CONTINUEThis site uses cookies. By continuing to browse this site you are agreeing to our use of cookies. Find out more.
  1. Front Page
  2. News By Topic
  3. IRS Begins Processing 'Extender' Deduction Claims

IRS Begins Processing 'Extender' Deduction Claims

by Mike Godfrey, Tax-News.com, Washington

09 February 2007


The US Internal Revenue Service has started processing tax returns that claim key tax provisions renewed by legislation enacted in December.

After completing planned updates to its systems to accommodate the “extender” changes, the IRS began processing last weekend both e-file and paper tax returns claiming deductions for state and local sales taxes, higher education tuition and fees, and educator expenses.

The IRS emphasized that using e-file is the easiest and most accurate way to file a return, including any return claiming extender-related benefits. Makers of tax-preparation software have updated their products to incorporate these reinstated tax breaks.

“As we always do, we encourage taxpayers who think they may claim these deductions to file electronically,” announced IRS Commissioner Mark W. Everson, continuing: “They will get their refunds in half the time, and e-file greatly reduces the chance for making an error compared to using a paper return.”

While taxpayers using software will fill out their returns as normal, taxpayers claiming the extender provisions on paper returns will have to take special steps. Because the extender legislation was enacted after the new tax forms went to print last year, separate lines for the affected deductions were omitted from 2006 individual income tax forms. For that reason, people filling out a paper return must use existing lines on the current Form 1040 and Schedule A to claim the three major extenders provisions.


To see today's news, click here.

 















Tax-News Reviews

Cyprus Review

A review and forecast of Cyprus's international business, legal and investment climate.

Visit Cyprus Review »

Malta Review

A review and forecast of Malta's international business, legal and investment climate.

Visit Malta Review »

Jersey Review

A review and forecast of Jersey's international business, legal and investment climate.

Visit Jersey Review »

Budget Review

A review of the latest budget news and government financial statements from around the world.

Visit Budget Review »



Stay Updated

Please enter your email address to join the Tax-News.com mailing list. View previous newsletters.

By subscribing to our newsletter service, you agree to our Terms and Conditions and Privacy Policy.


To manage your mailing list preferences, please click here »