Nearly everything can be done online, including dating, shopping and filing your taxes. While some argue filing online is easier, is it better?
Not a lot of us use snail mail as it is. According to the IRS, nearly 90 percent of those paying taxes in the US file online.
"In spite of the continued challenges we have with technology, filing your tax return online is your best bet," said Barbara Bass, a certified public accountant.
She said it's better to file electronically over mailing your taxes in.
When you file online, you'll get a response within 24 hours from the IRS saying they've received it.
It's also more accurate.
For example, if you put your social security number in wrong, the IRS will let you know immediately.
"Accuracy of filing online is considered to be substantially higher than just doing a paper filing. You're going to get errors if it's not done right. You can correct them before you transmit to the IRS," Bass said. "You're going to have a better product. It also expedites your tax refund."
IRS spokesperson Cecilia Barreda said filing online is the safest way. However, it's all about choosing who files your taxes that'll make the difference.
"The IRS expects about 90 percent of returns to be filed electronically. Choosing e-file and direct deposit remains the fastest and safest way to file an accurate income tax return and receive a refund."
So, is filing your taxes online better than filing them by mail.
After talking with a CPA and the IRS, we verified this is true.
Barreda said there's a few things you'll want to watch out for when your finding a person to do your filing.
- Avoid a fly-by-night preparer: Make sure the person filing your taxes will be available if needed, even after the return is filed.
- Check to see if your preparer has an IRS Preparer Tax Identification Number (PTIN). Paid tax return preparers are required to register with the IRS, have a PTIN and include it on tax returns.
- Never sign a blank return. Don't use a tax preparer that asks clients to sign an incomplete or blank tax form.
Pay attention to the questions they ask.
"If somebody starts saying, 'Well, we can do this, but don't tell anybody I did that,' that's a good sign you don't need to be there."
There's also the risk for identify theft.
"The possibility of your tax return being routed to a bank account that's not your bank account," Bass said.
If your information ends up in the wrong hands, Bass says you could be next.
Approximately 15 million people in the US have their identities used fraudulently every year.
If your taxes aren't filed, you face the threat of some pretty hefty penalties from the IRS.
"Within 5 months, you could end up with a 25% penalty, in addition to whatever tax you owed, plus interest on top of that."