Cs-09-155c-; Cs-09-166c-; Cs-10-238- ; Cs-10-239-; Cs-10-240-; Cs-10-241 -

2010 Free File

Awareness & Attitudinal Research

OMB # xxxx-xxxx

METROPOLITAN CENTER RMR #10-08-265

ONE MEADOWLANDS PLAZA FALL 2010

EAST RUTHERFORD NJ 07073 CARD I

SAMPLE DESIGN & RESPONDENT INFORMATION

All survey respondents will be 18-64 year-old Eligible Non-Users Of Free File In 2010 – Individual Taxpayers who met Free File income requirements but have not used it in past 2 years, who were Self-Prepared in FY 2010 (i.e., filed 2010 return via Paper, V-Code, or other Online methods). NOTE: all respondents MUST ALSO have decided how their return was filed.

RESPONDENT ID# ...1-5

SAMPLE TYPE: RANDOM SAMPLE OF ELIGIBLE NON-USERS AGES 18-64 (n=1,000-1,250, DEPENDING ON IRS DATA) 1 ...00

AFTER RANDOM, ASSESS # IN EACH GROUP BELOW, THEN AUGMENT EACH ONE TO n=400--500:

• AGE 18-24 1ST-TIME FILERS WITHIN PAST 2 YEARS 2

  • RECORD PROPORTION OF ABOVE WHO CLASSIFY IN DEMOGRAPHICS AS “STUDENTS” 3

• AGE 25-34 LOWER INCOME SINGLES/COUPLES WITH 1+ DEPENDENTS & LESS THAN $25,000 AGI 4

• AGE 55-64 WHO ARE NOT INTERNET-AVERSE PER SCREENING LIST OF INTERNET ACTIVITIES 5

PROJECT-FIELD TEAM NOTES:

IRS TO EXTRACT A RANDOM SAMPLE OF ELIGIBLE NON-USERS AS DESCRIBED IN YELLOW HIGHLIGHT ABOVE.

IN ADDITION, IRS TO EXTRACT 3 OTHER SAMPLES MATCHING THE DESCRIPTORS OF AUGMENTABLE SUB-GROUPS.

EXTRACTS WILL INCLUDE PRE-SELECTS FOR SCREENING/PROFILING PURPOSES – e.g., AGE/BORN, AGI, # DEPENDENTS, MARITAL/FILING STATUS (YELLOW HIGHLIGHTED SCREENING CHARACTERISTICS). RECORD THESE PLUS OTHER REQUESTED APPENDS (2010 FILING METHOD, RETURN COMPLEXITY, ETC.). NOTE: “STUDENT” & NON-INTERNET-AVERSION WILL BE SELF-REPORTED.

INTERVIEWER MUST ASK FOR THE PERSON ON THE LIST AND THEN MONITOR AGE AND GENDER DISTRIBUTIONS.

RECORD RESPONDENT PHONE NUMBER, CITY, STATE, ZIP, AND STATE CODE.

RECORD REGION: Area #1 1 Area #2 2 Area #3 3 Area #4 4 Area #5 5 …00

RECORD DATE, TIME & DISPOSITION FOR EACH ATTEMPT ON THIS PERSON:

Disc NA Unavail Ref NQ Comp

1 DATE: TIME: (am) (pm) 1 2 3 4 5 6 …00

2 DATE: TIME: (am) (pm) 1 2 3 4 5 6 …00

3 DATE: TIME: (am) (pm) 1 2 3 4 5 6 …00

4 DATE: TIME: (am) (pm) 1 2 3 4 5 6 …00

5 DATE: TIME: (am) (pm) 1 2 3 4 5 6 …00

6 DATE: TIME: (am) (pm) 1 2 3 4 5 6 …00

7 DATE: TIME: (am) (pm) 1 2 3 4 5 6 …00

8 DATE: TIME: (am) (pm) 1 2 3 4 5 6 …00

9 DATE: TIME: (am) (pm) 1 2 3 4 5 6 …00

10 DATE: TIME: (am) (pm) 1 2 3 4 5 6 …00

INTERVIEWER

AFTER REACHING A POTENTIAL RESPONDENT, INTRODUCE YOURSELF WITH:

Hello, I am of Russell Research in New York, an independent national survey research firm. The Internal Revenue Service has asked us to survey Taxpayers and to get feedback on the IRS’ tax filing services. Your participation in this survey is entirely voluntary and your responses to all questions will be kept anonymous by Russell Research and never identified with you personally to the IRS or anyone else in Government. The survey should take no more than 15 minutes to complete and we’d appreciate your participation. Would you be willing to help with the survey?

• IF “YES”, CONTINUE.

• IF “NO”, THANK & RECORD AS “Ref” IN BOX ABOVE AND OFFER COMMENTS ADDRESS (FOUND AT END OF SURVEY).

IF “YES”, READ: Thank you. Let’s begin the survey.

PAGE 2

START WITH:

1. First, about you: are you male or female? (CIRCLE ANSWER & MONITOR GENDER DISTRIBUTION.)

Male 1 ...00

Female 2

Refused & Can’t Discern Gender 3

2. For classification purposes, which of the following describe your occupation? (READ CHOICES & CIRCLE ALL THAT APPLY. MONITOR THE # OF STUDENTS, ESPECIALLY WHEN AUGMENTING THE 18-24 FIRST-TIME FILERS P2Y SEGMENT.)

Employed Full-Time 1 ...00

Employed Part-Time 2

Unemployed But Looking For Employment 3

In Military Service 4

A Homemaker 5

Retired 6

A Student 7

(DON’T READ BUT CIRCLE IF:) Refused y

3. And for classification purposes only, which if any of the following general types of activities do you participate in online, using the Internet, on a regular or occasional basis? (ROTATE LIST, READ EACH ITEM & CIRCLE ALL THAT APPLY.)

• Researching Products/Services 1 ...00

• Purchasing Products/Services 2

• Reading The Newspaper Or Magazine Articles Online 3

• Re-Newing Auto Registrations Or Other Government Forms 4

• Filing Or Paying Local Or State Taxes 5

• Online Banking Or Bill Payment 6

• Participate in Blog Discussions Or Social Websites Such As Facebook, MySpace, etc. 7

• Using The Web Browser On A Cell Phone 8

NOTE: TO QUALIFY FOR THE AGE 55-64 NON-INTERNET-AVERSE SEGMENT, RESPONDENT MUST ANSWER “YES” TO AT LEAST ONE OF THE ABOVE ACTIVITIES. OTHERWISE, THANK AND TERMINATE SURVEY (AND OFFER COMMENTS ADDRESS).

4. HOLDS AGE, IDENTIFIABLE FROM IRS EXTRACTS. RECORD & MONITOR AGE DISTRIBUTION.

18-24 1 …00

25-34 2

35-44 3

45-54 4

55-64 5

5. HOLDS # DEPENDENTS, IDENTIFIABLE FROM IRS EXTRACTS. RECORD.

# DEPENDENTS (TAB AS 1, 2, 3, 4, 5+) …00

6. HOLDS A.G.I, IDENTIFIABLE FROM IRS EXTRACTS. RECORD.

Negative AGI 1 …00

$0 to $17,000 2

$17,001 to $25,000 3

$25,001 to $35,000 4

$35,001 to $50,000 5

$50,001 to $57,000 6

PAGE 3

AFTER THE 3 CLASSIFICATION QUESTIONS, SEGUE TO MAIN SURVEY WITH:

As noted at the start, the purpose of this survey is to get your feedback on the IRS’ tax filing services. Specifically, we want to talk with you about how you filed your 2010 Federal Income Tax Return – the one you filed earlier this year, in 2010, for Tax Year 2009.

7. First, did you file a Federal Income Tax Return in 2010? (CIRCLE ANSWER BELOW.)

Yes 1 ...00

No (SHOULD NOT OCCUR, BUT IF IT DOES, TERM & RECORD)

8. Who prepared your 2010 Federal Income Tax Return? Was it prepared by…(READ CHOICES & CIRCLE ONE ANSWER.)

You – Yourself 1 ...00

A Relative 2

A Friend 3

A Paid Tax Preparer 4

An Unpaid Tax Preparer 5

Someone At An IRS Taxpayer Assistance Center 6

Or By Someone Else 7

9. And who was responsible for deciding HOW your 2010 Federal Income Tax Return was prepared? Was it…(READ CHOICES & CIRCLE ONE ANSWER.)

You – Yourself (ALL MUST BE SELF-PREPARED & ANSWER “SELF” TO QUALIFY) 1 ...00

A Relative (THANK & TERM)

A Friend (THANK & TERM)

A Paid Tax Preparer (THANK & TERM)

An Unpaid Tax Preparer (THANK & TERM)

Someone At An IRS Taxpayer Assistance Center (THANK & TERM)

Or By Someone Else (THANK & TERM)

10. Please tell me all of the ways or methods of filing a Federal Income Tax Return that you are aware of. (DO NOT READ PRE-LIST. CIRCLE ANY RESPONSES THAT ARE IN THE LIST AND ENTER ANY OTHERS THAT ARE NOT. RECORD ALL ANSWERS UNDER COL. 10, BEING SURE TO PROBE FULLY, USING THIS PROBE:) Are there any other methods of filing a Federal Income Tax Return that you are aware of?

11. Which, if any, of the following following methods of filing a Federal Income Tax Return are you aware of? (ROTATE AND READ ALL METHODS NOT ALREADY CIRCLED UNDER COL. 10 & CIRCLE ALL THAT APPLY UNDER COL. 11 BELOW.)

WHILE ALL ARE SELF-PREPARED, THEY MAY BE AWARE OF OTHER METHODS.

10 11

Unaided Aided

Awareness Awareness

• Using The Free File Return Preparation And Filing Service Found At IRS.Gov 1 1 ...00-00

• Using A Return Preparation And Filing Service Found At Websites OTHER THAN IRS.gov 2 2

• Using A Software Package To Both Prepare AND File The Return 3 3

• Using Software To Prepare The Return But Then Printing It And Mailing It To The IRS 4 4

• Using A Tax Preparer Who Prepares AND Files The Return Electronically 5 5

• Receiving A Completed Return From A Tax Preparer And Then Mailing It To The IRS 6 6

• Preparing The Return On Paper & Then Mailing It To The IRS 7 7

Methods Other Than Those Above (ENTER VERBATIM RESPONSES) 8 8

DO NOT READ, BUT CIRCLE IF: Don’t Know/Can’t Think Of Any 9 9

PAGE 4

IF “Using The Free File Return Preparation And Filing Service Found At IRS.Gov” IS THE ANSWER TO Qs 10 OR 11 ABOVE, ASK Qs 12-13-14.

12. You mentioned that you are aware of the Free File Return Preparation And Filing Service Found At IRS.gov. Approximately when did you first become aware of the Free File service at IRS.gov? (DO NOT READ CHOICES. CIRCLE ANSWER COVERING TIME PERIOD IN RESPONSE.)

Within The Past Year 1 …00

1 To 2 Years Ago 2

2 To 3 Years Ago 3

More Than 3 Years Ago 4

Don’t Recall 5

13. How did you first become aware of the Free File service found at IRS.gov? (DO NOT READ CHOICES. CIRCLE 1^ST RESPONSE UNDER COL. A BELOW. THEN, CIRCLE ANY OTHER RESPONSES UNDER COL. B. IN BOTH CASES, ASK THE PARENTHETICAL PROBES.)

13A 13B

1^ST OTHER

MENT MENTS

While Visiting IRS.gov For Information Or Help With Taxes 1 1 ...00

From A Relative, Friend Or Colleague 2 2

From The IRS Federal Income Tax Return Package 3 3

From IRS Materials Other Than The Federal Income Tax Return Package (What Other IRS Materials?) 4 4

Saw Or Heard About It On TV 5 5

Saw Or Read About It In A Newspaper Or Magazine 6 6

On The Internet – But Not On The IRS Internet Website (Please Describe These Other Sites) 7 7

From Movie Trailers – Saw It Advertised In Movie Trailers/Movies 8 8

(LAST:) Some Other Way (SPECIFY) 9 9

14. And in which if any of the following ways have you ever heard about the Free File service found at IRS.gov? Have you heard about it…(READ CHOICES & CIRCLE ALL THAT APPLY. BE SURE TO ASK THE PARENTHETICAL FOLLOWUP PROBES.)

• While Visiting IRS.gov For Information Or Help With Taxes 1 ...00

• From A Relative, Friend Or Colleague 2

• F rom The IRS Federal Income Tax Return Package 3

F

ROTATE PAIR BUT READ IN SEQUENCE.

rom IRS Materials Other Than The Federal Income Tax Return Package (What Other IRS Materials?) 4

• Saw Or Heard About It On TV 5

• Saw Or Read About It In A Newspaper Or Magazine 6

• On The Internet – But Not On The IRS Internet Website (Please Describe These Other Sites) 7

• From Movie Trailers – Saw It Advertised In Movie Trailers/Movies 8

PAGE 5

ASK ALL:

15. I am going to read a description of Free File. Please listen carefully as I will ask you some questions about it when I am finished.

READ FREE FILE DESCRIPTION SLOWLY AND CLEARLY:

For Taxpayers eligible to use it, the Free File service at IRS.gov provides step-by-step instruction and free Federal income tax preparation and electronic filing.

The Free File service is a partnership between the IRS and the Free File Alliance LLC, a group of private sector tax software companies.

Many of these companies also offer free or paid state tax preparation and e-filing services – though some of the companies may not offer state tax preparation and e-file services for all states.

Note: embedded to the right is the description of Free File being used in Task Order 17, the Marketing Focus Groups. We did not use that description here and kept a more generic description because of the agreement during A&A Kickoff that the Free File team wants to focus more on the Traditional product and that if we mention “Fillable Forms” here, it will likely introduce confusion and affect this study’s results.

16. Our records show that you were eligible to use the Free File service at IRS.gov when you filed your Federal return this year. Assuming you are eligible to use Free File in the future, how likely are you to go to the IRS’s website, IRS.gov, and use the Free File service? Do you think you...(READ CHOICES AND CIRCLE ONE ANSWER.)

Definitely Will 5 ...00

Probably Will 4

Might Or Might 3

Probably Will Not 2

Or, Definitely Will Not Use Free File In The Future 1

17. You said you (INSERT RESPONSE TO Q16) use Free File in the future. Why do you feel that way? Please be as specific as possible. (RECORD FULL VERBATIM & PROBE UNTIL RESPONSE EXHAUSTED.)

18. How important a role does the fact that it’s “free” play in your interest in using Free File in the future? Is the “free” aspect of this service…(READ CHOICES AND CIRCLE ONE ANSWER.)

Extremely Important 5 ...00

Very Important 4

Somewhat Important 3

Not Very Important 2

Or, Not At All Important 1

PAGE 6

19. Next, I’m going to read some statements about the Free File service. After I read each one, please tell me whether you “completely agree”, “mostly agree”, “somewhat agree”, “somewhat disagree”, or “completely disagree” that the statement would describe Free File. Let’s start with...(RANDOMIZE STATEMENTS, READ EACH ONE, CIRCLE RATING & CONTINUE UNTIL ALL HAVE BEEN RATED.) (NOTE: DO NOT OFFER “DON’T KNOW” AS A CHOICE, BUT CIRCLE IT IF RESPONDENT CANNOT RATE A STATEMENT.)

Com- Some- Some- Com-

pletely Mostly what what pletely Don’t

Agree Agree Agree Disagree Disagree Know

• Would Be Better Than Other Methods Of Filing Taxes 5 4 3 2 1 Y ...00

• Would Be A Way To File Quickly And Get It Over With 5 4 3 2 1 Y ...00

• Would Be A Way To Get Your Refund Faster 5 4 3 2 1 Y ...00

• Since It Is On The IRS Website, It Would Be More Accurate 5 4 3 2 1 Y ...00

• Since It Is On The IRS Website, It Would Be Safer And More Secure 5 4 3 2 1 Y …00

• Is A Method Of Filing That You Would Find Only At The IRS Website 5 4 3 2 1 Y …00

• Would Be A Completely Cost-Free Method Of Preparation And Filing 5 4 3 2 1 Y …00

• Would Be Easy To Use, With Little Hassle 5 4 3 2 1 Y …00

• Would Be Less Expensive Than Having To Buy Tax Software 5 4 3 2 1 y …00

20. Is there any particular reason why you did NOT use Free File this year to prepare and file your Federal Income Taxes? (DO NOT READ PRE-LIST. IN COL. 20, CIRCLE ANY RESPONSES THAT ARE IN THE LIST AND ENTER ANY OTHERS THAT ARE NOT. PROBE WITH:) Are there any other reasons why you did NOT use Free File this year? (SECURE DETAILED RESPONSE.) (IF RESPONDENT ASKS HOW WE KNOW THEY DIDN’T USE FREE FILE, EXPLAIN THAT OUR LIST OF TAXPAYERS ARE ALL NON-USERS OF FREE FILE.)

21. I’m going to read a list of other possible reasons for NOT using Free File at the IRS website to file your Federal Income Tax Return. After I read each one of these, please tell me if it was a reason that you chose NOT to use Free File in 2010. (ROTATE AND READ ALL REASONS NOT ALREADY CIRCLED UNDER COL. 20 & CIRCLE ALL THAT APPLY UNDER COL. 21 BELOW.)

20 21

Unaided Prompted

Reasons Reasons

Tried To Use It, But It Was Too Difficult/Hard To Understand 1 1 ...00-00

Felt That The Free File Website Had Insufficient Or Confusing Instructions 2 2

Found That A Taxpayer Cannot File Both State & Federal Returns Using Free File 3 3

Thought It Was Going To Be Free, But It Turned Out That It Was Not Free 4 4

Had A Bad Experience With Free File In The Past 5 5

Wanted A Refund Anticipation Loan & Found That Free File Didn’t Offer It 6 6

Did Not Qualify On The Free File Income Requirement 7 7

Didn’t Have Access To a Computer/The Internet 1 1

Tried To Use Free File But Couldn’t Link To The Free Websites 2 2

Did Not Remember That Free File Was A Tax Filing Option 3 3

Don’t Trust Electronic Filing Or Have Concerns About Internet Security 4 4

Free File Does Not Let You Import Your Prior Year Tax Information 5 5

Was Concerned About The AMT – the Alternative Minimum Tax 1 1

Was Uncertain About Recent Tax Law Changes 2 2

Thought You Did Use Free File in 2010 3 3

Used Some Other Free Filing Service That Did Not Involve Accessing IRS.Gov 4 4

Other (PROBE THIS OUT FULLY) 5 5

(DO NOT READ, BUT CIRCLE IF:) Don’t Know Why I Did Not Use Free File In 2010 6 6

PAGE 7

22. We’ve talked about Free File. If the IRS were to send you information or updates about Free File, how would you prefer to receive this information? Should it come to you…(READ CHOICES & CIRCLE ALL THAT APPLY BELOW, ENTERING ANY RESPONSES WHEN PROBING.)

In The Mail 1 …00

Be Available For You To Pick Up At A Post Office/Library 2

Be Available For You To Pick Up At An IRS Office 3

From Contact With An IRS Tax Specialist/IRS Employee 4

From The IRS’s Website – IRS.gov 5

From Other Internet Websites (SPECIFY) 6

Via e-mail 7

Via Electronic Bulletin Board 8

From Advertising 9

From News Articles 1 …00

From Software Companies 2

Some Other Way (SPECIFY) 3

(DON’T READ…) Don’t Know/Refused 4

23. Next, I’d like to ask you about the types of media you read, listen to, or watch. First, which if any of the following types of Printed Or Online Media do you either subscribe to or read on a regular basis? (READ LIST AND CIRCLE ALL THAT APPLY UNDER COL. “A”.) THEN, FOLLOW UP WITH THIS PROBE: And which one of those types of Print Or Online Media do you spend the most time reading? (DON’T READ – CIRCLE ONE ANSWER UNDER COL. “B”.)

