So, it’s the tax season. Most of you are probably anticipating your W2s. I know I am!
This will be my first time e-filing. I have been considering using TurboTax or another reputable software to do my taxes, but being a total n00b at it, I don’t know what it involves.
The questions I have are:
Is it easy to do? Do you directly plug in the numbers/answers from your W2 into the tax form within the software? Or do you have to crunch numbers?
Besides the cost of the software (Generally about $29-$59), do you also have to pay a separate fee when submitting the e-file?
If you’ve e-filed before, any words of advice or suggestions?
Thank you so much. I’m hoping this will shave off a few weeks of time for tax returns.
I haven't worked with turbotax, but I imagine pretty much most tax softwares do the number crunching for you...u just have to enter the relevant info. If your taxes are straightforward (I.e., only a W2 and simple stuff), then turbotax should be a breeze but you have to know which forms to look for and to enter.
as far as I know there is no fee to submit the Efile.
One more thing....IRS provides free tax preparation services in the country if you meet certain income requirements, and by free I mean absolutely free :D...you can look into that if you can spare an afternoon and you won't have to buy any software either.
TurboTax is v ez, I hv been filing my taxes via it for past 5 years. Infact last yr when I was filing my taxes it showed my that I hv to pay around 6k which surprised me n I thought may b I am doing something wrong, then I went to HRBlock and they told me the same thing but they were chargin 350$ for it :D so I came back and did it via TurboTax. @least I saved some bucks lolz.
Also an FYI when you buy the software only the federal tax filing is free, you have pay extra for each state's tax you will be filing.
another thing is that if your company has an EIN, your W2 data gets automatically transfered to turbo tax so you don't have to go through which box goes into which lolz
I stopped doing e-filing (using a tax software that is) few years ago. I realized that going through a knowledgeable tax accountant and paying him/her couple of hundred bucks is far more valuable. Our tax returns increased 3 folds minimum since we started going to an accountant.
and no, I am not talking about H&R block. That is the worst thing you can do to yourself to go to H&R
my husband file himself using h&r block basic. he is the tax preparer. and get as much as refun he can get. and so called accountant also riped u off. so its better to do it urself.
If you do not own a business , a home , an HSA or FlexSpending account, did not buy or sell shares and you are not itemizing your deductions. If all you have are W2s then you can not go wrong with using any tax return filing software or online tax filing service.
If you do not know what you are doing then it is better to go to some tax professional. Do not go to desi FOBs who are doing taxes like a barsatee maindak and there are many of those in desi para like Chicago , Jackson Height etc. They will try to show you a couple of ways of cheating on taxes do not listen to them that is one of the worst thing you can do in US.
The Internal Revenue Service has few fans. Though a lot of people do not understand it at first, the political expediency of cutting the IRS budget is coming back to bite taxpayers where it hurts. Resource for this article: IRS budget cuts costing taxpayers. While I guess lowering taxes will lead to a larger economy, but the big problem is that there will be more unnecessarily unemployed – with the silver lining that there will be lower taxes.
I know which people you’re talking about. You’re right on about that.
Thank you all for the input.
Mine is just a simple W2. No extras like house, charity, business, or anything else.
Is it still worth the cost to go to an experience accountant like Br. TLK suggested? What I mean is, is paying them a few hundred feasible for the return? I don’t have any dependants, So I what I get back is all just my own. Annual deductions, etc.
Update: TurboTax offers free federal e-file (check their website) if your tax return is simple and straight-forward, and $39.95 for state e-file. Kind of clever because the Deluxe Fed+State retails for $49.99.
Still a very decent, and user-friendly product for anyone to use. Took me just under 20 minutes to complete it. :k:
Of all the options available, I would NEVER recommend H&R or Liberty or the tax houses....they rip you off, they engage in predatory practices and I think what they pay their employees is peanuts.
If your situation is quite simple, ie you work and have W2s, best to go to an IRS sponsored vita site or do it through turbo tax. If it's more complicated, better off going to an accountant.
In my experience, accountants will get you the same refund as turbo-tax (if you go through all the steps carefully). If an accountant promises higher refund, he is fudging deductions which may come back to bite you later.
As for turbo-tax, most brokerages/banks give a 15-30% discount to their customers so definitely avail of it if you go with turbo-tax.
I've always filed with H&R, that's all I know. I'm surprised to read all this stuff about them not being good.... out of curiosity.... what's so bad about tehm other than the fees? I never really pay more than $150-$175 to get mine done...
I know which people you’re talking about. You’re right on about that.