Anyone want to comment on how beneficial a TurboTax-type software has been?Although...I am not sure how much I can take in deductions this year. No house (yet) and just married this past year. The only deduction I am aware I can take is the interest on student loans.So I guess what I am asking is: if I am newly married without a house, is there enough tax deductions out there to make it worthwhile for me to buy turbo tax, or would I (we) still be better off with the standard deduction for another year?1040EZ till this year so a bit tax-ignorant..Joe
Gooner22 Date: 1/13/99 11:17 AM Number: 8337 is there enough tax deductions out there to make it worthwhile for me to buy turbo taxI use TurboTax because it supports my sloppy organization. When I discover one more piece of paper in the shoebox that changes the number on the form that changes the number on a form that changes the number ... I just put it in now and let TurboTax recalculate it. Before automation, I delayed getting started trying to organize all the pieces beforehand, and when they inevitably still showed up, there was always a debate about the consequences of ignoring this new item.TurboTax isn't going to invent deductions for you. Look at a 1040 long form, perhaps review a tax guide such as Lassers or other. The cost isn't high, but if the benefit isn't there for you, don't bother.
I use TurboTax because it supports my sloppy organization. When I discover one more piece of paper in the shoebox that changes the number on the form that changes the number on a form that changes the number ... I just put it in now and let TurboTax recalculate it. Before automation, I delayed getting started trying to organize all the pieces beforehand, and when they inevitably still showed up, there was always a debate about the consequences of ignoring this new item.AMEN to that.The price of TurboTax and TaxCut is so low now (go to your closest Staples and check them out) that it's worth it for even marginal convenience. Fill out the 1040 twice and your time is paid for.Depending on what state you live in, whether or not there is a state income tax form, you'll find that the tax software now will complete that for you based on your entries for the Federal. In my experience, the Federal forms and instructions are easy compared to the state (whoever wrote Connecticut's instructions had to be writing for the sheer joy of tormenting the state's taxpayers). There's usually a small additional price, but it's well worth it.Finally, if you are so inclined, you can offer to help family members fill in their tax returns (and maybe split the already low price with them). You're too young and early in your marriage at this point to do it for your children (as I do), but maybe your parents, siblings, cousins....mathetes
Tax software helps walk you through the form, and Turbo/Macin Taxes interview might help you find breaks you wouldn't other wise have know about.I've used Turbo & MacInTax for several years. Last year Schedule D (Gains & losses from stock sales with different holding periods) was a breeze because of the software.Also, I like it because I don't have to do it all at once. I can do an hour or two a night for a week, and the system picks up right where I left off. I don't have to figure out where I am. And I don't have to spread paperwork out all over the room. I usually just do one section at a time.Good LuckFunDad
[[So I guess what I am asking is: if I am newly married without a house, is there enough tax deductions out there to make it worthwhile for me to buy turbo tax, or would I (we) still be better off with the standard deduction for another year?]]But TT may do more than just complete your Sch A (itemized deductions). It'll make sure that your return adds and subtracts correctly. It'll make sure that you take the right tax from the tax table. It may also help you through the entire tax preparation process. It'll also allow you to e-file directly. So there are other benefits that you might find OTHER than just the Sch A itemized deductions.If you do your own tax return, I really suggest the assistance of a tax program such as Turbo Tax, Tax Cut, etc. Doing many of the computations by hand can get really ugly.Just my $.02TMF TaxesRoyWant to learn more about taxes and investing? Then we have a deal for you!! The Motley Fool Investment Tax Guide is now available through Fool Mart. Be the first one on your block to own this masterpiece. It'll help you with your 1998 taxes, and it's never to early to start planning for your 1999 taxes. So just click on this link (http://www.foolmart.com/market/product.asp?pfid=MF+013+I) to read more about this amazing collection of tax information. (Apologies for the shameless plug…but it is a pretty good book…if I do say so myself). In addition, if you would like to visit the Taxes FAQ (Frequently Asked Questions) area, click on http://www.fool.com/school/taxes/taxes.htm and you'll be right at the home page. Pay special attention to the "archives" section. Check it out. Finally, if you need to get to the IRS web site, click on http://www.irs.ustreas.gov to go directly there.
I'll agree with THFTaxes. Plus I bought Turbotax for $14.99 with a $5 rebate. Now that is a bargain. I used electronic filing last year and had my refund automatically put in my checking account within 10 days.GP
I'll agree with THFTaxes. TurboTax, or a similiar product, will force you to look into various tax subjects and/or deductions which will over time pay off for any Fool! I have used TurboTax for 4 years and it does indeed force one to get organized - in addition to doing all the math correctly, several time over.Good luck, Dick
While I agree that TurboTax and other tax software is very helpful if you want to prepare relatively simple returns yourself--especially if you want to avoid calculation or data transfer errors--there comes a time when your tax return may become complicated enough that it's wise to seek a professional tax preparer. Just as an automobile can get you into a lot of trouble if you don't know how to drive it, tax return software can lead to disaster (albeit correctly calculated disaster) if you don't apply all of the tax laws correctly.On more than one occasion, I have sat in an IRS auditor's office and heard the auditor comment that they always scrutinize Turbotax-prepared returns not signed by a tax preparer because they figure the taxpayer is either hiding something or doesn't know what he's doing--both extremely fruitful situations for IRS auditors to go on fishing trips.Tax Attorney
<< Anyone want to comment on how beneficial a TurboTax-type software has been? >>Anyone else want to comment on TurboTax vs. TaxCut or something similar? Which do you find easier to use, etc.?bock
Best Of |
Favorites & Replies |
Start a New Board |
My Fool |