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See the attached story: TAX NOTES TODAY FRIDAY FEBRUARY 4, 2000 2000TNT024 IRS Lauds Firm's Offer to Provide Free Web-_base_d Tax Preparation Service ABSTRACT: Robert E. Barr, the IRS's assistant commissioner for electronic tax administration, on February 3 applauded a financial services firm's new initiative to provide free Web-_base_d tax preparation services. SUMMARY: Citing the potential for greater use of electronic filing and enhanced customer satisfaction, Robert E. Barr, the IRS's assistant commissioner for electronic tax administration, on February 3 applauded a financial services firm's new initiative to provide free Web-_base_d tax preparation services. The new service, offered by HD Vest Financial Services, Irving, Texas, is available to anyone through the firm's Internet site. Your free online tax return is only one click away, the firm's promotional materials say, and taxpayers simply need to log on, complete their federal tax return, and either print it out or e-file it. The financial services firm's founder, Herb D. Vest, unveiled the new government-private sector initiative during a press briefing, and Barr, along with Rep. Pete Sessions, R-Texas, promoted the benefits of e-filing. The government officials said electronically filed returns typically contain fewer errors, cost less for the IRS to process, and promote government efficiency. Barr welcomed the new tax preparation services as a step toward helping the Service achieve its goal of having 80 percent of tax returns filed electronically by 2007. Vest assured taxpayers that they were immune from any potential marketing solicitations from his firm and that taxpayer computer information would remain secure. He said his firm's Web site is the only tax preparation Web site to qualify for the CPA Webtrust Seal given by the American Institute of Certified Public Accountants. The designation certifies that the site has controls and practices that adequately address privacy and security matters. While Barr was careful not to endorse the services offered by Vest, he did emphasize that the Service is pleased with the initiative. He acknowledged that Vest had secured a leadership position in providing the tax preparation services. No one else in the market offers free tax preparation and electronic filing to every American, Barr said. When asked why the Service was not offering tax preparation or e- filing services over its own Web site, Barr explained that the IRS Restructuring and Reform Act had challenged the Service to partner with the private sector to accomplish increased electronic filing. Vest's new services are an example of the private sector working in cooperation with the Service to meet electronic filing goals, he said. Why should we spend taxpayer dollars on this when someone else is offering it? he asked. FULL TEXT: Citing the potential for greater use of electronic filing and enhanced customer satisfaction, Robert E. Barr, the IRS's assistant commissioner for electronic tax administration, on February 3 applauded a financial services firm's new initiative to provide free Web-_base_d tax preparation services. The new service, offered by HD Vest Financial Services, Irving, Texas, is available to anyone through the firm's Internet site. Your free online tax return is only one click away, the firm's promotional materials say, and taxpayers simply need to log on, complete their federal tax return, and either print it out or e-file it. The financial services firm's founder, Herb D. Vest, unveiled the new government-private sector initiative during a press briefing, and Barr, along with Rep. Pete Sessions, R-Texas, promoted the benefits of e-filing. The government officials said electronically filed returns typically contain fewer errors, cost less for the IRS to process, and promote government efficiency. Barr welcomed the new tax preparation services as a step toward helping the Service achieve its goal of having 80 percent of tax returns filed electronically by 2007. Vest assured taxpayers that they were immune from any potential marketing solicitations from his firm and that taxpayer computer information would remain secure. He said his firm's Web site is the only tax preparation Web site to qualify for the CPA Webtrust Seal given by the American Institute of Certified Public Accountants. The designation certifies that the site has controls and practices that adequately address privacy and security matters. While Barr was careful not to endorse the services offered by Vest, he did emphasize that the Service is pleased with the initiative. He acknowledged that Vest had secured a leadership position in providing the tax preparation services. No one else in the market offers free tax preparation and electronic filing to every American, Barr said. When asked why the Service was not offering tax preparation or e- filing services over its own Web site, Barr explained that the IRS Restructuring and Reform Act had challenged the Service to partner with the private sector to accomplish increased electronic filing. Vest's new services are an example of the private sector working in cooperation with the Service to meet electronic filing goals, he said. Why should we spend taxpayer dollars on this when someone else is offering it? he asked. The unveiling of the tax preparation services to the press also included the introduction of Vest's new tax van. The green-and- yellow van welcomes taxpayers aboard where they can enter their taxpayer information on laptop computers and prepare their returns. Trained representatives from the financial services firm assist the taxpayers. The company plans to drive the van to 25 cities around the country during the current filing season; it's already made a timely visit to Atlanta during the Super Bowl, and another to Boston. But only about 100 taxpayers so far have used the van's tax preparation services, a Vest spokesperson said. The firm, however, has also distributed over 10,000 flyers to pedestrians passing by, the spokesperson said.
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