Can my state return be filed electronically? Although dependent upon each individual state's ability to receive electronic filings, Modernized e-File's Fed/State System for businesses and tax-exempt organizations was implemented in January 2006. The Fed/State System permits transmitters to submit multiple federal and state return types within one transmission. States that choose to participate must complete a registration and testing process before opening Fed/State filing. Participating states will be listed on the IRS Web site as they complete this process. For additional information, see Section 3 of Publication 4164PDF.