If you travel the e-route to prepare and file your taxes, you can reap some attractive benefits. Refunds from electronically filed returns have been processed in as little as 10 days, compared with four to six weeks for mailed returns, according to the Internal Revenue Service. Even this tax season, when the agency has warned taxpayers to expect refund delays because of late-2007 changes, electronic filers will still have an edge.

Whether you hire a tax professional to prepare the forms or use a store-bought CD, software download, or online tax-prep program, there's less likelihood of errors and sinister follow-up letters when you e-file. That's largely because IRS employees don't have to re-enter your data. You also get near-instant notification when your return has been received and accepted. And if you arrange for the electronic transmission of your refund or payment, you reduce the chances the money will be lost or stolen en route.

Despite those benefits, you may still hold your breath after sending your forms into the ether. Here's information to set your mind at ease.

Speed. Even with projected delays, the fastest refunds will go to those who file electronically and arrange for direct deposit. Major tax-prep software packages—Intuit's TurboTax, H&R Block's TaxCut, Cosmi CompleteTax, and TaxACT—also let you split your refund among three accounts, a relatively new IRS option.

Procrastinators take note: Intuit says it has fixed the problems that led to an electronic traffic jam in April 2007, preventing many last-minute TurboTax users from filing on time. The company says it will fully compensate filers if there are similar problems this year.

Savings for online prep. For folks who prepare and e-file one federal and one state return, Intuit has priced the online versions of TurboTax Deluxe, Premier, and Home & Business $21 to $45 lower than the identical downloads and CDs. H&R Block's online version of TaxCut Premium, including federal and state return prep and free e-filing, costs $25 less than its CD counterpart. (When we last tested the products, we found both of them to be suitable for simple returns.)

Cosmi CompleteTax, a new entrant available at major retailers, charges $30 for you to prepare and e-file one federal and one state return online. That's a lot less than the $45 you'd pay for the comparable TaxCut and $60 for TurboTax Deluxe. We haven't tested Cosmi CompleteTax yet, but the respected tax-information company CCH supplied the content. (CCH itself charges $45 for the same product at www.completetax.com.)

Tax-prep companies also periodically offer discounts to online customers. You can try several tax-prep programs you find online, since many don't charge a fee until you file. However, only CDs and downloads let you prepare multiple federal or state returns. The IRS limits electronic filings to five per software package.

Security. The IRS maintains that the online tax-prep companies it deals with have met strict guidelines on privacy and security of transmitted and stored personal data. Consumer Reports WebWatch, which reviews Web sites for information privacy, looked at the privacy policies and third-party verification of four online tax-prep providers—Intuit, H&R Block, Cosmi CompleteTax, and TaxACT—and found all of them to be in order.

Settling the bill. You can authorize the IRS to debit your bank account for any tax you owe on the April 15 deadline, regardless of when you file. Avoid paying by credit card; you might be charged a "convenience fee" of 2.49 percent or more of your tax due. For more information about ways to pay, go to www.irs.gov and enter "electronic payment options for individuals" in the search window.