Three Reasons Why Your Business Should E-file Taxes

The tax season is upon us, and if you haven't been keeping good track of your financial records over the past year, your business will run into some troubles when the time comes to file. Every business owner dreads the tax season, but if your business or company works with a lot of independent contractors, tax season is even worse. There is a way to avoid having to fill out countless paper 1099s, simply find a service to e-file your 1099s for you. Eliminating the tedious task of filing out 1099s isn't the only way an e-filer can help out your business, there are an array of benefits that come with submitting your taxes electronically.

Save Money

Physically mailing out your tax returns can take up a lot of time and get costly. Regular postage fees can start to add up, and if you end up finishing your taxes later than you'd like you'll have to pay extra for overnight delivery. If you e-file your taxes this year you won't have to worry about postage money since everything is done online. If you've been relying on software to finish your taxes for you each year, e-filing services could help save you money too. You won't have to spend money on updating your software so you can have the most current tax forms; e-filing providers already have the newest version of forms at their disposal.

File at your Convenience

Paying taxes can take up a lot of time, and if your business pays taxes the old fashioned way you could find your company paying for extra postage in order to get your taxes in on time. After that all you can do is hope that they get postmarked and sent off in time in order to meet the deadline. If you use an e-filing service this tax season you won't have to make any mad dashes to the post office. If you choose to e-file you can send in your taxes any time you'd like, 24 hours a day. Once you hit submit it'll be on its way to the IRS.

Have Proof of Filing

Everybody has heard a horror story from a friend or co-worker about an unfortunate person who had their taxes lost in the system. Maybe it was a postal error or perhaps it was the IRS' fault, but either way the person who filed the taxes will experience some significant repercussions. Don't let your business suffer the same fate, if you choose to e-file your 1099s you'll have proof that your business did your taxes. Most e-filing services send their clients an email confirmation/acknowledgement when their taxes are sent out.

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License: Royalty Free or iStock source: http://office.microsoft.com/en-us/images/results.aspx?qu=taxes&ex=2#ai:MP900316868|

Samantha Wideman is part of a team of writers and specializes in writing about current news events.

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