Most of the best tax preparation software programs will employ some combination of both formats. In most cases, the information here will correspond closely with the information provided to you in tax documents from your employers, clients, and various accounts for which tax reporting is required.
#Best professional tax software reviews series#
This format relieves you of the responsibility of knowing exactly where the information must be applied within a given series of forms, though you will be prompted to review and confirm the information within the electronic form once you’ve completed all stages of the “interview” process.įorm-Based Software, in which you will actually enter the information into a series of electronic forms and tax documents. Interview-based Software, in which the user will be prompted to provide answers to a series of questions which will ultimately be used to auto-fill the forms earmarked for submission to the IRS. But before we take a closer look at the top services, we’ll note a few features that are common to most viable tax prep services.įirst, you should be aware that there are two basic formats in which tax prep software services are presented: There are numerous tax prep services out there, and many of them are tailored to the unique needs of different filers, from freelancers and small business owners to hourly wage earners and salaried professionals. What kinds of tax preparation software services are available?
You can enter financial information, including your W-2 or self-employment income, to e-file your federal tax return and state tax return.”Īnd for those with basic to moderate tax filing needs, this avenue may be the most cost-effective and hassle-free way to get ahead of tax day. News & World Report defines tax preparation software as “online tax software through your web browser, as an application downloaded to your computer, or as an app on your cell phone or tablet. Today, doing your taxes ranks pretty high among things that have been made dramatically easier through the magic of the internet. Whether that situation made you a 9-to-5 employee, a self-employed freelancer, a small business owner, an independent contractor with a tight crew of also independently contracted craftsmen, or a middle class family who just bought a house and started a college fund, you had to do it all by hand. Of course, In the old days, doing your taxes by yourself involved a lot of hand-written forms, calculators, number crunching, and scrutinizing of the intricate rules applying to your unique situation. But in the simplest terms, online tax preparation makes what was once an extremely obfuscating task a great deal easier for the average filer. Most services offer a sliding fee scale based on the suite of services required by each user. Tax preparation software refers to a wide range of online services designed to help you e-file your federal and state taxes, usually in exchange for a modest fee.
#Best professional tax software reviews full#
And full disclosure, this author has employed one or two of the tax preparation services in the past and the results have generally been positive (and considerably more affordable than consultation with a live human tax advisor).īut first, let’s get a little background on tax prep software.
We’ve scoured the web in search of tax preparation services that can help ease the process of filing for you this year.
Well, we’ve done some of the legwork for you. So how can you be sure you’re using a reputable service with a strong track record for getting good outcomes on behalf of its users? The internet is home to countless tax preparation services, whose ultimate purpose is to guide you through the process of filing your taxes while helping you maximize your outcomes and avoid potentially costly mistakes. That’s where a good tax preparation software program can come into play. From gathering your documents and calculating your expenses to navigating the tangled web of rules, regulations, liabilities, credits, deductions, and penalties, there’s a lot to figure out. They can be complicated and confusing and a little stressful. Seems like it happens practically every year, doesn’t it? Whether you’re preparing to owe the government a few bucks, you’re anticipating a nice return, or you’re ultimately expecting a neutral outcome, the fact of the matter is that taxes are rarely fun.