Free File
If you have access to a computer and the Internet you may be eligible to prepare and file your 2006 federal tax return electronically—for free. Free File is an easy way to file your taxes and get your refund in half the time.
The IRS and the Free File Alliance, a private-sector consortium of tax software companies, help taxpayers electronically prepare and file their federal tax returns for free. Free File debuted during the 2003 filing season to provide free services to moderate and low-income taxpayers. For the 2007 filing season, 95 million taxpayers will be eligible for these free tax services.
You can Free File through the IRS Web site at IRS.gov. Each company sets its own criteria for free usage. The criteria varies but often is based on income, state residency and age.
The benefits of using Free File are identical to those of e-filing, which include:
• Reduced tax return preparation time
• Faster refunds
• Accuracy of return • Acknowledgement of return receipt
MISSING FORM 1099
For certain types of income, you get a Form 1099 for your federal tax return, provided by the payer of the income. You should receive your Form 1099-series information returns by January 31, 2007.
If you haven't received your Form 1099 within a few days after that, contact the payer, to secure the missing information. If you don't have the form by February 15th, call the IRS for assistance at 800-829-1040.
In some cases, you may obtain the information on Form 1099 from other sources. For example, your bank may put a summary of the interest paid during the year on the December or January statement for your savings or checking account.
Form 1099-series is not a required attachment to your return, except when you receive a Form 1099-R, or Form 1099-INT that shows federal income tax withheld. You will not usually attach a 1099-series form to your return, except when you receive a Form 1099-R that shows income tax withheld. Keep a copy of all the 1099s that you receive with your tax records for the year. There are several different forms in this series, including:
Form 1099–B, Proceeds From Broker and Barter Exchange Transactions
Form 1099–DIV, Dividends and Distributions
Form 1099–INT, Interest Income
Form 1099–MISC, Miscellaneous Income
Form 1099–OID, Original Issue Discount
Form 1099–R, Distributions from Pensions, Annuities, Retirement or Profit-Sharing Plans, IRAs, Insurance Contracts, etc.
Form SSA–1099, Social Security Benefit Statement - - If you file your return and later receive a Form 1099 for income that you did not fully include on that return, you should report the income and take credit for any federal income tax withheld by filing Form 1040X, Amended U.S. Individual Income Tax Return. Form 1040X and instructions are available on the IRS Web site.
IRS Web site at IRS.gov or 1-800-TAX-FORM (1-800-829-3676)