Washington (Jan. 19, 2004) -- The Internal Revenue Service has launched an express enrollment program for new business taxpayers that it hopes will boost electronic payment of taxes.
The initiative will be available using the free Electronic Federal Tax Payment System offered by the IRS and the Financial Management Service. Under the EFTPS Express Enrollment for New Businesses program, businesses receiving a new employer identification number that have a federal tax obligation will be automatically pre-enrolled in EFTPS to make all their federal tax deposits. IRS Commissoner Mark W. Everson noted that approximately 250,000 new EINs are issued every year.
In addition to receiving their EIN, taxpayers will receive a separate mailing containing an EFTPS personal identification number and instructions for activating their enrollment. New business taxpayers will activate their enrollment by calling an 800-number, entering their banking information and completing an authorization for EFTPS to transfer funds from their account to the Treasury’s account for tax payments per their instructions.
In fiscal year 2003, the Treasury collected more than $1.5 trillion in electronic tax payments through EFTPS.
-- WebCPA staff
