DENVER -- Nothing makes paying income taxes any easier but Consumer Champ Bill Clarke said you can cut the cost of doing the tax returns. And you can thank Uncle Sam for the help.

The idea is to provide moderate and low-income taxpayers with the software to get the job done and it's all free.

Start with the IRS Web site -- IRS.gov -- and then click on the free file page.

Then you can pick from about 20 tax software companies -- all of them part of what's called the Free File Alliance. Most of the companies may not look familiar but also among them are the two best known -- Tax Cut by H & R Block and Turbo Tax.

All of the software work pretty much the same. Pick a brand name and you'll be shifted to the company's secured Web site to do the work.

And when you're done, you can file electronically.

The free tax software is limited to people with $50,000 adjusted gross income or less and some software, like Turbo Tax, have an even lower income ceiling. Bear in mind this is no-frills software. It gets the job done but don't look for prompts or audio video tips. And beware of upgrades that are not free.

If you've got money coming back, electronic filing could speed up the process.

Bill's Notes

It's easy to get to the Free File information. Just go to the IRS IRS Web site. Click on "Start Now."

Regardless of which software program you choose, you'll get a prompt that moves you from the IRS Web site to the software maker whose program you've chosen. This is where your troubles can begin if you're not careful. Many of the ones we previewed will try to steer you to an upgrade or some other option that will cost you money. Remember, you're there for the Free File program and if you see any mention of anything that will cost you even a few dollars, you've made a wrong turn someplace.

As beneficial as the Free File program can be, you need to know that the businesses that support it aren't there out of the kindness of their corporate hearts. Of course, they're hoping to sell you something.

If you find that the software program you've selected is leaving you with a glazed-over look in your eyes, dump out of it and go back to the main page to select another program.

I can't honestly say I checked out all 20 of them (and, in fact, some won't work once you enter a Colorado ZIP code), but I think it's fair to say that some of the smaller companies are here to generate positive word of mouth or to test out programs they think are superior to the Big Two -- Turbo Tax and Tax Cut.

Once you've completed your federal return, make sure to print a copy for yourself. Then, go to the Colorado Department of Revenue's Web site to prepare your state return. Pay close attention on the first page. You'll be filing a new return and will need a filing ID number.

Since Colorado's Income Tax is based on the numbers generated for your federal 1040 return, there isn't much thinking involved in transposing the numbers. I haven't done my own taxes yet this year but I've heard from others in the newsroom that they've had some problems with the state's Web site and filing the returns prepared on that site electronically.

In most cases, you may have to re-enter the information and try again. In the worst of cases, you might have to download the Colorado State Form 104, the state income tax form, write in the information, sign the return, and mail it in.

If all this is too much, remember the Piton Foundation and Mile Hi United Way are providing no-cost tax preparation assistance. The number to call is (303) 433-8900.

Of course, nobody likes to file their income tax paperwork, electronically or otherwise. But we here at 7NEWS would very much like to get your feedback on any of the software programs or systems that we've talked you through here. Please send e-mails to Bill_Clarke@TheDenverChannel.com.