E-filing is a great new way to electronically process and transmit your tax return information to the IRS instead of sending in the traditional paper tax return. The IRS actually recommends e-filing through a tax prep service because not only is it faster but it is more accurate than paper returns. Another great benefit is that taxpayers will receive their refund faster through e-filing.

At FreeTaxUSA.com you get all of the software you need to prepare, print, and file taxes online for free. They offer tax-filing services for both federal and state income tax returns. From their website you can find other additional services that they feature to keep your taxes organized. For example you can request a professionally bound tax return for just $12.95. This would be an ideal solution for someone expecting to conduct financial transactions in 2007 when a copy of the tax return is needed. Since you do your taxes online, if you prefer to store your records digitally, then you can ask them to send you a copy of your federal and state returns in PDF format on a CD-ROM.

Their free vault service allows you access, view and print your return even after the tax season has ended. When you use FreeTaxUSA.com, your account will provide you access to previous year’s tax returns that you e-filed using FreeTaxUSA.com at no charge to you.