How Does the IRS Handle E-File Errors?
Overview Mistakes can happen when taxpayers e-file their returns, but it’s an easier process overall. 1a175832-f720-a16c-4142-623030e71bec300400 For years the Internal Revenue Service (IRA) has raved about the benefits of electronically filing tax returns, or e-filing. While the dream (and demand by Congress) of having an 80 percent e-file rate by taxpayers hadn’t been met by 2010, 67 percent is arguably not bad. “Mistakes still happen, but the mistakes are much less common nowadays,” said IRS spokesperson Mike Dobzinski. Technology isn’t perfect and so errors will be made. But, the government touts the mistake rate of 1 percent by those who e-file as pretty good. After all, more than 20 percent of paper returns contain errors, according to the IRS. Mismatched or incomplete Social Security numbers, tax identification numbers and incorrect personal identification number make up a majority of the errors. Numeral goofs The tax agency’s “Free File” program, an affiliation between the IRS a