Understanding Free Tax Prep Options
Everyone has to do taxes.
It isn't a fun process and it would probably be better if it was simpler.
Unfortunately, there isn't much that we can do about the tax process in our country.
Just go along with the IRS for now until we come up with a better plan.
The consequences of not filing are just not worth the benefits of ignoring your taxes.
This is especially true when one considers the many free tax prep options that are now available.
Let's start out with the basics though.
What are the usual options for your tax preparation? You can try to do them yourself.
This is basically a method of free tax prep.
If you have a good grasp of your own finances then this actually isn't too hard.
Not everyone is comfortable with the inherent risk involved though, and doing the easier tax forms usually involves sacrificing a lot of your deductibles.
That is why a lot of people get their tax file prepared by a special accountant from one of the major agencies around.
In this case, you just gather up all your paperwork and sit down for a while with the accountant and they'll take care of all the hard stuff.
You are going to lose a nice chunk of your refund in charges though.
Thankfully there is a new way to get the best of both options.
This is possible through one of the many accounting software suites available today.
These programs guide you through the basics and basically work like a free tax preparer.
You just fill in the requested information in the areas specified.
Then you just keep going along until it's all done.
A number of the newer programs have the latest list of tax credits and deductibles to ensure that you get everything that you deserve.
Once you are all done and at your final total, you can just a press a button and your tax return will be sent to the IRS through a secured online passageway.
You will receive an email confirming when they receive it.
There is no waiting at the post office or uncertainties with the mail system.
Purchasing the software is an investment.
You will often be able to access some of the basic preparation features free as part of a deal, so try it out and see if you like it.
The benefits of doing your own taxes will greatly outweigh the initial cost.
It isn't a fun process and it would probably be better if it was simpler.
Unfortunately, there isn't much that we can do about the tax process in our country.
Just go along with the IRS for now until we come up with a better plan.
The consequences of not filing are just not worth the benefits of ignoring your taxes.
This is especially true when one considers the many free tax prep options that are now available.
Let's start out with the basics though.
What are the usual options for your tax preparation? You can try to do them yourself.
This is basically a method of free tax prep.
If you have a good grasp of your own finances then this actually isn't too hard.
Not everyone is comfortable with the inherent risk involved though, and doing the easier tax forms usually involves sacrificing a lot of your deductibles.
That is why a lot of people get their tax file prepared by a special accountant from one of the major agencies around.
In this case, you just gather up all your paperwork and sit down for a while with the accountant and they'll take care of all the hard stuff.
You are going to lose a nice chunk of your refund in charges though.
Thankfully there is a new way to get the best of both options.
This is possible through one of the many accounting software suites available today.
These programs guide you through the basics and basically work like a free tax preparer.
You just fill in the requested information in the areas specified.
Then you just keep going along until it's all done.
A number of the newer programs have the latest list of tax credits and deductibles to ensure that you get everything that you deserve.
Once you are all done and at your final total, you can just a press a button and your tax return will be sent to the IRS through a secured online passageway.
You will receive an email confirming when they receive it.
There is no waiting at the post office or uncertainties with the mail system.
Purchasing the software is an investment.
You will often be able to access some of the basic preparation features free as part of a deal, so try it out and see if you like it.
The benefits of doing your own taxes will greatly outweigh the initial cost.
Source...