Is there a charge for each W-2?
Posted by Caitlin
The following post in our Reader Question series is an actual user submitted question. To maintain the integrity of the original question, we do not edit or change reader questions in any way.
Q: I have several W-2's. Is there a charge for each one or not [with TaxAct]?
A: TaxAct and other online tax preparation services do not charge per W-2. The pricing plans differ slightly, but in general you can expect to pay based on the number of federal and state returns you need to file.
To compare prices on tax preparation services, see our comparison chart.
Can I file multiple state returns online?
Posted by Caitlin
The following post in our Reader Question series is an actual user submitted question. To maintain the integrity of the original question, we do not edit or change reader questions in any way.
Q: We live in one state that I work in but my husband works in a different state. Can I still file the state taxes online? Which state do I file first?
A: An online tax preparation service makes it quick and easy to file multiple returns. You can add additional state returns in any order you like. Online tax preparation services are especially useful in a slightly more complex tax situation like yours, because they help you review your returns to ensure that there are no errors or inconsistencies that could cause you to accidentally miscalculate the amount that you owe, or unintentionally declare the same income in multiple states.
To learn more about online tax preparation services, see our reviews and comparison chart.
Is a free, online tax preparation service a good choice?
Posted by Caitlin
The following post in our Reader Question series is an actual user submitted question. To maintain the integrity of the original question, we do not edit or change reader questions in any way.
Q: Is a free tax service online (TaxAct) just as good as buying a program like TurboTax?
A: TurboTax, H&R Block and TaxAct all offer various online packages, including a free, very basic option for filing a federal return, as well as physical software. (The reviews on NextAdvisor.com are for the online services only.) If you only need to file a 1040EZ, you can use any of the free options. If a 1040EZ is not adequate for your tax needs, but you would still like to file your federal return for free, TaxAct's online service is your best option. All of these services will charge you a fee if you also need to file a state return. If you would prefer physical software to an online service, you can download a tax program or order software on a CD-ROM from TurboTax, H&R Block or TurboTax. This software will be more or less the same as the equivalent online tax preparation package.
So, yes, an online service is just as good as a physical program. But no, a free service is not just as good as one that you pay for, because it will only include a very basic federal return, and not a state return. The tax preparation package that you choose should correspond to the complexity of your financial situation. If you own a home business, for example, there are tax preparation packages specifically tailored to your needs, but they will be more expensive.
To learn more about online tax preparation services, see our reviews and comparison chart.
What is the best tax service for a home business?
Posted by Caitlin
The following post in our Reader Question series is an actual user submitted question. To maintain the integrity of the original question, we do not edit or change reader questions in any way.
Q: What is the best tax program for a home based business to use? Always used my CPA? Thank you.
A: TurboTax offers a Home & Business tax preparation package, which is specifically designed to make it easy to handle your personal and business taxes. TurboTax Home & Business provides step by step guidance and identifies deductions that are specific to your business. TaxBrain also offers a package aimed at small business owners. And if you would feel more comfortable with assistance from a tax professional, you may wish to consider H&R Block's Signature or Online Office packages.
To learn more about TurboTax, H&R Block, TaxBrain or other online tax preparation services, see our reviews and comparison chart.
Can you accept schedule D transactions?
Posted by Caitlin
The following post in our Reader Question series is an actual user submitted question. To maintain the integrity of the original question, we do not edit or change reader questions in any way.
Q: Can Turbo Tax or H&R Block accept electronically the Schedule D transactions for capital gains or losses from Merrill Lynch accounts? If so, what is the limit on the number of transactions?
A: All of H&R Block's tax preparation packages include Schedule D, for capital gains and losses, as well as Schedule D1, for additional gains and losses. H&R Block does not limit the number of transactions. All of TurboTax's packages also include Schedule D and D1, with the exception of their free edition, which does not support these forms. TurboTax Online allows up to 500 transactions. TurboTax's desktop software, which is available via download or CD, allows unlimited transactions.
To learn more about H&R Block, TurboTax or other online tax preparation services, see our reviews and comparison chart.
How many returns can I do?
Posted by Caitlin
The following post in our Reader Question series is an actual user submitted question. To maintain the integrity of the original question, we do not edit or change reader questions in any way.
Q: If I buy the full package with federal and state e-file from TurboTax or TaxAct, how many returns can i do? I have a family of 6.
A: The various packages offered by the tax preparation services reviewed on NextAdvisor.com include, at the most, one federal return and one state return.
Depending on the composition of your household, a single tax return may be enough. If you are married, you and your spouse can file jointly, and if you have children, you can include them as dependents. If other family members live with you, they may also qualify as dependents, as long as they do not provide more than half of their own financial support. If your family members do not qualify as dependents, they will have to file their own tax returns seperately.
To learn more about TurboTax, Tax Act, or other online tax preparation services, see our reviews and comparison chart.
What if I file my federal and state returns together?
Posted by Caitlin
The following post in our Reader Question series is an actual user submitted question. To maintain the integrity of the original question, we do not edit or change reader questions in any way.
Q: I see where federal only fees are $14.95 and state only fees are $29.95 [with H&R Block]. What if I file my federal and state together?
A: H&R Block offers a variety of different packages to choose from, depending on your tax preparation needs. Your federal fees will be determined by whichever package you select. Their TaxCut Basic + E-File costs $14.95, for example. Once you have selected a package, you have the option to include a state return as an add-on. (H&R Block does not offer an option to e-file a state return without also e-filing a federal return.) If you include a state return, you will be charged an additional fee of $29.95, regardless of which package you are using. If you select the TaxCut Basic + E-File package and also include a state return, it will cost $44.90.
To learn more about H&R Block and other tax preparation services, see our reviews and comparison chart.
Top Tax Preparation Services
Sign Up For Our Newsletter
Popular Services Reviewed:
Credit Monitoring Services |
Find Us On:
Copyright© 2006 - 2012 NextAdvisor.com - All rights reserved.
Disclosure: NextAdvisor.com is a consumer information site that offers free, independent reviews and ratings of online services. We receive advertising revenue from most of the services we review. Our editors thoroughly research and whenever possible test each service we review and offer their honest opinions about each one. We are independently owned and operated and all opinions expressed on this site are our own.