If you are a business owner who handles your own payroll & related filings with the IRS, then you need to listen up.
You probably already know that your quarterly 941 reconciliation for the second quarter (tax period April thought June) is due by July 31st, 2005. What you may have been dismayed to learn is that this is the last tax period that you can file your 941 reconciliation via TeleFile. In fact, the last day the 941 TeleFile System can be used is August 11, 2005.
Here’s the story:
Beginning August 16, 2005, the entire IRS TeleFile system is permanently discontinued. The TeleFile System includes 941 & 940 business filers, as well as 4868 and 1040EZ individual filers.
As a business owner, I can say that this is very inconvenient.
The IRS has tried to make it seem as though they are offering comparable service in their highly touted e-file options, but the truth is that e-file is not hassle free, and in fact, it is not free at all!
That’s right, if you want to e-file, you need to purchase compatible software (one IRS customer service representative told me it was in the neighborhood of $500.00), or hire an approved IRS e-file for Business Provider or Partner that meets your filing needs. Translation- pay a service company per filing to handle it for you.
Don’t like those options? You can still file the old fashioned way and mail in your completed paperwork.
Back to paper, now that’s progress!