Electronic—Online, Self-prepared Option

Use a personal computer to prepare and transmit tax returns.

Expert systems (often called wizards) guide taxpayers through the process.

Requires a computer with a modem and/or Internet access.

• Alternative 1: Prepare tax return on personal computer, sign return with self-selected PIN, and transmit over the Internet. (Taxpayer purchases software.)
• Alternative 2: Prepare tax return online, sign return with self-selected PIN, and transmit over the Internet. (Taxpayer does not purchase software.)

A taxpayer prepares and transmits from:

• home
• workplace (an employer-provided benefit)
• library (usually free)
• financial institution (usually free)
• business (usually for a fee)