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Tax Filing Online
Tax Preparation and Filing Online - It's All About Comfort
The main reason I began to use tax preparation software a number of years ago was "comfort" - I still did my own taxes but wanted to be sure I wasn't missing out on any potential deductions or savings. Using electronic tax Obviously many people are becoming more comfortable as electronic tax preparation and filing has been growing rapidly. Both the number of people "e-filing" and the services available (sometimes for free) to file your taxes In this report I will explore some of the basic advantages to filing online, the leading software packages and internet filing systems available, some ratings/rankings and more links should you wish to get more information.
Benefits * Fast Refunds - Most refunds are issued within days of * Direct Electronic Deposit or Payment - Electronic deposit * Acknowledgment of Returns- Receipt of returns are * Fewer errors - Electronically filed tax returns are received virtually error-free, and this is welcome news considering all of the complex changes from year to year. (Statistics (US) show 12% of all paper returns have some sort of error.) You also have to consider that when you send a "paper" return, your information also has to be keyed in by the government which increases the chance for error through a "key-in" mistake.
* Easy to use - tax software and web sites let you prepare and file electronically are getting better and easier to use all the time. They "hold your hand" through the process, giving you "alerts" that can guide you through the process and let you take advantage of any new changes that may help you.
* Convenience- The federal/State Program is a "one stop shop" tax filing. E-file allows taxpayers to file both their federal and state tax returns in one transmission.
How To: United States of America When it is time to pay your Federal taxes they can now be paid through a new Electronic Federal Tax Payment System web site. www.officialpayments.com
Visit the IRS web site http://www.irs.gov for helpful information on e-filing. The IRS also allows you to search for the official e-file preparer near you by zip code.
Packages Available: Intuit's TurboTax http://www.turbotax.com Once you have prepared your return, you can either print it out and send it in by mail, or you can send it online to the IRS. Most state returns can also be submitted online although some have not put in place the technology to TurboTax is available at the Yahoo tax center http://taxes.yahoo.com where a wealth of tax information lets you obtain relevant tax forms as well as prepare and file tax returns online. The Tax Center site combines content, calculators, forms, preparation and filing services. The site says "Try it for free and pay only when you print or file." A federal return costs $29,95; state returns are $12.95. TurboTax for the Web asks you to answer a series of easy-to-understand questions and then automatically completes required IRS tax forms and double checks for errors and missed deductions.
Comparisons For analysis of the best tax software available, here are links to two excellent articles prepared on the subject.
One by ZDNet says the ZDNet Reviews pick is H&R Block's TaxCut Deluxe 2001, which snagged the Editors' Choice award. The other article is by MSNMoney:
http://www.zdnet.com/anchordesk/stories/story/0,10738,2841716,00.html
http://moneycentral.msn.com/articles/tax/basics/8806.asp
If you are interested in more comparison shopping, http://www.epinions.com also provides ratings of tax preparation systems by individuals.
And another good article comparing tax software packages can be found at http://www.usatoday.com/money/perfi/taxes/2002/02-22-tax-prep-software.htm
CANADA EFILE is an automated system that lets registered electronic filing service providers send individual income tax return information electronically. Using software and a computer, individuals can prepare and save their return on Netfile http://www.netfile.gc.ca lets Canadians file their personal income tax and benefit return directly using the Internet. Income tax returns must be prepared using software that has been certified for NETFILE use.
From the "former About Guides", here is a listing of tax software available for Canadianshttp://www.formeraboutguides.com/investingcanada/taxsoftware.htm
Ensure prior to using these products that you see a confirmation on their site that they have received official certification from the Canada Customs and Revenue Agency (CCRA).
For a list of currently certified software, visit CCRA at http://www.ccra-adrc.gc.ca/eservices/tax/business/efile/menu-e.html#efilesoftware They do note that additional providers will be added to this list as they are approved.
Two of the major players in Canada are QuickTax www.quickenstore.ca and Taxwiz http://www.taxwiz.ca
Here is a link to an excellent Globe and Mail article detailing the cost comparisons between these two dominant tax software competitors in Canada. http://www.globeinvestor.com/servlet/WireFeedRedirect?cf=GlobeInvestor/taxzone/taxzone_config&date=20020117&archive=taxzone&slug=RCARI
SITE PICKS
Tax Assistance from EY Use the pull down menu at http://www.ey.com to choose your country or visit some of the links I've chosen from this site below.
Canada - Tax Calculators US Tax Planning Tips http://www.taxplanet.com - TaxPlanet.com bills itself as "All Things Tax for Individuals" and can claim numerous awards including Forbes Best of the Web, Yahoo Internet Life: 100 Best Sites for 2002 (Best Tax Advice) and Money Magazine "Best Tax Site". Tips, tools, new legislation, tax news and guides - it has something for everyone.
And finally, here is an excellent article from USA Today with a comparative price chart for tax software. http://www.usatoday.com/money/perfi/taxes/2002/02-15-efiling.htm
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Jim Slobodzian, BComm (Hon) publishes the Enroute.ca Copyright (c) 2002 Enroute.ca
© COPYRIGHT 2002 ALL RIGHTS RESERVED FORYOURINFORMATION.INFO
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