AICPA calls for delay in IRS mandated electronic tax filing procedures for large corporations, exempt organizations.

The AICPA urged the Internal Revenue Service to delay, by at least a year, implementation of mandatory electronic filing (e-file) procedures for large corporations and exempt organizations at a hearing before the IRS recently. At the hearing, AICPA representatives said, "We view this as a dramatic change, with inadequate lead time." The Institute emphasized, however, that it supports the IRS's long-range goals for electronic tax administration.

The IRS's recently released regulations generally will require corporations with total assets of $50 million or more and tax exempt organizations with total assets of $100 million or more to e-file their tax returns to the IRS starting in Jan. 2006. In addition, smaller corporations and exempt organizations face an e-filing requirement starting in Jan. 2007 under the regulations. Beginning in Jan. 2007, corporations and exempt organizations with total assets of $10 million or more and all private foundations and charitable trusts, regardless of asset size, generally will be required to electronically file tax returns.