Important tips for e-file users

There's been plenty of important tax news lately, and much of this will be of particular interest to readers who have not yet filed their tax returns.  

If you plan to file your tax return electronically, reports are showing that one in five electronically filed (e-filed) tax returns is being rejected by the IRS. There are several problems that can cause an e-filed return to be rejected by the IRS. First, when you file electronically, you must enter your exact date of birth. If you enter a date incorrectly, or provide an incorrect birth date to your tax return preparer, the return will be rejected.  

Also, you must provide exact information from your prior year return if you are filing electronically using the PIN (Personal Identification Number) that the IRS assigns to e-filers. You must provide the adjusted gross income and the total tax from your previous year's tax return. If these amounts are not provided, or if the amounts you give are incorrect, your return will be rejected.  

Be extremely careful when filling out a tax return that is to be e-filed. You must enter exact information as it appears on your supporting documents. For example, when asked for information about your W-2 form, you must enter your name and address exactly as it appears on your W-2 form, even if that information is not the same as the information you will enter on the front page of the tax return.  

If you e-file your tax return yourself, either using a tax program such as TurboTax or by filing directly on an Internet Web site (such as www.funwithtaxes.com) - be sure to return to the program or the Web site within 48 hours of filing your tax return to make sure that the IRS accepted the tax return. Checking back to make sure everything was filed successfully will be your only means of making sure you get your refund on time.  

With a bit of care, the e-file process can be a quick method of filing your tax return and can ensure a speedy refund.  

Most Common Tax Return Problems  

Each year, the IRS reports on the most frequently observed problems with tax return preparation. Take the extra few minutes to double check your tax return for these types of problems before you drop your return in the mail, and you can rest easy in the knowledge that your return will be processed quickly and efficiently:

• Check your math. Errors in addition and subtraction are the most common errors the IRS sees on tax returns. The IRS will correct your math errors, but this will delay the processing of your tax return.

• Enter your Social Security number at the top of every form, and double check to make sure you haven't transposed any numbers.

• Sign and date your return. If you are married filing a joint return, both you and your spouse must sign and date the return.

• Attach your W-2 forms.

• Attach all the proper schedules.

• Remember to enter all of your dividend and interest income. Even if you didn't receive a 1099 form reporting this income, you are still required to report the income on your tax return.

• Mail your tax return to the correct address. Double check the address in the income tax packet you received in the mail, or on the instructions that print with your computerized tax return. The IRS service center addresses have changed this year, so the address you used in the past will no longer be valid.

• Attach correct postage. The post office is not required to deliver your package if the correct postage is not attached. If the tax return gets sent back to you after April 16th for additional postage, the tax return will be considered late and you may have to pay a penalty.