23A 23B

Subscribe/ Spend

Read Most Time

Regularly Reading

Print Or Online National Newspapers Such As The New York Times Or USA Today 1 1 …00-00

Print Or Online Editions Of Your Local Newspaper(S) 2 2

Print Or Online National News Magazines Such As Time Or Newsweek 3 3

Print Or Online Sports Magazines Such As Sports Illustrated Or ESPN The Magazine 4 4

Print Or Online Business Publications Such As Business Week Or The Wall Street Journal 5 5

Print Or Online Local Business Publications, Magazines Or Journals 6 6

Print Or Online Fashion Magazines Such As Allure, Cosmopolitan, Vogue, Esquire, GQ, Etc. 7 7

Print Or Online Entertainment Magazines Such As People, Or TV Guide 8 8

Print Or Online Women’s Magazines Such As Oprah, Better Homes & Gardens, Etc. 9 9

Print Or Online Computer Magazines 0 0

Internet Or Online Blogs, Bulletin Boards, Chat Rooms, Etc. X X

None Of The Above (IF CIRCLED IN A, NO NEED TO FOLLOW-UP WITH B). y

24. Which, if any, of the following types of Radio Formats do you listen to regularly? (READ LIST AND CIRCLE ALL THAT APPLY UNDER COL. “A”.) THEN, FOLLOW UP WITH THIS PROBE: And which one of those types of Radio Formats do you spend the most time listening to? (DON’T READ – CIRCLE ONLY ANSWER UNDER COL. “B”.)

24A 24B

Listen Spend

To Most Time

Regularly Listening To

All-News Stations 1 1 …00-00

All-Talk Stations 2 2

All-Sports/Sports Talk Stations 3 3

Financial News Stations 4 4

AM Mixed Format Stations (Talk Plus News Plus Features) 5 5

AM Music Stations 6 6

FM Music Stations 7 7

None Of The Above (IF CIRCLED IN A, NO NEED TO FOLLOW-UP WITH B). y

PAGE 8

25. Which, if any, of the following types of TV Programs Or Channels do you watch on a regular basis? (READ LIST AND CIRCLE ALL THAT APPLY UNDER COL. “A”.) THEN, FOLLOW UP WITH THIS PROBE: And which one of those types of TV Programs Or Channels do you spend the most time watching? (DON’T READ – CIRCLE ONE ANSWER UNDER COL. “B”.)

25A 25B

Spend

Watch Most Time

Regularly Watching

Early Morning Shows Such As Today, This Morning, Or Good Morning America 1 1 …00-00

Later Morning Talk Shows Such As Regis & Kelly, Etc. 2 2

Afternoon Soap Operas 3 3

Game Shows 4 4

Home Improvement, Design, And Cooking Shows 5 5

Early Evening News Programs 6 6

Early Evening Entertainment And Celebrity News Shows Such As Entertainment Tonight 7 7

Prime Time Comedy/Drama Shows 8 8

Late Evening News Programs 9 9

Late Night Talk Or Variety Shows 0 0

All-News Cable Channels Such As CNN, Fox News Network, Headline News, MSNBC 1 1

Premium Cable Movie Channels Such As HBO, Showtime, Etc. 2 2

Non-Premium Cable Movie Channels Such As AMC 3 3

Cable Family/Life Programs 4 4

Sports Events/Sports Programs 5 5

None Of The Above (IF CIRCLED IN A, NO NEED TO FOLLOW-UP WITH B) y

26. Finally, for classification purposes only: in total, including yourself, how many people currently live in your household?

# ...00-00

(RECORD EXACT NUMBER)

27. What was the last grade of education you completed? (DON’T READ LIST.)

Grade School Or Less 1 ...00

High School Graduate 2

Technical, trade, or Business School 3

Attended College But Did Not Complete Degree 4

College Undergraduate Degree (BS/BA/etc.) 5

Post-Graduate College Degree (MS/MBA/etc.) 6

(DON’T READ BUT CIRCLE IF:) Refused y

CLOSING COMMENTS

That completes the survey. Thank you so much for your help with the survey. We are required by law to report to you the OMB (Office of Management and Budget) Control Number for this public information request. That number is 1545-1432. In addition, if you have any comments about the time estimate to complete the survey or ways to improve the survey, you can write to the IRS. Would you like the address?

(IF YES, ADDRESS IS…) IRS Tax Products Coordinating Committee

SE:W:CAR:MP:T:T:SP

1111 Constitution Ave. NW

Washington, DC  20224.