|
What The Tax Software Companies Don't Want You To Know
By: Stephanie Gallagher
Haven’t done your taxes yet? No problem. Now there is a new way you can use top
tax software programs, like TurboTax and H&R Block, to get your taxes done
quickly and easily. And the best part is it won’t cost you a thing.
The secret is an IRS program called Free File, that allows you to prepare and
file your federal tax return electronically, using these and dozens of other
popular tax software programs, for free!
Free File has been around for a few years, but it used to have very stringent
income requirements (i.e., only taxpayers whose incomes were below a certain
level could use it). This year is the first time the service is being opened up
to 99% of taxpayers.
Important: You must go through the IRS official web site in order to get this
deal. Go to http://www.irs.gov and click on the link at the top of the home page
that says Free File. (Note: It’s not on the navigation bar. It’s on the home
page itself.)
Next, you’ll want to click the gray button at the bottom of the page that says,
“Start Now.” At this point, you’ll have the option of browsing all of the
services offered or choosing to use the “Guide Me to a Service” wizard to help
you select one. The wizard will ask you a few basic questions about your age and
income and then come back with a list of companies whose free products meet your
needs.
Why is the IRS doing this? In a nutshell, to save money. It’s cheaper, faster
and easier for them to process returns electronically.
Why should you do it? Because it’s cheaper and easier to file, and you can get
your refund faster.
Why are the big tax companies offering this deal? They’re trying to get you to
upgrade to one of their deluxe products, which offer things like tax planning
advice, the ability to import data from software you used last year, etc.
Also, state tax programs are not included in this deal. So the companies
probably figure that if you use their free federal program you’ll end up buying
their state one.
Remember: You must go through the IRS official web site in order to get this
deal. If you go to the tax companies’ sites, you will not get this offer. In
fact, some of these companies not only charge you to do your return online, but
then they’ll also hit you with a fee once you try to file electronically. So
you’ll pay twice if you don’t go through the IRS web site.
Happy tax preparing!
About the Author:
Stephanie Gallagher reveals her closely-guarded shopping secrets in her ezine,
The Shopping Mom’s Weekly Tip. Get the eCookbooks Recipe Sampler Cookbook as a
special gift when you subscribe. Send a blank email to: theshoppingmom@aweber.com |
