Are you a bargain hunter looking for ways to reduce tax filing costs? FreeTaxUSA is a great choice for you if you are looking for the best tax application products.
However, the tax program is expensive (unlike CreditKarma's completely free tax software). It is easy to use and can be used by anyone, even the most complicated filers.
Although it is not as easy to use as TurboTax or H&R Block, it does offer a great user interface and a great price. It could be the right tool for you.
We discuss why tax filers with complex returns, especially those who are competent, should consider FreeTaxUSA. Find out how FreeTaxUSA compares with the best tax shows of this season.
Who is FreeTaxUSA?
FreeTaxUSA is low-cost software that prepares federal and state tax returns.
TaxHawk, Inc manages the business. It was founded by CPAs and professional developers of applications.
This organization is an original member in good standing of the IRS Free File Alliance and an authorized IRS e-file provider. The IRS has received a large number of federal tax returns from the organization.
Each year, a team of tax analysts updates the applications in order to include the most recent modifications in the federal and state tax codes.
After the application has been updated, it is subject to a precise assessment and is approved by each state and the IRS.
The pricing is also very transparent and there are no hidden fees.
One more benefit to FreeTaxUSA is that there are only two versions: Deluxe and FreeTaxUSA.
They have typically 4, 5, or more versions, which is a departure from many popular tax prep software companies. The greater number of versions and associated fees will be confusing and intimidating for tax filers. FreeTaxUSA does not offer any of these features.
Who runs FreeTaxUSA?
TaxHawk, Inc. owns FreeTaxUSA, an online tax preparation site.
FreeTaxUSA was founded in 2001 by CPAs and software developers. It is today one of the most popular tax websites online.
What is the cost of FreeTaxUSA?
You may be confused when you visit the main page. FreeTaxUSA appears to have three plans: simple, premium, and advanced.
This site does not represent that your tax situation should be complicated, advanced, or simple. However, your federal return shipping will still be free.
It mirrors the services offered by other tax prep websites.
Are you a homeowner? It's free.
Are you self-employed? It's free.
Are you a landlord? Effectively, you can see the picture.
Federal tax returns are available for free regardless of company name
Additional $14.99 for state tax returns
The Deluxe edition will be available for $6.99. This upgrade will allow you to have access to a few bells and whistles like priority customer support and audit assistance.
If you have a complicated tax situation, or if it's your first time online submitting taxes, Deluxe may be worth considering.
How FreeTaxUSA Compares to Other Tax Software?
There are many internet reviews that computer users may leave complaining about FreeTaxUSA being too expensive since it has to pay state returns.
The point is that you will most likely spend less with FreeTaxUSA now than you would with other big-name tax preparation businesses if you have to file multiple tax forms.
TaxAct, TurboTax and TaxSlayer offer plans that include free federal and state return shipping.
If you are eligible to file under their no-cost plans there is no reason to invest in cash with FreeTaxUSA.
TurboTax and TaxAct have more sophisticated user interfaces. This means that you will spend less and have a more enjoyable experience, especially if you are eligible to file for free.
Credit Karma Tax offers free filing of all federal and state returns shipping for most tax situations.
It does not address certain issues that could be a problem for many people, including the disallowance of returns for income earned in a state other than their home state and partial-year state returns.
Is FreeTaxUSA legal?
FreeTaxUSA, an IRS-approved e-file provider, has more than 43 million tax returns filed. Customers can file federal taxes with no fees through their service. You can also try their Deluxe program for $6.99. Tax Act, H R Block, and Turbo Tax owners can import. They have an A+ rating with BBB and a long history of exceptional customer service.
What are the FreeTaxUSA Advantages?
Let me share with you the main benefits of FreeTaxUSA for preparing and filing your income tax returns.
FreeTaxUSA covers complex tax situations
There are many tax preparation software programs available. You will need to buy a top-quality edition to be able to deal with self-employment (Schedule A), rental real property (Schedule B), capital gains transactions, and other K-1 cash flow sources (Schedule D).
FreeTaxUSA is able to help those who have the Deluxe or free editions.
The types that you can access with FreeTaxUSA are not different from the versions of most other main tax program players.
The enhanced version provides more assistance than additional forms. You will likely receive all the tax forms that you need to be submitted from this version.
Get Free Support
Based on my review, I can confirm that FreeTaxUSA provides very limited priority customer support.
You can search for help topics on the Customer support page, or use the customer service email feature.
If you purchase the Deluxe Edition, you can also get cost-free help through phone calls or find the answer to your question in the Q &A database.
Reliability Guaranteed
FreeTaxUSA, like other online tax preparation software programs, guarantees the accuracy of tax calculations.
