I-File goes live today, could save the state nearly $1 million
February 1, 2006
Contact: Stephanie McFarland, APR
317.234.3793 - office
317.696.3275 - mobile
INDIANAPOLIS (Feb. 1, 2006) – Indiana’s I-File program received a major – and much-needed – overhaul this year. The faster, friendlier and free online program launched today, just as millions of Hoosiers have started to receive W-2 forms and to think about filing their 2005 Indiana state taxes.
“If the one-million taxpayers that filed using paper returns last year were to file electronically this year, the state could save close to $1 million in processing costs,” said Department of Revenue Commissioner John Eckart. “That falls in line with Governor Daniels’ charge to all of us to save taxpayers every dime possible.”
Paper returns cost the state more than $1 per return to process versus only 4 cents per electronic return, Eckart said. Some states, such as Alabama, California and Connecticut have made electronic filing mandatory for some tax preparers.
“I-File also expedites the refund process,” said Eckart. “On average, taxpayers who file electronically receive their state refunds within 14 days of filing.”
The revamped I-File program now features a question-and-answer format that leads the taxpayer through every step of the tax-filing process, including selecting the correct form and making payments online. Department officials estimate it takes about 30 minutes for the average taxpayer to complete the filing process.
I-File also features prefilled fields with the taxpayer’s name, address and employer, as well as Web links to reference current tax booklets and tax-code explanations to help answer questions that may arise during the filing process.
Goodbye TeleFile, hello I-File
Any taxpayer that filed individual income taxes last year with the state of Indiana is eligible to use the I-File program. With the elimination of the TeleFile program, Eckart said more than 57,000 former users of that program may want to switch to using I-File this year.
Taxpayers can access the I-File program at: http://www.ifile.in.gov/
Businesses that wish to file sales tax online also can use the INtax program. For more information, visit: http://www.intax.in.gov/
I-File Fact Sheet
- Launched February 1, 2006.
- Program can potentially save the state close to $1 million in processing fees if taxpayers that filed on paper last year file electronically.
- Available to all taxpayers that have previously filed taxes with the state of Indiana.
- Accessible at http://www.ifile.in.gov/
2006 I-File Features
- Question-and-answer format walks through each step of completing return.
- Pre-filled personal information function reduces filing time.
- Help links reference exact text within current tax booklets.
- User-friendly resume function saves information to finish at another time.
- Reduces errors that may suspend processing.
- Average refund time expedited, received within seven to 14 days.
- Option to pay taxes owed online.
- Completed forms available for reprinting up to one year.
- 1998 I-File was originally launched.
- 6,312 used I-File the first year.
- 1998 program supported only full-year resident tax filers.
- 69,379 taxpayers took advantage of I-File last year.
- Practical substitute for past TeleFile users.
- 21 other states offer free service like I-File.
- I-File is used by customer service representatives at all district offices.
Approximately three million people filed Indiana individual income tax returns last year.