Tax Guru-Ker$tetter Letter

Friday, April 04, 2003

D-I-Y Tax Prep Software

Again, I am not endorsing the concept of anyone preparing their own tax returns. However, if you are set on doing this, you really should use a computer program. There are far too many things that can be left out or screwed up when doing returns by hand to justify scrimping on the cost of a copy of one of the consumer programs. I would never even consider doing a tax return by hand because of all of the interrelated forms and schedules that make it too easy to leave something crucial out. Here is an updated review of some of the most popular consumer level programs.

One tip for those who do use one of these programs. Make sure you have it print (or hand-write it yourself) "Self Prepared" in the paid preparer's section. I handled an IRS audit a few years ago for a couple where the wife had used TurboTax to prepare their 1040; but had left the paid preparer section blank. IRS suspected it had been prepared by one of the underground preparers that they have been trying to catch. The audit opened a can of worms that took me several months to straighten out with the Auditor and Appeals Officer, costing thousands for my fees.

- posted by Kerry M. Kerstetter, MBA~CPA~ATP~ATA @ 4/04/2003 02:01:00 PM Send this post: