state income tax returns will find the Taxhead.com service an especially good match for their income tax return needs.

Taxhead.com offers the easiest, fastest way for people to complete and efile their 2004 federal income tax return. They are also one of the lowest-cost tax solutions available on the market. Using the Taxhead.com software is free. IRS eFile is offered at one low price.

Taxhead.com does not file State tax returns. This is why the service is perfect for people living and working in states that do not require individual income tax returns. Taxhead.com streamlines the tax preparation and efile process and is tailor-made for people not required to file state income tax returns. The states which do not require income tax returns include Alaska, Florida, New Hampshire, South Dakota, Tennessee, Texas, Wyoming, Washington and Nevada

However, if you are not a resident of these states you can still use the Taxhead.com service. In fact, Taxhead.com offers links to state tax agencies that offer free state income tax filing.

Texas Residents to Experience Easy, Fast Tax Preparation

Mon., 26 Dec 2004

San Antonio, Texas - Taxhead.com is launching an advertising campaign in Texas. Energy Matters LLC, the company behind www.taxhead.com and www.latino-efile.com, has signed an agreement with a group of marketing companies to advertise in Texas. Outdoor advertisements will be provided by Clear Channel. These advertisements will be displayed throughout the greater San Antonio metropolitan area.

Taxhead.com offers the easiest, fastest way for people to complete and efile their 2004 federal income tax return. They are also one of the lowest-cost tax solutions available on the market. Using the Taxhead.com software is free. IRS eFile is offered at one low price.

Taxhead.com is for taxpayers who are eligible to file federal income tax forms 1040EZ or 1040A -- about 70% of all personal income tax returns in the United States.

Taxhead.com does not file State tax returns. This is why the service is perfect for Texans -- the state of Texas does not require individual income tax returns. Taxhead.com streamlines the tax preparation and efile process and is tailor-made for people not required to file state income tax returns. The states which do not require income tax returns include Alaska, Florida, New Hampshire, South Dakota, Tennessee, Texas, Wyoming, Washington and Nevada

However, if you are not a resident of these states you can still use the Taxhead.com service. In fact, Taxhead.com offers links to state tax agencies that offer free state income tax filing.

Tax Credits Extended to Working Individuals and Families

Mon., 20 Dec 2004

Santa Rosa, California - The Earned Income Tax Credit ("EIC" or "EITC") and the Child Tax Credit are federal income tax benefits for working individuals and families. For tax year 2004 these credits have become even more accessible thanks to IRS tax changes, including changes to how "combat pay" is treated.

Combat Pay: Some military personnel receiving combat pay get larger tax credits because of two law changes. The new law counts excludable combat pay as income when figuring the Child Tax Credit and gives the taxpayer the option of counting or ignoring combat pay as income when figuring the Earned Income Tax Credit. Counting combat pay as income when calculating these credits does not change the exclusion of combat pay from taxable income.

The EITC is a refundable federal income tax credit for low-income working individuals and families. When the EITC exceeds the amount of taxes owed, it results in a tax refund to those who claim and qualify for the credit.

EITC Assistant - You can find out if you are eligible for the Earned Income Tax Credit (EITC) by answering a few simple questions and providing basic income information. Tax software such as Taxhead.com make these calculations for you based upon information you enter. The IRS also has an online tool to assist you in determining your correct filing status, determining whether your child(ren) meets the tests for a qualifying child, and, coming in January 2005, estimate the amount of credit that you may receive.

For more information about combat pay, the IRS has a special information page called Tax Information for Members of the U.S. Armed Forces available on their Web site.

Energy Matters LLC is the owner and operator of Taxhead.com and Latino-efile.com. These online tax software services allow persons to prepare and e-file their tax return quickly, and receive their IRS tax refund in days. These online services are developed specifically for persons qualifying for the 1040-EZ or 1040-A ("Short form") federal income tax return.

Energy Matters LLC Approved by IRS

Wed, 8 Dec 2004

Santa Rosa, California - Energy Matters LLC, owner and operator of Taxhead.com and Latino-efile.com has completed its testing requirements with the United States Internal Revenue Service (IRS) for 2004 tax year e-file returns. These are tax returns that will be prepared and filed with the IRS in 2005.

PATS which stands for the "Participants Acceptance Testing System", is a testing requirement for Software Developers, Reporting Agents, and Transmitters planning to transmit individual electronic returns to the IRS. The purpose of PATS is to ensure, prior to live processing, that Providers transmit in the correct format and meet the IRS electronic filing specifications; that returns have few validation or math errors; that required fields will post to the IRS Master File; and that Providers understand the mechanics of IRS e-file.

Taxhead.com and Latino-efile.com are online tax software packages, available free of charge to users. The "e-file" service offers many advantages over paper filing, and is offered for just $12.95. These online tax software and e-file services are designed to help people that earn less than $100,000 per year and do not itemize deductions (The short "A" or "EZ" forms). The Earned Income Tax Credit (EITC or EIC) is also offered. This can provide a tax credit (refund) to low-income working persons and families. Combat pay can be included or excluded from the EIC eligibility calculations, making the EIC available to many military personnel. Energy Matters LLC also offers special discounts for first-time tax filers.

Find Free Tax Services Online

Wed, 1 Dec 2004

Uncle Sam has gone digital to nudge tax filers along, with its e-file services. Now you can prepare and file your tax return in minutes. Leading online tax preparation software packages, such as Taxhead.com, offer the option of completing your tax return for a fee. A small additional charge allows you to electronically file (e-file) your return so it gets to the IRS the same day.

The IRS Web site (www.irs.gov) lists firms that offer free e-filing on behalf of the IRS. But several different sets of criteria must be met to qualify taxpayers for the service. Their instructions read an awful lot like the typical tax form; you could waste precious time deciphering them or working on the return before discovering whether you qualify for services from a given vendor. So using free tax preparation software and paying a small fee to e-file may be a better route for tax payers.

The half of all Americans earning less than the median pay little or no taxes and overwhelmingly qualify for the single-page 1040EZ, or even the earned income credit (EIC) form. Almost seventy percent (70%) of Americans qualify for the short form (1040-A) tax return. You might assume their returns are so simple that few would need tax-paying services at all. But TurboTax provider Intuit reports preparing more than 1 million returns for free for that group in 2002. These online tax preparation and e-file services do have their advantages. They help speed the tax preparation and tax refund process, reduce errors, and help you get maximum deductions and credits, to minimize your taxes.

Taxhead.com and Latino-efile.com provide free federal tax preparation and e-filing for a small additional fee. They specialize in the 1040-A form, which 1040-EZ filers can also use. Most of the common schedules and forms are included. The company reports that most of their customers can complete their tax return in under thirty (30) minutes and receive their tax refund in as few as nine (9) days.

New Tax Guide Available

Wed, 24 Nov 2004

The Internal Revenue Service (IRS) has released Publication 17, called Your Federal Income Tax. This is a comprehensive tax guide the IRS publishes each year. Use it to find out what's new for your 2004 tax return and some of what to look forward to in 2005.

It also includes information on other critical issues such as how to file an individual tax return, what to include as income and whether a you should take the standard deduction or itemize. It covers your federal income tax from A-Z.

And the best part about Pub. 17? It is free.

Online tax software, like Taxhead.com and Latino-efile.com are built from the new tax forms and help guide you through your tax return, check it for errors, and e-file your return. These tax software services are easy to use. Because you are preparing online, you do not have to download any software. These services use leading-edge security and data encryption technologies, which helps to insure your data privacy and security. Many people can finish their tax return in just twenty (20) minutes using these online tax services. Thanks to error checks and automatic calculations performed by this tax software, errors in your return are greatly minimized compared to paper tax returns. And, with e-file many people can receive their tax refund in as few as nine (9) days. These tax software services specialize in the 1040-A tax form, which also applies to 1040-EZ filers. This covers about 70% of all tax returns, thus allowing most people to self-prepare their tax return. With these tax software services most people can now prepare their own taxes, saving money and time, while maximize their tax refund, easily and fast.

Recent news has discussed the desire of the government to simplify the tax code. But with online tax software, like that offered by Taxhead.com and Latino-efile.com, tax preparation is already greatly simplified for many people.

Recent Changes May Affect Your 2004 Taxes

Mon, 8 Nov 2004

Some recent tax law changes are effective for the 2004 Tax Year. If these items affect you, be sure to get the details when you prepare your tax return early next year.

  1. Exemption Amount Increased: The amount you can deduct for each exemption has increased from $3,050 in 2003 to $3,100 in 2004. You lose all or part of the benefit of your exemptions if your adjusted gross income is above a certain amount. The amount at which the phaseout begins depends on your filing status. For 2004, the phaseout begins at:
    * $107,025 for married persons filing separately,
    * $142,700 for single individuals,
    * $178,350 for heads of household, and
    * $214,050 for married persons filing jointly and qualifying widow(er)s with dependent children.
  2. Retirement Savings Plans: The following paragraphs highlight changes that affect individual retirement arrangements (IRAs) and pension plans.

    Traditional individual retirement arrangement income limits. If you have a traditional individual retirement arrangement and are covered by a retirement plan at work, the amount of income you can have and not be affected by the deduction phaseout increases. The amounts vary depending on filing status.

    Limit on elective deferrals. The maximum amount of elective deferrals under a salary reduction agreement that can be contributed to a qualified plan increases to $13,000 ($16,000 if you are age 50 or over). However, for SIMPLE plans, the amount increases to $9,000 ($10,500 if you are age 50 or over).

  3. Standard Deduction Amount Increased: The standard deduction for taxpayers who do not itemize deductions on Schedule A of Form 1040 is, in most cases, higher for 2004 than it was for 2003. The amount depends on your filing status, whether you are 65 or older or blind, and whether an exemption can be claimed for you by another taxpayer.

    The basic standard deduction amounts for 2004 are:
    * Head of household - $7,150
    * Married taxpayers filing jointly and qualifying widow(er)s - $9,700
    * Married taxpayers filing separately - $4,850
    * Single - $4,850

    The full 2004 Standard Deduction Tables will be shown in the January 2004 version of Publication 505, Tax Withholding and Estimated Tax.

  4. Tuition and Fees Deduction: Beginning in 2004, the amount of qualified education expenses you can take into account in figuring your tuition and fees deduction increases from $3,000 to $4,000 if your modified adjusted gross income (MAGI) is not more than $65,000 ($130,000 if you are married filing jointly). If your MAGI is more than $65,000 ($130,000), but not more than $80,000 ($160,000 if you are married filing jointly), your maximum tuition and fees deduction will be $2,000. No tuition and fees deduction will be allowed if your MAGI is more than $80,000 ($160,000). The tuition and fees deduction is explained in chapter 6 of Publication 970, Tax Benefits for Education.
  5. Educators Deduction: This had expired at the end of 2003, but was restored for two more years. IR-2004-124 has more information.
  6. Clean Fuel Vehicle Deduction: The maximum amount of this deduction was scheduled to drop this year and next, but has been retained at the $2,000 level through 2005. IR-2004-125 has information on this deduction and the newest vehicle to qualify for it.
  7. Child Tax Credit: Taxpayers with a credit amount more than their tax could get a refund of the difference, up to 10% of the amount by which their 2004 taxable earned income exceeds $10,750. This percentage was raised to 15% for 2004, meaning a larger refund for many of these taxpayers.
  8. Combat Pay: Some military personnel receiving combat pay get larger tax credits because of two law changes. The new law counts excludable combat pay as income when figuring the Child Tax Credit and gives the taxpayer the option of counting or ignoring combat pay as income when figuring the Earned Income Tax Credit. Counting combat pay as income when calculating these credits does not change the exclusion of combat pay from taxable income.
  9. Sales Tax Deduction: Taxpayers who itemize deductions will have a choice of claiming a state and local tax deduction for either sales or income taxes on their 2004 and 2005 returns. The IRS will provide optional tables for use in determining the deduction amount, relieving taxpayers of the need to save receipts throughout the year. Sales taxes paid on motor vehicles and boats may be added to the table amount, but only up to the amount paid at the general sales tax rate. Taxpayers will check a box on Schedule A, Itemized Deductions, to indicate whether their deduction is for sales or income taxes.
  10. Expense Limit for SUVs: Businesses should be aware of a change regarding the deduction for certain sport utility vehicles (SUVs) placed in service after Oct. 22. Under the American Jobs Creation Act of 2004, businesses cannot take a first-year deduction of more than $25,000 for an SUV. The business would depreciate the remaining cost. (The limit for vehicles placed in service before Oct. 23 was $100,000.) The new limit does not affect other types of property where the taxpayer decides to expense the cost instead of depreciating the property.
  11. Sale of Personal Residence Acquired in a Like-kind Exchange: Taxpayers who convert rental property to a principal residence should know that a tax law change may limit their ability to exclude gain on the sale of that residence if they obtained the property through a like-kind exchange. Generally, a taxpayer can exclude up to $250,000 of gain on the sale of a home, provided the individual has owned and used it as a principal residence for two out of the five years before the sale. The exclusion is $500,000 for a married couple if both meet the use test. The American Jobs Creation Act of 2004 does not allow any exclusion if the taxpayer sells the home within five years of acquiring the property through a like-kind exchange. The new law applies to sales after October 22, 2004.

To help you with your 2004 IRS income tax return, Taxhead.com and Latino-efile.com offer secure, easy online tax preparation and filing. Their software includes all the new tax laws applicable to the 1040A ("short") tax form.

New Tax Preparation and e-File Blog

Wed, 20 Oct 2004

To help consumers sort through the new 2004 tax return services and rules, a new tax blog efile.blogspot.com has been started, together with a new Web site service called Turboefile.us. These are provided as free public services by the leaders in online 1040-A tax preparation, Taxhead.com and Latino-efile.com.

Free State Tax Filing Services

Wed, 6 Oct 2004

Now you can e-File your state tax return for free directly through state tax Web sites. For your convenience, Taxhead.com and Latino-efile.com have created link pages to these state tax Web sites.

Most other eFile services charge extra to e-file state taxes. But the folks at Taxhead.com and Latino-efile.com would rather steer you toward some FREE ways to eFile your state tax return.

If you are a resident of Alaska, Florida, New Hampshire, South Dakota, Tennessee, Texas, Wyoming, Washington or Nevada you may not need to file a state income tax return. If you live in another state you can still use Taxhead.com or Latino-efile.com for your Federal IRS tax return. Then use the free state tax links to complete your state income tax return.

Taxhead.com and Latino-efile.com specialize in the Federal IRS 1040A tax form. If you normally prepare a 1040-EZ return you can also use these secure, easy, fast and low-cost services to prepare your tax return and eFile it with the IRS.

Taxhead.com offers the fastest and easiest online tax software

Fri, 1 Oct 2004

Taxhead.com offers one of the fastest online tax preparation and e-file software programs available on the market.

This online tax software is, in fact, the fastest and easiest software available. 91 percent of tax year 2003 users completed their online tax return in less than one hour, 59% in under 30 minutes, and 34% completed their return in less than 20 minutes. Taxhead.com is proud to be able to offer American taxpayers this software. We are demonstrating our commitment to making tax preparation and filing fast and easy.

The IRS reports that the average completion time for tax form 1040 is over 13 hours. Online tax preparation together with e-file has proven itself to be a more accurate, less time-consuming method for preparing and filing income tax returns. In 2003, over 54 million tax returns were filed electronically (e-File) versus mailed paper forms. Using online software, such as that offered by Taxhead.com, allows most people to complete their tax return in less than 30 minutes. And, the error rate for e-file returns is only about 1%, as compared to more than 20% errors with paper returns.

Taxhead.com specializes in form 1040-A, which also covers 1040-EZ filers. This covers approximately 70% of all income tax returns in the United States.

The Tax Short Form (1040A) now supports even more taxpayers

Thur, 30 Sep 2004

Starting this year, the IRS form 1040A (short form) will support taxpayers with adjusted gross incomes of up to $100,000. The changes are in effect for Tax Year 2004 (filed in 2005). Previously, if you made $50,000 or more, you had to file the long and complex 1040 "long form". The shorter form 1040A does not allow itemized deductions. But, if you are now eligible to e-file a 1040A tax form, you can use a faster, lower-cost online tax service like Taxhead.com. Such Web sites specialize in the 1040A, short form. This allows for an easier, less time-consuming tax return. Long-form Web sites such as those offered by TurboTax and H&R Block, rely upon long chains of question and answer "interview" pages. Short form Web sites, like Taxhead.com, streamline the tax preparation processes for you, by focusing on the 1040A tax form. Many people can prepare and e-file their 1040A tax return in under 20 minutes by using such an online service.

 

We use PRWeb.com and 24-7pressrelease.com for news releases.

Links to popular Tax and E-File Sites