Benefits of Filing a Small Business Tax Return Online

Filing a small business tax return online is a good idea, and it's also recommended by the Internal Revenue Service (IRS). A small business tax accountant can also file your tax returns online for you. With accessible and affordable tax filing software, you could do your own tax returns online and enjoy the benefits without the need to spend more money on a tax preparer.

Faster Refunds

The IRS encourages filing a small business tax return online, and rewards the small business owner by paying out a refund faster than if you were to file the same tax return manually and mail it in. You'll have the cash sooner to reinvest in your business and pay for business expenses, such as salaries to employees, or new machinery and business equipment. The ideal situation is not to owe zero dollars in taxes, and not to have zero dollars in a tax refund. However, if your business is a startup venture or if you didn't receive proper tax planning advice, then it's important to take advantage of getting your refund sooner rather than later.

Electronic Payment Options


You could end up owing taxes, instead of receiving a tax refund. Getting the cash to pay a tax liability is enough of a hassle. Sending in the payment by mail is one more step, or a couple if you add a trip to the Post Office, that you can avoid if you file your tax return online. The IRS offers a variety of electronic payment options, so that you can pay them right from your computer:

  • Pay with a debit card when you e-file
  • Electronic funds withdrawal
  • Electronic Federal Tax Payment System

Any of these options are available to you when you file a small business tax return online. Whether you use the Electronic Federal Tax Payment System or pay through an online tax filing software, making online payments to the IRS is secure and convenient.

Correct Tax Forms

The IRS has published hundreds of tax forms and documents for individuals and business owners. The needs of small businesses are so different because of the owners. How do you know which forms to file? What if you miss one or two? When you file a small business tax return online, the right forms that you need are selected for you. A tax filing program will ask questions about your business, and based on your answers, you'll be prompted to fill out certain forms. A good online software program will include the Federal e-file option at the end to submit your tax returns with one click.

Easiest Method for Multiple Businesses

Dealing with a tax return for one business is difficult sometimes. Repeating that process for your second, third or fourth business is a nightmare if you try to file tax returns for each offline. When you file your tax return online, you simplify the task of filing taxes for multiple businesses.

Filing your small business tax return online and making payments electronically is the fast and smart way to handle taxes. Even if you don't want to file it yourself, you should work with a tax accountant who is comfortable with e-filing.

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