If they find an error in their software, they will pay interest and penalty.
Inspection Assistance
If you are interested in having an Irs audit administered to your tax return, the Deluxe version of FreeTaxUSA provides Audit Assist.
It also allows you to access the Audit Center, which is a data source that can be useful during the inspection process.
The Audit Assist device has a much more limited scope than the more expensive providers. According to FreeTaxUSA, Audit Assist doesn't cover state returns and it also does not provide a representative that can correspond directly with the IRS.
While you will still need to finish the job, the pros can help you write replies to the Irs and understand which documents you should gather. They will also guide you on what next steps to take.
They grant you access to the FreeTaxUSA Audit Center and connect you with specialists who can answer your questions.
The Audit Center provides information about how to react to Irs notices and how to respond to Irs letters or audits.
Additional tax planning software offers more audit representation but at a much higher price.
If you need to move through an inspection, a representative might be required. If you have a low risk of an assessment, you might need to pay an extra $ 6.99 for this feature. This will give you a lot of peace of mind.
FreeTaxUSA provides what I would call restricted audit protection through their feature, Assisted by Audit.
This assistance is only available if you purchase the Deluxe Edition.
Security
FreeTaxUSA protects your personal data on their website.
They also conduct security and privacy verifications through SecurityMetrics, Norton, and Trust.
Online Backup Account and Rollover
FreeTaxUSA will support your completed returns online, even though it is a free edition.
If you use the application for more than two decades, the cost-free edition will also instantly transfer the information from the previous year to your current tax year.
You might be able to import tax information from another service even if you have not filed with FreeTaxUSA in the past year.
The software program has rolled out a new element this season that allows you to import your tax returns from the previous year as a PDF.
When I was looking at the program for this year, I tried the PDF import option. It was simple to use, and it uploaded my personal information and that of my former employer.
This saves you a lot of time.
Low State Returns
You will have to pay an additional fee to file your state tax returns, as with most tax preparation software programs. This is not uncommon.
Although the cost for filing an express return shipping is quite low with FreeTaxUSA, it's still very affordable. To file your express earnings, you will only need $14.99. This is based on your federal tax return information and any additional information that you provide for the year.
User interface and ease
FreeTaxUSA's user interface is simpler than other programs. The interface is the exact same, but it has tabs for different areas and a tracker for your estimated refund.
FreeTaxUSA won't allow you to bounce in front of the meditation process, unlike other programs.
You'll need to move as away. However, you can still do a previous segment to start additions or modifications when you enter some information in an area.
As you can see, I cannot choose anything other than "Personal" until this area is complete.
It isn't a problem if you plan to file all your taxes at once. You might be like me and choose to keep each type of tax as long as you can.
It would be much more difficult to do it with FreeTaxUSA.
You would be able to cover some of the tax areas that you are responsible for.
Free Tax USA Advantages
FreeTaxUSA does not claim to be all things to everyone. Below is a list of tax situations that FreeTaxUSA does not support. It was taken from their website.
I give the business a lot of recognition for its worth.
Limited Customer Support
This software program comes with a free model. You can email support to get your question answered via the internet discussion forum.
If you purchase the Deluxe version, you can use the webchat support.
To Amend
Although the extra services offered by FreeTaxUSA are not expensive, they do cost more. If you use the Free version, you will have to pay more to correct an error or omission in your tax return.
If you use the Free version, however, you'll need to pay $14.99 for unlimited amendments
However, unlimited revisions are available for claims filed under the Deluxe model.
FreeTaxUSA Pros And Cons
Pros
Cons
FreeTaxUSA: Is it really free?
The software program's title is free. It must be free. So, it must be free. It's not.
Federal Tax Filing with FreeTaxUSA is completely free in every situation
You can apply for an HSA, whether you are an HSA holder, a business owner, or an edge hustler.
FreeTaxUSA is available to anyone who files a personal tax return on behalf of the IRS.
Express submitting is the "gotcha". State filing costs $ 12.95 per state, go back
This is not a very expensive option, but the only people who receive absolutely no-cost filing are those who live in America with zero earnings tax.
Is FreeTaxUSA easy to navigate?
FreeTaxUSA's navigation system is a hybrid of self-guided and guided navigation. FreeTaxUSA is a bit more expensive than some of the other services.
It is important to understand where information can be entered. It also comes with help bubbles throughout the software program.
These bubbles may have additional information that owners can use to help them enter the required information.
FreeTaxUSA, despite its many flaws, is an extremely useful application for the price. FreeTaxUSA has a link to the website "Where do you enter?" on its positive side.
