Ind. scraps tax e-filing system, turns to vendors

INDIANAPOLIS — The Indiana Department of Revenue has ended its in-house electronic income tax filing system and has partnered with a group of private tax application vendors who provide e-file services to two dozen states and the IRS.

The Times of Munster reports that starting in mid-January, Indiana taxpayers can select members of the Free File Alliance for e-filing of their state income tax returns. The alliance is comprised of H&R Block, Online Tax, TaxHawk and TurboTax.

Each vendor has different service criteria, but in general e-filing is free for taxpayers with an adjusted gross income of less than $57,000. That includes about 1 million Indiana residents.

Revenue Commissioner John Eckart says ending the state’s I-File system will save Indiana about $200,000 e-file for free under the new program.