I have been using tax prep software since 1993 and TurboTax since 1997. I am currently evaluating different programs and TT is not looking so good.

Mmmmmm, apparently crow tastes pretty good as long as it's accompanied with a nice side of BS.

A number of factors, including your feedback, have prompted us to now enable TurboTax customers to prepare and print multiple returns at no additional cost. Plus, as we've previously communicated, free e-filing is included with every federal return. These changes will be reflected in a TurboTax One-click Update scheduled for release around December 20. As you may know, the IRS limits the number of e-filed returns to five.

We believe these changes make TurboTax the best value for consumers. Including free e-filing with every federal return means a savings of nearly $75 for some of our customers versus last year and a savings of up to $40 compared to our original pricing this year. I believe this now truly reflects our commitment to helping our customers keep more money in their pockets.

We have over 17 million loyal, passionate customers who genuinely care about what we do and who take the time to tell us. Our decision recognizes that your opinions really do count.

Let the tax season begin.

Bob Meighan
VP, TurboTax

but understand that there were people setting up tax prep businesses around a single copy of turbotax - i know people that were doing this. is that a fair use of the product? i don't think so. will this stop them? probably not, b/c you can still print unlimited prep docs (which are most likely just the filing forms with a big VOID on them). it just means they'll have to sit in front of a typewriter or augment the software with fill-in forms.

so while i personally think you're mom's use is perfectly acceptable, i can understand from a business standpoint why intuit would try to limit filing for multiple users.

After years of doing taxes myself for my family, last year, when we bought a house, I bought Turbotax. I had a coupon from Costco, so it only ended up costing about $15 or $20. I didn't want to pay for the efiling (I don't understand why something like that would even be charged a fee, isn't it so much easier to file over the internet and have the information automatically go into the computer rather than mail it in and have someone imput the information into the computer), so I just printed it out and mailed it. Didn't use it for state taxes because in PA, you can just phone in your tax return for free (unless you are covered by one of the very few exceptions).

I did like using Turbo tax, it was nice to have it add everything up, calculate it all, etc., instead of doing it myself. I was looking forward to doing it again this year. Guess I'll wait to see if Costco has another coupon.

I hope this information helps.

Put yourself in the shoes of any person who's commented here or on Amazon and ask yourself seriously: how does that "help"?

Whatever happened to the good old "send them all your documents and let the IRS sort it out for you" routine? A friend of mine (here in Canada) has been doing that for the last few years and a couple of times they actually found and gave him write-offs that increased his return that he otherwise (and likely TurboTax) would not have suggested.

@Mike8813:
As of last year, Tax Cut is offered for free to Military. I know Turbo Tax was previously, but it changed in the last few years.

Whatever sevice is offered, they will be listed at Military OneSource.

I really do like the online version. I am able to access my previous years returns anywhere there is an internet connection.

@mac-phisto: That's where I disagree. Would it be beyond fair use to have my friend come use microsoft office to write up their term paper and create their powerpoint presentation? how about if they want to come use my photoshop to edit a few pictures? while I now know what the turbotax license says, it still makes no sense in my mind if you are printing out the end product. either way, I've warned her already and she's considering buying taxcut instead.

@TheSpatulaOfLove:

Before we got married, my wife sent her taxes to an accountant, and I used TaxCut. For the first year we filed jointly, we decided to try it, so we sent them to the accountant and I did them with TaxCut, as an experiment. Total difference in calculated liability: $6.

now, i would certainly consider your mom's use among family members "fair use", but when you start sharing the software's benefits among friends, co-workers, & others, you're starting to stretch the bounds of fair, don't you think?

don't get me wrong, intuit sucks & this is a crappy move, but i can certainly understand it.

it would cost me another $14 if i also filed state thru them, but CT income tax is free & easy to e-file thru the ct.gov website.

take that turbotax!

E-filing? Several people in this thread, myself included, already said we don't use that.

Technical support? How about actually charging for people who use tech support? Nobody in my family has ever used it.

Federal AND state returns? I can't think of a mainstream tax software programme that doesn't do both.