This list contains links and information about how to enter each topic or form that I may have thought of.
Many people will find the credits and deductions section as well as the other sections to be very useful.
FreeTaxUSA's best Navigation attribute is the "Summary" section. This lists all information you have entered in one frame. This will make it easy to see if you've missed any important information. If they forget something, owners can use the navigation bar in the upper portion of the application.
Knowledge Articles
FreeTaxUSA offers related knowledge posts via the best Issues link to the right of the display screen.
You can also search the application to find related articles.
Posts were generally of a good length. Many included links to sections related.
Given the low price of submission through FreeTaxUSA, the library's depth and knowledge articles are extraordinary.
What was the FreeTaxUSA user experience like?
Accordingly, the majority of customers and users were happy with the service. They stated that they use FreeTaxUsa to do their tax returns. It was very easy to use. Customers believe that they received the largest refund they could have gotten compared to other tax preparation companies. The price was extraordinary, they said. It was much, far less expensive than any other company.
Which TurboTax or FreeTaxUSA is Better?
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TurboTax and FreeTaxUSA offer DIY audit assistance. This means that you will be able to get advice on how to respond to the IRS.
However, FreeTaxUSA does not provide its Audit Assist item if you purchase the Deluxe model. TurboTax offers a more powerful version through its third-party service MAX
Is FreeTaxUSA Approved By IRS To File Federal Tax Returns?
FreeTaxUSA is an IRS Free File Alliance member and authorized IRS e-file provider. They have successfully filed large amounts of federal tax returns with the IRS.
FreeTaxUSA: Is it really free?
The Free Edition includes all of the functions that FreeTaxUSA offers and much more. Federal filing is free, but state returns are $12.95 each. This alternative is not completely free but it is still cheaper than other tax software programs. FreeTaxUSA Free supports all major tax forms
What is the average time it takes to get a refund or tax return from FreeTaxUSA?
If you chose direct deposit but your information was incorrect, your refund will be processed within three to four business days. If you sent your tax return by mail rather than filing, your refund will usually be processed within six weeks.
How do I contact FreeTaxUSA?
Email Priority Customer Support
The best method to contact FreeTaxUSA is actually by emailing customer support right at supportfreetaxusa.com.
Who can use FreeTaxUSA?
If you are a U.S. citizen, or a resident immigrant you can use the FreeTaxUSA application for Form 1040. If you are not a resident alien, you must file your return using different software.
FreeTaxUSA Offers Business Taxes
FreeTaxUSA provides support for all forms of tax for businesses plus expenses... This includes absolutely free access to the internet planning tool, no-cost e-filing, and free printing of your taxes if you are eligible.
FreeTaxUSA supports crypto investments
FreeTaxUSA is available to assist computer users who want to invest in crypto, but it doesn't make it easy.
To enter information about trades, owners must use Coinbase or another similar website to search price conversions between USD/cryptocurrency at the time they purchased the item.
This can be cumbersome, especially if you're a crypto trader with a large amount of capital.
TurboTax software allows you to import crypto transactions and can help you find a better value.
Can I Get My Missing Stimulus Check Tax Credit?
You didn't receive a stimulus check for this season or you think you are being underpaid. FreeTaxUSA makes it easy to declare your Recovery Rebate Credit. This retroactively grants filers the money they need in the form of tax credits. It will ask you about your stimulus checks and calculate the correct credit for you during the credit area.
Who should use FreeTaxUSA 2021?
FreeTaxUSA continues to be a bargain hunter's high-tax software solution.
It is not free but it is a great function, especially if you have multiple income sources.
It is not possible to import forms that make it more difficult than H & R Block or TaxSlayer. However, it is much more affordable than the other options.
FAQ FreeTaxUSA
These are some of the most common questions we get about FreeTaxUSA.
Is FreeTaxUSA Legitimate
Yes. Yes! It has been in operation since 2001 and is a popular tax software program planning company.
Is FreeTaxUSA really free?
Federal tax returns are free for all types of filings. They do charge $12.95 to expedite return shipping and have other upsells.
Does FreeTaxUSA offer any support type?
You can get priority assistance for your tax return through their Deluxe strategy. They do not offer any "done for you" services.
Is FreeTaxUSA more effective than TurboTax?
It depends. FreeTaxUSA costs less than TurboTax. However, TurboTax offers free files. It is easy to use and you can get the support that you need.
Review the Bottom Line
FreeTaxUSA's online tax preparation software program is reliable. The cost is also undoubtedly one of the best in the business. Be aware of its limitations, including the lack of phone support and restricted audit support. This program does not support tax situations.