December, 2008 TIGERS Meeting Tucson Internal Revenue Service

2 MeF 1040 Update IRS has made the decision to proceed with the 1040 MeF Program Targeting January 2010 for the initial release Initial release will include Form 1040 plus 20 forms and schedules that are filed with the 1040 and Form 4868 (22 forms) Details of the deployment plan are being finalized We are planning an industry call the week of December 15 th to share the details and will notify everyone regarding the exact date and time later this week.

3 MeF 1040 MOU Schedule First draft of 1040 MeF Fed/State MOU has been completed Draft 1040 MOU was sent to the States on for review Feedback from the States is due by IRS will revise based on the feedback received from States Start 1040 MeF MOU through IRS approval process in January of 2009 Ready for distribution to the States starting in June of 2009

4 MeF Statistics Through Total MeF Volume= 3,448,653 Form Type CUM Projected Receipts CUM Actual Receipts CUM % Actual vs Projected CUM % 2007 vs , , %136.04% 1120S926,986949, %147.00% 1120-F (new)N/A 224 N/A 70041,523,9691,132, %136.07% 1065/1065-B658,559696, %163.06% 99040,11852, %195.03% 990-EZ9,35910, %206.94% 990-PF4,5006, %197.68% 990-N (new)N/A211,352N/A 1120-POLN/A12N/A ,52153, %178.28% 2290 (new)15,41216, %N/A 720 (new)1, %N/A 8849 (new)N/A 75 N/A

5 MeF Fed/State Update  17 States in Production status for 1120:  AL, CO, FL, GA, ID, KS, MD, MI, MO, MT, NYCT, NYS, OR, PA, SC, UT and WI  8 States in Production status for 1065:  AL, GA, ID, KS, MD, MI, UT and WI

6 Fed/State Returns for Calendar Year 2007 The IRS made available State submissions for 10 states - Total Volume 55, 326

7 Fed/State Returns through State Total State Returns Made Available Partnership Fed/State Made Available Corporate State Standalone Made Available Partnership State Standalone Made Available Corporate Fed/State Made Available ALST COST12443N/A81N/A FLST251 N/A GAST23,2557, ,0341,029 IDST2, ,6561 KSST19,8474,8143,7317,7723,530 MDST28,8778,4485,63511,1043,690 MIST2, ,16689 MOST1,885603N/A1,282N/A MTST653N/A62N/A NYST50,65517,605N/A33,050N/A ORST4,326294N/A4,032N/A PAST3,2751,738N/A1,537N/A SCST3,513834N/A2,679N/A UTST WIST50,21815,0908,88917,5828,657 Total:192,35458,10719,12098,11217,015

8 IRS Timeline 1120 and 1065 November 3, 2008Assurance Testing (ATS) Testing Startup for TY 2008 December 29, 2008Last day of MeF Production processing for 2008 Bring MeF Production system down to load new tax year programs January 5, 2009ProductionProduction Startup for TY will also support TY 2006 and TY 2007 January 5, 2009Strong Authentication (certificates) Required—passwords no longer accepted

9 Final Cutover Schedule for MeF Production System on December 29, 2008 Transmitters: –Deadline for transmitting State returns – 10:00 am EST –Deadline for transmitting Federal returns – 11:00 am EST –Deadline for picking up all outstanding acknowledgements (State and Federal) – 11:59 am EST States: –Deadline for transmitting State acknowledgements -- 11:30 am EST NOTE: Remember if anything is not picked up before the deadline (Noon EST on December 29 th ), it will not be able to be accessed until MeF re-opens on January 5, 2009.

10 Questions