Advantages of Using Tax Software
I’ve been using tax preparation software ever since I started working and I am amazed anyone ever did their taxes by hand with a pen and calculator. The amount of time lost to tax preparation, and the number of mistakes, must be amazing. It’s no wonder people sometimes forget to sign their tax returns… if you’ve spent a marathon session filling out your taxes, you just want to be done!
Fortunately I never had to go through that experience. There are so many advantages to using tax software that I couldn’t possibly name them all. I will, however, name the three biggest reasons why I’ve never been tempted to do my taxes by hand.
With Tax Software No Need to Know the Tax Code
The number one reason why I think tax software is incredible is you don’t have to know the tax code. The software does it for you by asking you simple questions that you can answer. TurboTax walks you through the appropriate questions related to your tax situation and makes sure you don’t miss tax deductions or credits that you’re eligible for.
Tax Software Can Be Updated
This is especially valuable this year because of the fiscal cliff resolution that was passed earlier in the year. If you paper file, your printed forms may be outdated and while the IRS will still accept it, it might be confusing if you review them later on in the year or, should you need to, years in the future. Tax software like TurboTax is updated with the latest tax laws.
Tax Software Can Collect Tax Information
My favorite feature in tax preparation software is the ability to pull in tax data from outside sources like payroll processors. Instead of having to type in all the data from your W-2, you can download it from a processor like ADP and save yourself time and headache, in case you enter in the wrong numbers.
Software, especially tax software, has really simplified our lives and reduced the potential headaches. If you have been doing them by hand, consider software.
TurboTax is up to date with all tax law changes, so you can file today and feel confident that your will get every tax deduction and credit you deserve. And remember, if you have any questions, only TurboTax lets you talk to CPAs, enrolled agents and tax attorneys as often as you like while you prepare your return, free.