Why NOT Turbo Tax?

[3happydancers]

I purchased the program (much cheaper than using our accountant this year) and found it to be a bit confusing;probably because I am not familiar with it and a little nervous about doing something wrong. Anyhow, complete the federal & state and saw we are getting much less in federal. I know the work credit is gone and we did get a credit for new windows. That should explain the difference. But, I was wondering if you guys knew of any reason NOT to use Turbo Tax over the accountant?

INPUT PLEASE!!!

 

[msmayor]

You should not use Turbo Tax if you do not have a basic understanding of all the areas of your tax return that must be completed.

If you look at the finished product and do not understand HOW the values were computed, or why a particular form was produced, you may not have entered information correctly (notice I said 'may not have', not 'did not').

I think the biggest mistakes that can be made by someone using Turbo Tax is that they either forget to enter a value or don't enter it in the right spot of the program, thereby miscalculating their taxes. If you cannot 'see' the error when you are checking it over for accuracy then you will file an incorrect return.

Turbo Tax only guarantees the actual calculation of the tax based on the values YOU enter. They can't guarantee that you will enter all the numbers needed or enter them in the right spot.

 

[StephMK]

The first year we changed from an accountant to taxact, I looked at both returns side by side. Then I could compare to see if the values were about where I expected. Now taxact provides a breakdown to last year's so I can see if my numbers are way off from the previous year.

It made me nervous the first year but now I'm used to it & it really isn't too bad. Take your time & double check and it should go ok. We itemize, I have a 1099, and went to school the last few years and I just make sure I fill in the right blanks.

Good luck!

 

[3happydancers]

You should not use Turbo Tax if you do not have a basic understanding of all the areas of your tax return that must be completed.

If you look at the finished product and do not understand HOW the values were computed, or why a particular form was produced, you may not have entered information correctly (notice I said 'may not have', not 'did not').

I think the biggest mistakes that can be made by someone using Turbo Tax is that they either forget to enter a value or don't enter it in the right spot of the program, thereby miscalculating their taxes. If you cannot 'see' the error when you are checking it over for accuracy then you will file an incorrect return.

Turbo Tax only guarantees the actual calculation of the tax based on the values YOU enter. They can't guarantee that you will enter all the numbers needed or enter them in the right spot.

Ok, great info. I do believe I did this correctly. I worked off my last year's itemized returns (which one had to do in certain areas anyway). I suppose checking my numbers and the line would be a good idea. Thanks for your input msmayor!!!

 

[3happydancers]

The first year we changed from an accountant to taxact, I looked at both returns side by side. Then I could compare to see if the values were about where I expected. Now taxact provides a breakdown to last year's so I can see if my numbers are way off from the previous year.

It made me nervous the first year but now I'm used to it & it really isn't too bad. Take your time & double check and it should go ok. We itemize, I have a 1099, and went to school the last few years and I just make sure I fill in the right blanks.

Good luck!

I have not heard of Taxact. Is this program comparable to Turbo Tax? I like the feature you mentiond about how taxact provides a breakdown to last year's taxes. That is what my accountant does every year. I don't think Turbo Tax has this feature. I will definitely double check and compare to last years returns. Thanks a bunch!!!

 

[Oldironsides]

I've been using Turbo Tax for around 10 years now. It gets easier every year. My biggest advice is that the state return is a ripoff. NJ efile is very straightforward and easy and I think Turbo Tax wanted around $40 to file the state return.

 

[msmayor]

I've been using Turbo Tax for around 10 years now. It gets easier every year. My biggest advice is that the state return is a ripoff. NJ efile is very straightforward and easy and I think Turbo Tax wanted around $40 to file the state return.

The individual state program costs $40, but if you purchase the Deluxe or Premiere download/CD the state program is free. Yes, you have to pay to file with the state (I think its $20 for NJ) but if you have a lot of entries for your return its just easier and quicker to enter it once through Turbo Tax.

To each his own though.

 

[North of Mouse]

I purchased the program (much cheaper than using our accountant this year) and found it to be a bit confusing;probably because I am not familiar with it and a little nervous about doing something wrong. Anyhow, complete the federal & state and saw we are getting much less in federal. I know the work credit is gone and we did get a credit for new windows. That should explain the difference. But, I was wondering if you guys knew of any reason NOT to use Turbo Tax over the accountant?

INPUT PLEASE!!!

My husband had done our taxes with Turbo Tax for years and loves it. He just told me that it checks everything you do before it will let you e-file, so it's nearly fool proof for him. It asks you questions and makes sure you remember to put down things you might forget on your own. After it's sent in it's also checked again before you get the notice that all is well and your returns are on the way. We do pay extra to e-file, but returns are so quick and easy, it's worth it to us. So, to answer your question, no, for us there is no reason NOT to use Turbo Tax He says after you use it once, it seems easier

 

[North of Mouse]

The individual state program costs $40, but if you purchase the Deluxe or Premiere download/CD the state program is free. Yes, you have to pay to file with the state (I think its $20 for NJ) but if you have a lot of entries for your return its just easier and quicker to enter it once through Turbo Tax.

To each his own though.

I just asked my husband which version he uses and he just uses the basic - says we do pay for state tax filling, but the Deluxe and Premiere are very expensive so you are still paying in the long run for state filling - I'm not sure personally the difference (I don't do the filling LOL).

