Business owners who are accustomed to using Federal Tax Deposit coupons will have to start making electronic deposits next year as part of an effort by the U.S. Treasury Department to save money and cut down on paper use.
In a recent announcement, the Treasury unveiled a number of steps it will take to implement greener policies, potentially saving $400 million and 12 million pounds of paper over the next five years alone, while also improving accuracy and customer service.
There will be some exemptions when it comes to businesses being required to use the deposit coupons.
For example, companies with $2,500 or less in quarterly tax obligations when filing their returns will still be able to use tax deposit coupons. However, the Treasury also points out that about 98 percent of all business tax dollars are already made using the Electronic Federal Tax Payment System.
The Treasury also cited Internal Revenue Service research showing that businesses using the electronic system are 31 times less likely to make an error, adding that the newly announced effort will help save about $65 million over the next five years by reducing inaccuracies.
Liberty Tax Service provides computerized income tax preparation and electronic filing. Each tax office offers customers audit assistance, a money back guarantee, and free tax return checking.