A quick search of the rules seems to indicate that in order to e-file your taxes or e-file for an extension, you have to do it through a for profit tax service. If I am right WTF!
There may be a way to file direct with the IRS if you only file 1040-A, but for a regular 1040 I'm pretty sure you have to go through a commercial service. I use TurboTax Home and Business, which includes "free" e-file for my federal returns. I print and mail my CA return to avoid the e-file charge.
I've never used e-file, but I presume that it is "free" if your income is under a certain amount (which leaves me out).
I do regularly file for extensions, and if you download the form from the IRS site and mail it in yourself, all it costs is the stamp.
Yea Tim, I guess that is what I will do. It just pisses me off that you can't file directly on the internet as an individual. I will probable also take Jim's advice and try Turbo Tax. I am just tired of paying third parties for what I should be able to do myself. Last year I had to pay 1,200 to an accountant which is hardly worth it.
I use H&R Blocks software. It used to be called "Tax Cut", but I think it's just called "H&R Block 2011" this year. It's probably a lot like Turbo Tax. It asks you about 100 questions, finds deductions and credits for you, then you can efile at no additional cost. Seems like it was $30, or something. For me, it's worth it because it saves a lot time looking up tables and triple checking my math. Plus, it remembers all your information year over year so it gets quicker the more you use it, and reminds you if you forgot something that you included last year.
> Last year I had to pay 1,200 to an accountant which is hardly worth it.
OUCH! $1200 for a simple filing is definitely high.
But if you're running your own company, and you don't qualify for the "free" filings from places like TurboTax because you make too much money to file a 1040EZ or something like that (a very easy threshold to cross, if you own your own company), then finding a good accountant can be well worth it. Especially since our current tax code is SO FULL of caveats that can save you TONS of money, if you can afford to hire the right person to guide you through it all.
The current tax code is setup so that the more you make, the more offsets you can get, IF you know enough to claim them. The IRS will NEVER tell you that you are eligible for offsets that you don't claim yourself. And the only way most of us can identify the possible offsets is to hire a CPA who can tell us this stuff. Otherwise, you have to devote too much time to becoming a CPA yourself in order to even figure it out. Our tax code has become very insane.
:good: on TurboTax Home and Business.
Used it last three years and the week long journey by hand has been whittled down to two days going thru receipts and a few hours entering into the program.
It prints out everything including all the forms for the helpers and I don't have to figure out where any of it goes.
I could use the e-file, still like using the mail.
Sinc, Yes, that is high. I have a few businesses and they all have computerized bookkeeping. I think I have fallen into the rut of using the same CPA for the last two decades and my business is taken for granted. I am determined to do everything myself this time. The usual problem that I find in this situation is figuring out what assumptions and methods were used by the CPA.
There is no doubt about it, he keeps some of that stuff to himself for job protection. 🙂
> I've never used e-file, but I presume that it is "free" if your income is under a certain amount (which leaves me out).
>
> I do regularly file for extensions, and if you download the form from the IRS site and mail it in yourself, all it costs is the stamp.
I went back to pen, paper and a calculator. Couldn't figure out how to make those PDF forms readable with grey, too small text (yes, I need glasses)
Depending on how complex "a few businesses" are, $300-400 per company return is not bad.
> Sinc, Yes, that is high. I have a few businesses and they all have computerized bookkeeping. I think I have fallen into the rut of using the same CPA for the last two decades and my business is taken for granted. I am determined to do everything myself this time. The usual problem that I find in this situation is figuring out what assumptions and methods were used by the CPA.
>
> There is no doubt about it, he keeps some of that stuff to himself for job protection. 🙂
