Is it better to buy TurboTax or use it online?

Asked by: Edward Wilkinson  |  Last update: February 9, 2022
Score: 4.7/5 (61 votes)

Most people choose to use the online service. TurboTax reported that 80% of the returns it handled came from its online products. When you have a choice between buying the software you install on your computer and paying to use the service online, you are better off buying the software download.

Why is TurboTax Online More Expensive Than download?

TurboTax sets its pricing policies that way. You pay separately for federal and state when you use online software. For many users, desktop software is more cost effective, especially if they have multiple returns to prepare for various family members.

Should I use TurboTax desktop or online?

For most customers, we recommend TurboTax Online. Pricing for our online products starts with Free Edition, for simple tax returns, and goes up based on your needs and the complexity of your income tax return. If you live in a state that requires you to prepare a state tax return, we can help.

How reliable is TurboTax Online?

TURBOTAX ONLINE GUARANTEES

100% Accurate Calculations Guarantee: If you pay an IRS or state penalty or interest because of a TurboTax calculation error, we'll pay you the penalty and interest.

Do I need to buy a new TurboTax every year?

Yes, each year's TurboTax is only for that one specific year. It is a new product each year, so you have to purchase the new product each year. All tax software works that way.

Should I Use TURBO TAX or Hire a CPA?

39 related questions found

How much does it cost to efile a state return with TurboTax?

Using the desktop editions of TurboTax there is currently a $19.99 fee to e-file a state income tax return.

How do I Efile more than 5 on TurboTax?

You can prepare as many returns as you want with the CD/Download version of TurboTax. It's just that you can only e-file five returns. The rest can be printed and mailed. You would have to buy another TurboTax product, with a different email address, to file five (5) additional income tax returns.

Does TurboTax really give you the best refund?

TURBOTAX ONLINE GUARANTEES

100% Accurate Calculations Guarantee: If you pay an IRS or state penalty or interest because of a TurboTax calculation error, we'll pay you the penalty and interest.

What is the best way to do your taxes online?

IRS Free File Is Now Open

Prepare and file your Federal taxes for free. IRS Free File lets you prepare and file your federal income tax online using guided tax preparation, at an IRS partner site or Free File Fillable Forms. It's safe, easy and no cost to you for a federal return.

Does TurboTax take money from your refund?

The Refund Processing Service is an option for paying your TurboTax fee by deducting it from your federal tax refund. It's a convenient way to pay for TurboTax if you don't have (or don't want to use) your credit or debit card.

How many returns can I do with TurboTax Online?

In TurboTax Online, you can prepare and e-file one federal and up to five associated state returns under the same account login (your account is your username, not your e-mail address). And you can file up to five federal returns under the same email.

What is the difference between TurboTax Deluxe and TurboTax Premier?

The online Deluxe TurboTax version has some additional features associated with deductions. The online Premier TurboTax version has similar features as that of the Deluxe plus, associated with investments. The Deluxe Plus online TurboTax version includes support for self-employment income such as schedules C and SE.

Why is TurboTax charging me to file?

That is the service charge of the third party processor who receives the federal tax refund from the IRS, deducts the TurboTax account fees and their service charge. Then deposits the remaining refund into the account requested by the taxpayer.

Does TurboTax have free version?

TurboTax Free Edition: $0 Federal + $0 State + $0 To File offer is available for simple tax returns only with TurboTax Free Edition. 100% Accurate Calculations Guarantee: If you pay an IRS or state penalty or interest because of a TurboTax calculation error, we'll pay you the penalty and interest.

Why can't I Efile my state taxes on TurboTax?

If efiled separately, you cannot efile the state return until the Federal return has been accepted. Or perhaps one of your state forms is not yet available for efiling. Open your return interview and go through the REVIEW tab.

Does TurboTax offer free state e-file?

Does TurboTax Offer Free State Filing? Yes. If you make under $34,000 and qualify for TurboTax Free File, you can also prepare and file your state return for free.

Is TurboTax 2022 free?

If you are filing one of those super-simple, 1040-only returns, then you can get TurboTax's "Basic" package for free in any of its forms, from do-to-yourself all the way up to TurboTax Live Full Service. Take note: The $0 offer for TurboTax Live Full Service is only for returns that are filed by Feb. 15.

Do you get more money back with TurboTax or H&R Block?

The low end of TurboTax's pricing to fill out your return for you is almost three times the cost of the low end of H&R Block's in-person service: $199 versus $69.99. However, TurboTax tops out at $389 for full-service tax prep, while H&R Block's full-service options have open-ended pricing.

Why is H&R Block charging me so much?

In simple terms, H&R Block charges the rates it does because it performs a legitimate service and the marketplace supports its pricing structure. Is there a less expensive way for an individual to prepare his or her own tax return? Sure.

How long can I use TurboTax?

Tax Return Access: Included with all TurboTax Free Edition, Deluxe, Premier, Self-Employed, TurboTax Live, TurboTax Live Full Service customers and access to up to the prior seven years of tax returns we have on file for you is available through 12/31/2023.

Can TurboTax 2019 be used for 2020?

No, you will have to get the 2020 version.

Is TurboTax 2021 available?

The IRS starts accepting tax returns on January 24th, and they anticipate that most taxpayers will receive their refund within 21 days of when they file electronically if they choose direct deposit and there are no issues with their tax return. However, TurboTax launched Refund Advance on December 1, 2021.