It is, unfortunately, that time of year again. If you’re thinking about buying tax software from TurboTax or H&R Block, or using their free online deduction tools, the New York Times and Consumer Reports have done the legwork in comparing the two.
The Times considers TurboTax and H&R Block at Home as ease of mind purchases for those with taxes that aren’t quite corporate enough to warrant a full-fledged accountant, but not so simple as to require just a few checkboxes. Neither software, however, is a perfect solution:
Before you buy a tax-preparation program, understand that it won’t be a panacea. You still have to keep good records – they matter mightily if you’re audited – and, in complicated situations, you may need to research tax laws yourself. The software can’t tell you whether tuition for your Spanish class is deductible, only that job-related educational expenses might be. What’s more, it won’t ease the headache you may get by trying to find answers on the I.R.S. Web site. The agency provides reams of guidance, but the rules can be murky for people who muck about with them only occasionally – even pros.
Meanwhile, for those with a good number of charitable and other deductions, Consumer Reports tackles the pros and cons of each software provider’s free online offerings to help you value and deduct the proper amount for donated goods and resources.
Read the full article: LifeHacker