Archiving? I've already paid for my own hard drive, thank you. I don't need my personal data stored by a third party.

Services and infrastructure? Well...

Like everything else, this has nothing to do with additional users. If the MSRP of your software alone is not supporting the infrastructure of your company or not allowing you to turn a profit because of the cost of supporting the product (or whatever today's excuse is), that's not a consumer problem.

We are talking about software that performs a task. Simple. If optional add-on tasks like e-filing and online archives end up costing your company more money, you should charge the people using them, or just average out the cost and include it in the MSRP. It's not that hard.

And they did.

@OwenIullus: $60? That's unbelievable. Do you just take the standard deduction? I'm going to start going to my parent's CPA, she charges about $150 and covers everything. We paid $125 at H&R block last year. I'd rather have a good CPA do it and pay the extra 25.

I used TaxAct last year, and will be using it again this year. No TurboTax, and definitely no H&R Block for me, thanks.

@johnva: Well said. I never intended to question Intuit's security measures (indeed, the gov't already did that with SOX). I'm just stating that sending data over the internet carries inherient risks that can be mitigated, but never entirely blocked. So I, personally, have no concerns about using TurboTax and having my data be compromised in transit or at reception (and yes, the most likly point of interception is the local machine).

In general though, a machine that has never been connected to a public network will be more secure than one that has. That was all.

Today CNET posted a very detailed and thorough review of TurboTax and TaxCut desktop and online pricing. The author writes:

"But bargain shoppers should not leap to the conclusion that TaxCut is the less expensive option of the two. After scrutinizing the tax-prep prices, we've reached a more complicated verdict. TaxCut's sticker prices are cheaper all around. However, once you add fees for state returns, TurboTax online looks like the winner in terms of affordability, as it's slightly less expensive for the majority of users, who file only for themselves. TaxCut for the desktop, on the other hand, is cheaper than most editions of the desktop TurboTax."

The author notes that state filing requirements may provide more of an advantage to TurboTax desktop customers. Visit [news.cnet.com]

I hope this information helps.

Bob Meighan
VP, TurboTax

Bob Meighan
VP, TurboTax

Bob Meighan
VP, TurboTax

Bob Meighan
VP, TurboTax

We believe that TurboTax remains a great deal, and as always, satisfaction is guaranteed. But if for any reason you don't believe you're getting your money's worth, we will refund the $9.95 fee(s) without question. Right now we're in the process of creating an automated, online process to make this quick and easy for any customer for whatever reason. This satisfaction guarantee is nothing new, but we want every customer to know that they can purchase TurboTax with confidence.

Bob Meighan
VP, TurboTax

[slashdot.org]

Seriously. What more needs to be said? Intuit is the worst corporation in the world, if you don't include Sony. If you think anyone else is worse, think for a moment: They only stole your money. They didn't walk up to your car, spray graffiti on it, and steal the engine which is the bar car analogy equivalent of trashing the boot sector.

The bigger threats to the security of your data are either a) the company's servers being compromised, or b) your own computer being compromised via spyware, malware, etc. The malware threat is actually probably a higher risk than the risk of Intuit, etc's servers being breached and your information stolen that way. And if your machine has malware, your data is not going to be secure regardless of whether you use the online or desktop versions. I would worry about that much more than I would worry about someone intercepting your data in transit on the Internet.

@Applekid: wait a minute, you can writeoff hookers and blow?

Seriously, though, I love my pen and paper and TI-84Plus.

@ultimatecardsfan: Having to write the code that allows you to do so without them being ripped off. Normally that'd just be the cost of doing business, but it is Ticketmaster.

@johnva: Steps can be taken to mitigate these risks, but methods requiring transportation (even electronic) over non-secure lines increases your risk profile with each leg of the process. Since "online" almost always refers to the internet, which communicates over un0secured lines, it isn't an assumption that online has more risks than offline. It is a simple fact.

Don't get me wrong here, I'm not advocating any sort of digital agoraphobia. I'm just stating people should be aware that the lines they communicate across are not secure. It is absolutly possible however to make what is being communicated secure. Just be aware.

