2005 Internal Revenue Service Filing Season Sets Records

HARTFORD — The Internal Revenue Service announced that the recently completed 2005 filing season set a series of records, highlighted by 66 million tax returns being filed electronically this year and home computer usage surging 17 percent.

Through April 21, nearly 739,000 Connecticut taxpayers filed electronically, a 19.4 percent increase over the same period last year.

According to the IRS, Connecticut taxpayers have also achieved a significant increase in self-prepared home computer electronic filings. “A record number of Connecticut taxpayers have swapped their pencils for a mouse this year,” said IRS Connecticut spokeswoman Dianne Besunder. “So far this year 185,000 Connecticut taxpayers filed electronically through their home computers up from 155,000 at this point last year,” she said.

The jump in e-filing reflected a big upswing in the use of a variety of electronic services. The IRS saw new records for Free File and other e-file categories along with major increases in the use of IRS.gov and “Where’s My Refund.”

The 66 million e-file returns accepted through April 20 topped the 62 million electronic returns received for all of 2004 and the 739,000 electronic returns for Connecticut have significantly exceeded the 2004 total of 635,000. The agency expects the e-file number to increase before the close of the e-file season in October. Taxpayers who filed for extensions can use e-file until August 15. E-file is also available for taxpayers who get an additional extension until October 17.

Through April 20, 2005, the IRS had received:

*66 million returns through IRS e-file, up almost 11 percent from the same time last year.

*16.7 million taxpayers filed from a home computer, up 17 percent from the same time last year and 2 million more than for all of 2004. The IRS will continue to receive returns filed from home computers until October.

*5.01 million Free File returns, a 46.2 percent increase from the same period last year (3.43 million returns). Free File represents 30.1 percent of returns filed online, up from 24.1 percent for the same period last year. Free File accounts for 7.6 percent of all e-file returns compared to 5.8 percent for the same period last year.

*46 million returns from tax professionals, up more than ten percent from the same period last year.

By April 22, the IRS had issued 84.7 million refunds averaging $2,144 per refund. More than half — 49.4 million — were issued through direct deposit, representing a seven percent increase from last year. Direct deposit gets refunds to the taxpayer a week sooner than issuing a check.

In addition, the IRS saw a big increase in tax payments with a credit card. Nearly 928,000 paid by credit card, a 57 percent increase from the same period in 2004.

There were almost twice as many visits to the IRS Internet site, IRS.gov, this filing season than last. So far this year, there have been 111 million visits to IRS.gov compared to 55.7 million for the same period last year.

Almost 46 percent more people used “Where’s My Refund?” on IRS.gov this year than last. By April 24, 17.6 million people had used “Where’s My Refund?” compared to 12.1 million for the same period last year.