IR-2007-86, April 13, 2007
WASHINGTON ¡ª The Internal Revenue Service today reminded taxpayers that the new electronic platform, Modernized e-obÌåÓý, allows partnerships to electronically file Form 1065, U.S. Return of Partnership Income, and Form 1065-B, U.S. Return of Income of Electing Large Partnerships. Partnerships can also submit their request for extensions through Modernized e- obÌåÓý.
Previously, using an older IRS system known as Partnership e-obÌåÓý, partnerships could electronically file Form 1065, but not Form 1065-B. Modernized e-obÌåÓý supports the filing of both and improves the e-file experience for taxpayers and practitioners.
Since tax year 1986, the IRS has offered electronic filing of Form 1065. The existing 1065 e-obÌåÓý platform, Partnership e-obÌåÓý, uses a proprietary data transmission format. However, the Modernized e-obÌåÓý platform uses the Extensible Markup Language (XML) format, which is an industry-standard method of identifying, storing and transmitting data. Both e-obÌåÓý platforms offer improved speed and accuracy of tax return filing. But Modernized e-obÌåÓý offers additional benefits, including transactional processing instead of batch processing, allowance for binary file attachments, elimination of the duplicate filing of International returns and a federal/state partnership program.
Beginning with tax years ending on or after December 31, 2007, Form 1065-B must be filed electronically using the Modernized e-obÌåÓý system.
The e-filing of partnership returns is mandatory for most Form 1065 filers with more than 100 partners. Form 1065 may still be e-filed using the existing Partnership e-obÌåÓý system this year. However, beginning in January 2008, Modernized e-obÌåÓý will be the only e-obÌåÓý platform available to e-obÌåÓý partnership returns.
Related Items:
- Modernized e-obÌåÓý (MeF) for Partnerships
- IR-2007-02, Modernized e-obÌåÓý Available for Partnership Returns