I definitely have to call "Bullshit." I've used Turbo Tax for the last 7 years. Before getting married, I did my wife's taxes with the software too. I never e-filed because FUCK YOU Intuit! That "e-file charge" is my goddamn money! I'll just spend the price of 1st Class postage thank you very much. I can wait an extra couple of weeks for my return.

@concordia: I've been using www.taxslayer.com for 4-5 years now, haven't looked back, doesn't cost me more than $10-20 a year. Who the hell would pay that much money to prepare a simple tax return? NOT ME, that's who.

As far as backup, you should always save the completed return as a PDF and print a paper copy. If it's in a format not controlled by the software, like PDF, then they can't prevent you from accessing it in the future.

I got a brand new, free copy in the mail. :) And I've never used it. NO, it isn't a trial copy and there are no strings attached.

"If for ANY reason our customers aren't satisfied with having to pay the additional fee, we will refund the fee(s)."

So I can buy it, file multiple returns, bitch about the fees, and get them refunded? SWEET.

I switched to TaxCut the year (2003?) TurboTax had some kind of copy protection that remained on your PC even after uninstalling. I've never found the need to go back.

For some reason, Intuit is hell bent on getting their foot in the door of your PC. I stopped using Quicken for the times when it would pop up trying to get me to open up an account with their bank or some other service. I PAID for the damn software, now let me alone!

PS: I used to prepare tax returns.

If your tax situation has even a slightest complexity, (itemizing, mortgage, interstate issues) then don't waste your time fighting with these bits of tax prep software. Just go to an accountant or tax preparer and for a reasonable fee they will quickly and effectively save you more money than their fee or than any simple form filling software ever could.

The actual real market for these bits of software is tiny. But it is fuelled by hype and FUD.

@ilves: I've only ever used TurboTax online, rather than the full version. But on the online one, it's very simple if you move. When you enter your income, it just asks if you have any income from other states. And then it asks a few questions about your residency in the other states.

Again, I don't know if that's different than the full version though. I imagine that the full one is much, much more complex...

@rockstarjoe: I hate to be "that guy", but a few credit unions that I know offer the same deal. I think it is something like free federal file only, but you still have to pay for state or something like that.

If there are any Pennsylvania state employees on here, PSECU does it. Well, they've done it for 2006 and 2007. I assume they will do it again for 2008.

This is Paula from H&R Block. I've noticed that many of you have commented about trying TaxCut. I wanted to make sure that you had all the information that you need.

First, we did not raise prices on TaxCut software. We did not feel that raising prices in this economy was the right thing to do for consumers. Additionally, we have maintained the ability to file multiple personal federal returns. In fact, we have added 5 free e-files and do not charge any additional fees to print multiple returns. We don't think that consumers should have to decide between printing and e-filing their additional returns because of cost. (5 e-files is the IRS limit to prevent fraud)

TaxCut does import from TurboTax software, Quicken and Money to save time on preparing your federal return. TaxCut Premium includes a tax advice session with an H&R Block tax professional and every return that is e-filed receives our Worry-Free Audit Support at no additional charge (comparable to other's audit defense products for $34.95).

I'm happy to answer any other questions about TaxCut. You can also view a comparison chart at http://digits.hrblock.com/topicsofinterest/efile/truecost.php

Best regards
Paula from H&R Block

TaxAct is the way to go if you do it yourself. It is only $15 for a federal return.

@Rider: Well I am trying to find out what version she buys. I am looking at the turbotax website and there are at least 5 different versions. you would ASSUME that there would be at least 1 version that allows you to file a few returns for free. it really makes no sense that my mom does 4 tax returns (parents and 3 kids) and get charged extra.

i'm racking my brain to find 1 similar program that generates a report/document but charges extra to generate a new report/document. Adobe acrobat, photoshop, dreamwever, Microsoft word, excel. do those boxed Will makers or lease makers only let you create only one? I wouldn't think so.

Programs like turbo tax are nice when your returns aren't complicated, when you have complicated stuff stuff to file (like myself last year when i moved states halfway through the year and had no idea how to do that on turbotax) its much nicer to go to a person.

