My Financial Tips

As tax season approaches, many people will be looking for tax software insead of an accountant. Tax Act Online is my personal favorite for online tax software. They give you a free federal tax return and only charge you $13.95 to do your state tax return if you need to do that. They will also e-file your return for free so it gets to the IRS immediately and you don’t have to worry about the post office losing your return.
* Another good online tax service is Tax Brain. You set up your profile and answer some questions. The software prompts you to enter the right information, completes the forms, then recommends which option is best for you. You can also do your state tax return with Tax Brains online tax software.
* H&R block also offers a free online tax software option. They have 50 years tax experience and offer customers a great option for online tax preparation. They are the makers of the well established Tax Cut software. As with many programs today, they also offer free e-filing.
* Turbo Tax may be the most recognized name in home based and online tax software. They have joined the group offering free, basic online tax returns. They also have upgrade offers for more complex tax returns that could get you larger tax returns. Their state income tax filing can be added for around $30 (a little higher or lower depending on which option you choose).

If you are looking to maximize your tax return, you should consider starting a home based business. I started a business for under $400 as an Ambit Energy marketing consultant and that has opened up thousands of dollars a year of tax write-offs. On top of that I am making some money. You should be able to find many businesses that cost less than $500 to start and are worth many times that to you in increased tax returns even if you don’t make a penny from the business.

You are not getting tax advice with online tax software packages so keep it simple. If you are going to be claiming exotic deductions or write off business expenses, you really should get help from a professional. These programs are great if you are just going to use the standards deductions like mortgage interest, student loan interest, etc.