New York State e-file – Mandate
There
has recently been enacted, within the New York State legislation, a requirement
that tax return preparers are required to file their individual clients’
returns electronically.
Who
is subject to this requirement?
·
A
return preparer that prepares more than 200 New York State tax returns and uses
tax preparation software. Our firm
is subject to the mandate.
When
is this effective?
·
It
is effective January 1, 2006. This
means that 2005 individual New York State tax returns will have to be filed electronically.
What
if clients do not want to e-file?
·
Any
client who chooses not to e-file their New York State tax return may
opt-out. The client will have to sign
an opt-out form.
What
do our clients need to do?
·
Nothing. That’s right. All of the enrollment process falls on the preparer, which is
us. The only item you need to address
is whether you wish to
e-file or not. This
decision does not need to be made now, only at the time you file. If you choose not to e-file, we need you to
sign the opt-out form, which we will keep in our files.
Does
e-file affect my refund or balance owed?
·
No. It will not change the amount you are to
receive as a refund or the amount you owe.
It may accelerate the time in which you receive your refund. Any balance due still may be paid by the due
date of your tax return (April 15) regardless of when your return was e-filed.
Does
this mean the federal tax return will be filed electronically?
·
Yes. We will also file form 1040
electronically. A small percentage of
clients may not be able to file electronically due to certain forms contained
within their tax returns.
If you have any questions, please do not hesitate to contact us.
