IRS Tax Tips

Choosing between tax software, tax preparation service and filing online

Would you like to know more about filing taxes online? Most people dont like doing their taxes and that is where tax software and tax preparation services come into their own. If you have very complicated tax returns, using a tax preparation service is the ideal way to get your taxes done; otherwise, buying software or filing your taxes directly online is the way to go.

It is worth deciding if you really do need a tax preparation service or if you could benefit just as much from a software program. Tax preparation specialists can be expensive to use if you have a fairly basic tax return with no special circumstances. Software can give you all the help you need in this case for a lot less money.

There are many different brands of tax software available. A good software program will make preparing all of the forms easier and will save you a lot of money instead of hiring the services of a tax preparation specialist. If your taxes are fairly basic, doing taxes electronically with software is an obvious choice as you will save time and money.

The first step in finding the best software to use is to check the customer reviews on websites to narrow down your choices. It is important to compare the features and the prices of the software as the most expensive ones do not necessarily have all of the options that you may want or need.

Often, it is ideal to buy the deluxe version of the tax software in order to be able to file both federal and state tax forms. The added benefit of this is that these will include many additional features such as tax advice, IRS publications and other information along with accurate form preparation.

Tax Software Requirements - It is essential that you ensure your computer meets the minimum system requirements of any software program that you download or buy. It is also worth investing in a printer so that you can make a hard copy of the forms that you file, even if you file them electronically over the internet. Also make sure that you use the current version of any tax software program as it changes every year along with tax laws.

Remember that you might even be able to deduct the cost of your software from your federal income taxes so it is worth spending a little more to ensure that you have the best. You may not necessarily need to buy a specialized software program as there are services available on the internet that allow you to prepare and file your return directly from the website.

In conclusion, choosing between tax preparation service and software is relative to the complexity of your taxes. When you decide to complete your taxes using software, be sure to check out the customer reviews, decide on the proper package, find the most comprehensive package for least amount of money, be sure you have a printer and remember you can file directly online.

When word gets around about your command of software facts, others will turn to you for expert advice!!

At TaxACT, our products are developed with 5 key elements in mind:

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Upcoming Tax Dates

May 2 — Social security, Medicare, and withheld income tax
File Form 941 for the first quarter of 2016. Deposit or pay any undeposited tax under the accuracy of deposit rules. If your tax liability is less than $2,500, you can pay it in full with a timely filed return. If you deposited the tax for the quarter timely, properly, and in full, you have until May 10 to file the return.

May 2 — Federal unemployment tax.
Deposit the tax owed through March if more than $500.

May 2 — Form 720 taxes
File Form 720 for the first quarter of 2016.

May 2 — Wagering tax
File Form 730 and pay the tax on wagers accepted during March.

May 2 — Heavy highway vehicle use tax
File Form 2290 and pay the tax for vehicles first used in March.

May 10 — Employees who work for tips
If you received $20 or more in tips during April, report them to your employer - Details

May 10 — Social security, Medicare, and withheld income tax
File Form 941 for the first quarter of 2016. This due date applies only if you deposited the tax for the quarter timely, properly, and in full.

May 11 — Communications and air transportation taxes under the alternative method
Deposit the tax included in amounts billed or tickets sold during the first 15 days of April.

May 13 — Regular method taxes
Deposit the tax for the last 15 days of April.

May 16 — Social security, Medicare, and withheld income tax
If the monthly deposit rule applies, deposit the tax for payments in April.

May 16 — Nonpayroll withholding
If the monthly deposit rule applies, deposit the tax for payments in April.

May 25 — Communications and air transportation taxes under the alternative method
Deposit the tax included in amounts billed or tickets sold during the last 15 days of April.

May 27 — Regular method taxes
Deposit the tax for the first 15 days of May.

May 31 — Wagering tax
File Form 730 and pay the tax on wagers accepted during April.

may 31 — Heavy highway vehicle use tax
File Form 2290 and pay the tax for vehicles first used in April.

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