@Rider: I imagine you were trying to @bravo369. If so, they never said their mom stole the software. Only that she used it to fill out more than one person's tax return. This is like using Outlook to recieve email from more than one source, or being able to send an email to more than one reciepient. The closest metaphore I can come up with is that Intuit is trying to turn TurboTax into Pay-Per-Tax with a heafty install fee. It isn't that she was stealing it before, it's just that now she will have to pay more with no increase in usability or functionality.

Last year State Farm Insurance offered a free deal for their customers, with the web based TurboTax. I hope they do it again this year!

@The Name's Ash78, Housewares: Data ownership and backup fears are almost never irrational.

If Mint.com offered tax prep (like TurboTax Online), that would be so sweet. All my investment accounts are already linked in there. My mortgage is on there. All my student loans are on there. They need to jump into that mix.

@blackmage439: You can only free file with the IRS if your income is less than $54,000 (or you meet some other criteria). Above that, wouldn't you have to buy the software if you wanted to e-file your fed return?

4. Because it is fast and easy. Time is money.

5. It prints out clean file copies & also a convenient pdf file.

It's getting out of hand, I'm spending more on tax software than I'm getting back these days. I might as go back to the old Tele file which is still free I believe. Unless turbo tax's board has lobbied washington to get rid of that.

@bravo369: I also might add that since she does taxes all the time, she flies through returns like an expert. For someone simple like me (no house, no big purchases, no big investments), she can do my return in 10-15 minutes. she has all my info from previous years so she just has to import it, update, print and mail. does that really warrant $10 for 10 minutes of work?

@chris_l: I want to know how they can charge for printing also. my mom does all this tax stuff for a living. She uses turbotax at home (away from work) and does the entire family's, friends, among others. so does she now have to relay a cost to everyone? what next? microsoft is going to start charging for every word document i create? nero charges for every cd i burn? it makes absolutely no sense. I can understand a charge for efiling but for using my own printer, paper, stamps and energy to mail it? cmon now...that's just stupid.

That's satisfying.

@m4ximusprim3: Yeah, but then I'd have to tell the local tax preparer about my writeoffs for hookers and blow.

@TheSpatulaOfLove: I wish there was a clear tutorial on how to USE a slide rule... and a place to get one. I want to wow those that shout at me to get off their lawn that, yeah, I too can play with the big boys.

Yeah, for awhile I thought tax software was a great deal, but as my finances became more complex, I found it had diminishing returns. I have a rockstar accountant now and for the money he charges to do my taxes, he always seems to save me tremendously more than if I did things myself. He also discounts his service to us, as we submit our first crack spreadsheet of deductions and expenses, and all our receipts are organized to coincide with the spreadsheet.

Do you use your trusty slide rule for your taxes as well?

When I was a young buck, I got pwned by an old engineer and his slide rule. That was a big cup of STFU I had to swallow...

On a lark I just logged in to check on it. I forgot my password, and even getting that reset was a breeze. Their UI is nice too.

Now if only I could get my W-2s early for once :)

The FreeFile link links to places that will allow you to file for free if you meet certain standards.

(As an aside, this provision was brought to you by Intuit and others, who cried "unfair!" when the federal government wanted to offer free e-filing to all taxpayers. They then proceeded to overcharge customers who thought they were filing for free. You can read the court case brought against them for this practice of deception.)

In the State of Wisconsin I can file my state taxes online for free by going to their website. Many other states have the same provision.

Since I became a homeowner I've had to abandon my free e-filing. I've decided instead to use TaxAct. They were my choice for free e-filing and now I just pay like $8 for doing my own taxes. Like Intuit and H&R block they'll try and fee you here and there for some things but they're not invasive and pretty easy to ignore.

I used that all 4 years while I was in school, and I'm just barely making it this year (I think) because I lost my job while I was in school from March to May or so.

Next year I won't be so lucky! Or... wait... I will be lucky because I will be making too much and have a job? I dunno...

