Are We Really Moving Toward a Paperless Society? The IRS Believes So

In 1978, a man named F. W. Lancaster, a professor at the University of Illinois, Urbana, wrote a now infamous book titled “Toward Paperless Information Systems.” In the book, Lancaster predicted that society would be largely paperless by the end of the century. In a review of this book, Estelle Brodman wrote: “What will happen during the intermediary period to the brave new world? Neither Lancaster nor this reviewer knows, of course, but that the world is moving in the direction of a paperless society, with all that implies for archival records, changes in occupations, and societal pressures, seems very evident now.”

Since this was written, much of our world has moved to digitized information. The IRS has boldly predicted their move towards paperless correspondence. This, of course, will directly impact how taxpayers and tax service providers interact with the IRS.

In a Fact Sheet published in August 2023, the IRS laid out its plan to aggressively move toward paperless filing by the 2024 tax filing season (now mere months away) and to achieve paperless processing for tax returns by the 2025 filing season. In addition to forms already eligible for e-filing (e.g., Forms 1120, 1040, etc.), according to the IRS, an additional 20 forms will be eligible for e-filing, including Forms 940, 941, 941-SS, and 941 (PR). Another 20 “non-tax forms” will also be eligible, although the Fact Sheet does not identify which ones.

By 2025, the IRS indicated that “150 of the most used non-tax forms” will be accessible in digital, mobile-friendly formats. This will allow individuals to file forms from their phones and other electronic devices that do not need an internet connection.

In a recent news release, the IRS reminded taxpayers of three late-filing or penalty relief requests that can be filed electronically as part of the aforementioned initiative. The three specific items were as follows:

1. Relief for Gain Recognition Agreements
2. Late Filing Relief for Dual Consolidated Losses
3. Relief for Partnership Gain Deferral Contributions

The news release indicated that such a request may be filed via eFax at (855) 582-4842. Specific guidance can be found via links in the digital release.

While this initiative may not reduce the amount of junk mail we receive, hopefully, it will reduce the amount of paper used to correspond with the IRS!