Online tax preparation and e-filing

Online tax preparation means preparing and filing your return online through a vendor, such as TurboTax. E-filing refers to sending your return electronically to the IRS, as opposed to printing, signing and mailing it.

If you prepare your return online, it is very simple and natural to send it online as well. Electronic filing is the wave of the future; in fact, the IRS is increasingly demanding it of certain businesses as a way to curb wasted paper and mistakes. Here's how it's done: From the IRS site (www.irs.gov), you are redirected to one of several vendors through whom you file. You may qualify for a free offer through the irs.gov. You're free to choose the vendor from the IRS web site.

More and more individual and business returns are submitted through e-filing. Eventually, all will be.