Years ago people were stuck with two options concerning their annual tax returns; hire someone to do it for you or find some way of doing it yourself. Tax forms are numerous as they are complex. You also need countless bits of information in order to attempt to complete them. How many children do you have? How much did you make this year? Did you give any money to charities? Most of the time it is simply too difficult to figure out a tax form, and those that tried can only hope they haven’t written the wrong number in the wrong box. Hired help for doing taxes could potentially be costly and frustrating to the average person. Why can’t the IRS just make tax forms more understandable?
Then the age of computers arose, as did numerous types of software, everything from writing a letter to bookkeeping programs were available, and several years ago, the everyday person’s dream came to life. Do it yourself tax software called TurboTax. It provided anyone who bought it the ability to do their own taxes right at their computer.
The setup of the software is fairly simple. As long as you have money to purchase the software, a computer with the necessary requirements (enough space and a operating system that is compatible - and most are), and a little bit of time, you can do your own taxes. The software offers the user numerous options that can be handy when you need them. You can save your progress and come back later to pick up right where you left off, so if you can only spare a little bit of time each day, no trouble. The best part about the software is that it offers you explanations and extra help when you are stuck at a part that doesn’t make sense to you. In most cases, the software is created so each item you fill in is put into a language you can understand. Moreover, it does the math for you. This way you do not have to bother looking for line 1a from question 4 and line 2c from question 7 to add together; the software is calculating items as you go.
Every year the makers of TurboTax update the software to include the right information for each state in regards to necessary questions, new tax laws, regulations, and additional items that have been added. Because of the success of their tax software, they have expanded the different versions available. Now there are different programs depending upon your specific needs. In 2006 they released TurboTax Deluxe for more deductions, Premier for those who have stocks, bonds, mutual funds, rental properties and more, and Home and Business for those who are sole proprietors, contractors, consultants, and other single owners, along with their basic version. Each one has a different function and tailor to the needs of certain groups of people.
Before tax software, people had to send their tax returns directly to the state and government IRS. With the software, you can either print out your returns and send them yourself or you have the extra option of eFiling. eFiling utilizes the email system; you can file your return electronically, saving you time and ink and paper. There may be a small fee to file electronically, but it not only is for the company’s service, but also goes toward security, making sure your tax forms stay confidential and safe from hackers and other electronic threats. It is faster and has virtually no chance of getting lost on the way.











