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Taxpayers Say “Charge It” — IRS Reports 41% Increase in Tax Payments by Credit Card

Irs_logo_218 The IRS announced today (IR-2006-39) electronically filed returns have increased, led by a big increase in home computer use:

Through early March, more than 39.5 million taxpayers have e-filed this year. Home computer use is up 16.5%, with e-file by tax professionals up nearly 4%. Out of 54 million tax returns filed so far this year, e-file represents 73% percent of the total returns. By comparison, 72% of returns were filed electronically for the comparable period last year.  Other tax filing stats:

  • Since January, the IRS web site had 70.4 million visits, up almost 6% from last year. Last week alone, the site had more than 7.2 million visits, up nearly 9% from last year.
  • So far this year, 33.9 million individual income tax refunds have been directly deposited into bank accounts. These deposits represent about 76% of all tax refunds, up from 73% for the same period last year.
  • So far this year, 629,251 credit card payments have been made by individual taxpayers, up 41% compared to 448,547 for the same period last year. These payments represent $355 million, a 48% increase from $240 million during the same period last year.

2005

2006

Percent Change

Total Receipts

54,566,000

53,947,000

-1.1

Total Processed

50,153,000

48,957,000

-2.4

E-filing Receipts

TOTAL

39,214,000

39,503,000

0.7

Tax Professionals

27,155,000

28,137,000

   3.6

Self-prepared

9,756,000

11,366,000

16.5

Telefile

2,303,000

N/A

—

Web Usage

Unique Visits to IRS.gov

66,468,998

70,435,197

6.0

Total Refunds

Number

44,931,000

44,544,000

– 0.9

Amount of Principle

$106,517 billion

110.465 billion

3.7

Average

$2,371

$2,480

4.6

Direct Deposit Refunds

Number

32,721,000

33,887,000

3.6

Amount of Principle

$86.969 billion

93.440 billion

7.4

Average

$2,658

$2,757

3.7


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One response to “Taxpayers Say “Charge It” — IRS Reports 41% Increase in Tax Payments by Credit Card”

  1. Jon Lazenby Avatar
    Jon Lazenby

    Note the related Mar. 4 NYT article discussing credit card use for tax bills may not be the wisest of financial decisions (processing fees costing more than the points being earned).
    http://www.nytimes.com/2006/03/04/business/yourmoney/04money.html?_r=1&oref=login