The only thing I can think is that they're charging for extra returns because of piracy, but how exactly do they track how many returns the software has run and how do they bill the additional $9.95? (If you're paper filing, you might be doing so because you're not techie enough for e-filing, so online payment is out.)

Too many unanswered questions...

The reason to buy TurboTax (for me, anyhow) is that it can automatically import all investment transactions from Fidelity.com and calculate all the ridiculous details required on Schedule D. That, alone, is worth the $90 or so it costs to avoid retyping and checking all those dates and values.

Sure they do! When a group of people react off the cuff and are irrational, ratings lie. Seems like in this case, they are only seeing the rate hike and not doing the math and seeing that it's really still not that bad.

I don't use them though, so maybe I'm missing something.

I have to go web based as I am not installing software and I am on Linux. (If I have to mess with WINE to do my taxes, forget it.)

This year I will probably switch to TaxAct.

1. You want to utilize the "deduction manager", if applicable.

2. Your state doesn't offer free e-file.

3. You have some odd bank accounts or whatever that free state/federal/turbo-tax applications can't handle.

Also of note: Turbotax has (or had, not sure if it's still available) a free web-based option for those serving in the military, located deep in the bowels of Intuit's website.

I filed with Turbotax's normal online program the last year I was in the army.(2006) Even though I was checking all the boxes that said "active military", this free option was never presented to me while using their program. Kinda pissed me off, but to their credit they did end up issuing me a refund after I called and whined about it.

Pigs get fat, hogs get slaughtered.

Governments love e-filing because its cheap and efficient, and should be free, except of course for the stupid corporates who lobby against it.

[www.npr.org]

I used to manage the TaxCut database. The stories I could tell....

@YeaYuh: True. I always file on time but pay the Feds on Apr 15. And claim my state refund immediately (usually early Feb).

Long live Turbo Tax! (imo, I just like it better)

I was a Turbotax user for a number of years, until my first cross-country move. I've found Turbotax to be incapable of properly calculating my tax break by miles driven, whereas H&R's Taxcut program handled that aspect very well. There was a difference of ~$60 between the two. It paid for itself that year.

Just something to watch out for.

Try H&R Bloch's software, its comparable on price and utility, plus our local company needs all the help it can get.

@chris_l:

The online places I have e-filed with have allowed you to choose a date to pay the goverment if you owe. So you can still file it in February and pay in April.

Costco has been systematically deleting the negative reviews of TurboTax on their site about this, but they did add info about the fee into the product description.

Even worse, though, is that the TurboTax box says that the $9.95 price is subject to change, so they can jack it up even higher later.

@GuJiaXian: The one big advantage to software is the ability to tweak your numbers to arrive at a desired result.

I'm NOT talking about cheating here, for the record ;)

IRA contributions are a good example, since they can be made in 2009 for the 2008 tax year. Plug in the number, see the result, and decide what you want to do.

Also, I use the software to build Excel models to predict my future tax liabilities. That way, I can tweak things throughout the year to arrive as close to break-even as possible. And since TaxCut feeds my models, I'm only a year behind any changes in tax code--and can make manual changes by reading the IRS website.

Luckily, with Obama's commitment to bringing government services online, there could be some sunshine down the road for e-filing...

I can understand why they charge for e-filing. They have to put up the servers, build the infrastructure to file tens of millions of taxes, etc. But printing doesn't use ANY of that. I spend now $60 in software that basically asks me questions and based on my answers auto-populates a PDF file. There is no additional load put on Intuit whether I file 1 or 1000 tax returns if I print them. My printer, my ink, my paper and a stamp should be the only cost after buying the software to do my taxes.

I never e-File because I'm in no rush to pay the government money faster. It looks like they'll be even more people pirating Turbotax in 09.

TaxCut has always been better, IMHO...but even they have been hiking rates the last few years. But I still think it's a small price to pay (~$85-$100 for software and state/federal e-filing) for the peace of mind and electronic backup copies.

A lot of people have told me that the online version is the way to go, but I have data ownership and backup fears (probably irrational).

You can pull that bullshit only once before I'll never trust you again.

Just go online and use a web-based tool for things like this, people.