 

[deserrai]

I am an accountant. From what I have seen, TurboTax and similar software works just fine if you have a basic return, i.e. w-2, interest and dividend income, itemized deductions, education, etc. The problem comes in if you have a business or if you have something new or different and you don't really understand how to report it or even know you have to report it. I get a lot of clients after they've received a tax notice because the left something off that they didn't realize they were supposed to report.

 

[furb & dez]

The individual state program costs $40, but if you purchase the Deluxe or Premiere download/CD the state program is free. Yes, you have to pay to file with the state (I think its $20 for NJ) but if you have a lot of entries for your return its just easier and quicker to enter it once through Turbo Tax.

To each his own though.

With TaxAct, you do everything online. Federal and State filing cost me a grand total of about $20.

TurboTax is overpriced, and it installs crapware on your system.

 

[ekatiel]

I have not heard of Taxact. Is this program comparable to Turbo Tax? I like the feature you mentiond about how taxact provides a breakdown to last year's taxes. That is what my accountant does every year. I don't think Turbo Tax has this feature. I will definitely double check and compare to last years returns. Thanks a bunch!!!

We do Turbo Tax online-- You really don't need to buy the software to use Turbo Tax-- they have a great online version. It DOES compare our previous year's returns to this year's. It also saves all our information-- employer id codes, my kids SSNs (which I would have to go did out of a drawer somewhere), even our Church's name and address for charity deductions. We've used it for 4 or 5 years now, and it make it super easy for us . Not sure if the software version saves all of your info or not, but the online version definitely does. --Katie

 

[ICF]

I I don't think Turbo Tax has this feature. I will definitely double check and compare to last years returns. Thanks a bunch!!!

Turbo Tax has the feature, but you had to have used them last year.

Otherwise, they have no idea of what your prior year #'s are.

I've used them for close to 10 years and it's very quick and simple....not to mention, cheap.

 

[firecracker725]

I've been doing my own tax returns since I was 16 (A loooong time ago, so on paper, no software), so I am very comfortable doing my own taxes. I've used the online version of TurboTax many times, but for the past few years I've used TaxAct. I am confident that they do what they advertise.

That being said, my super intelligent soon-to-be PhD holding mathematician hubby doesn't know squat about our taxes. I would never trust him to complete our returns, and he wouldn't feel comfortable doing it.

What I'm saying is that it all boils down to how comfortable you feel doing them with the software. It can be very confusing, even for someone intelligent. If you are up for doing a little research, the software works very well, but contrary to what they say, not every person is capable of using it to the best of its ability.

 

[stacielee]

I have not heard of Taxact. Is this program comparable to Turbo Tax? I like the feature you mentiond about how taxact provides a breakdown to last year's taxes. That is what my accountant does every year. I don't think Turbo Tax has this feature. I will definitely double check and compare to last years returns. Thanks a bunch!!!

TurboTax will compare the past several years' information, once you've used the program.

With TaxAct, you do everything online. Federal and State filing cost me a grand total of about $20.

TurboTax is overpriced, and it installs crapware on your system.

What crapware? I've been using TurboTax for at least 15 years and don't have any "crapware" on my computer.

 

[mnasf]

I'm not sure about the ease of use, but my husband is a tax accountant and CPA and uses this software for our personal returns. And has for years.

I purchased the program (much cheaper than using our accountant this year) and found it to be a bit confusing;probably because I am not familiar with it and a little nervous about doing something wrong. Anyhow, complete the federal & state and saw we are getting much less in federal. I know the work credit is gone and we did get a credit for new windows. That should explain the difference. But, I was wondering if you guys knew of any reason NOT to use Turbo Tax over the accountant?

INPUT PLEASE!!!

 

[North of Mouse]

TurboTax will compare the past several years' information, once you've used the program.



What crapware? I've been using TurboTax for at least 15 years and don't have any "crapware" on my computer.

Exactly what my husband just told me when I mentioned what furb & dez said. He said it's all online and never even gets into his computer so how can it install any crapware on it . He has been doing it for about as long as you and it hardly takes him anytime. But, like a PP said, if you have a complicated return (like we have had when my DH's company transferred us, sold, and bought new house, and other etc. with a company move) we have used professional services.

 

[LMN]

We have a tax CPA in the family who loves Turbotax....he says it has brought him alot of business over the years....people who tried to save money by doing their own taxes and did them incorrectly and then had to come back to him to amend those incorrectly filed tax returns .

 

[North of Mouse]

We have a tax CPA in the family who loves Turbotax....he says it has brought him alot of business over the years....people who tried to save money by doing their own taxes and did them incorrectly and then had to come back to him to amend those incorrectly filed tax returns .

We love it too, but for different reasons It takes a little figuring out the first time you use it, but it walks you through it, and my DH (not me ) says it is not hard at all with a simple return if you are at all computer savvy. It won't even let you e-file if it is not correctly done

 

[mpls_mm]

We used Turbo tax for years and never had any issues, but we have used an accountant the last two years. We have a lot of depreciation to use and 2 businesses. He does the leg work of figuring out what to use where and what to carry over. For example, there were a few deductions that did us no good because we were at maximums and they did us no good, so we left them out. It cuts down a risk of an audit if you claim 30k in deductions instead of 60k if the net result is the same. He also saved us time, it was nice to drop it off and not have to agonize over all of those categories and if they were in the right spot. If we had a simple situation we would use Turbo tax, a complicated one is a CPA.