This
program is being reviewed on my laptop. A Toshiba 486 SX33 with 4 meg of
ram and 200 meg hardrive.
Let me start with a little background on tax software in general. If you have never used tax software before you will find this program to be extremely exasperating unless you’re a CPA. If you usually do your own taxes you can expect this to take you up to four times longer to do than if you do it by hand. The reason is quite simple. Tax software is very specific in it’s requirements. You must be very specific in what you call things; because what you call things will determine where they go on your tax return. If you do your own taxes you can call it what you like and put it where you like. On the other hand, if you have never done your taxes before and you just decided “Hey, I can do my own taxes now” you will find this software terrorizing. I realize this sounds a little scary (and it is), but the good news is after you have mastered the language problem it really works quite well.
The more complicated your tax return the more confused you will be. By complicated I don’t necessarily mean bunches of different forms. For example, you have a business deduction which you really feel is legal, but you’re not sure what category it goes in then you’ll be stumped. Nowhere in the help section will you find the answer. You will either:
The major advantage of tax software is the ability to import your financial records directly into your tax software. With your financial software you can have accounts for rental property, businesses, investments, etc. and TaxCut allows you to import all these accounts from file in the toolbar. TaxCut will even accommodate up to 250 rentals with all incomes and expenses necessary for tax filing.
TaxCut comes on four floppies (a CD Multimedia version is also available) which copied without problem and the software loaded very easily with no surprises. The guide states that if you do not have smartdrive TaxCut may load extremely slowly. If you do not have smartdrive and you load TaxCut do not escape out regardless of how long it takes unless you get some sort of error message. The manual states it may take awhile to load without smartdrive. It also states that the lack of smartdrive will not slow down the usage of TaxCut once it is installed.
TaxCut is compatible with both Windows 3.1 and Windows 95. It is also compatible with Turbo Tax if you used Turbo Tax in 1994. I found TaxCut to be easier to use than TurboTax. It seems to have better explanations and is more forgiving. One thing I particularly liked about TaxCut was your ability to backtrack to the previous window by simply clicking on the back box in the bottom right corner. This is an extremely handy feature.
TaxCut has a wealth of help available. It has a good online help with a text search feature. Interactive help is available from CompuServe, America On Line, and Prodigy. TaxCut also has a FAQ (Frequently Asked Questions) on the internet. Unfortunately, the internet is not interactive. I called the Technical Support number (this is on your dime) and was pleasantly surprised to be on hold for only 10 minutes. This feature is only available from February 1 thru April 15. There is also an 800 # fax available 24 hours a day. This is also only FAQ.
TaxCut comes with all tax forms you can possibly need. There is, however, one glitch. TaxCut will only print in Courier New, but not to fear. If you don’t happen to have that particular font. TaxCut is like Prego (endorsements are how I get paid for these jobs) cause it’s in there. Any printer will do for TaxCut. It only requires 150 DPI for it’s forms.
TaxCut also offers state tax editions, except Texas, but don’t worry. Rumor has it they are working on a Texas package. Unfortunately, it will be in the range of 50 meg since it will have to include Sales Taxes, Value Added Taxes, and Income Taxes.
I found TaxCut to be very easy to work with. They have a question and answer feature which is easy, and if you make a mistake you can always backtrack to the previous window. One thing I like about TaxCut is the blue words (yea, typical help stuff). If you’re asked a question you don’t know the answer to or don’t know which answer to choose you can click on any blue word and you will get a detailed explanation of what that particular option means. This goes back to the part about it taking so long. Until you learn what these things mean it can be a little slow.
Oh, for you DOS types. There is a long list of Control + keys on the back cover of the guide for you to memorize. They are quite complete and you can do just about anything you want. For us windows types there is the tool bar we have come to know and love. Importing your financial records is particularly easy. Click on File, then Import and it will allow you to choose from Quicken (all the way to 5.0), MS Money or Money Manager.
TaxCut is setup like your file cabinet. It comes with eight file folder
tabs. You start with tab one and simply answer the questions asked. TaxCut
does all the work for you. It selects the forms you need based on your
answers. It does all the math (which accounts for a vast majority of all
mistakes) and gives you the bottom line. Unfortunately, it will not do
depreciation calculations for you.
It has an Audit feature which will check that your withholding is correct. It will not determine if a deduction you are claiming is acceptable to IRS. A Preview feature will allow you to preview your tax return prior to printing. One tab even allows you to order state income tax software. It will print your tax return for you and will even allow you to electronic file your return through HR Block. Well, what did you expect from a Block software package. There is still an electronic filing fee. TaxCut does not provide for 1040 PC. TaxCut explains that their version was not approved in time for the 1995 edition. There will probably be a 1040 PC in 1996. They state that their studies show electronic filing is as fast as 1040 PC and sometimes faster.
TaxCut will Wrap Up (another tab) your tax return for you and
even save your 1995 return in a subdirectery aptly titled Backup. Speaking
of wrapping up. I apologize to those of you who have used tax software
in the past, but I tried to make this for those who had never used tax
software (or at least not successfully). If you’re also the type who cuts
to the end then all’s not lost. Folks, it’s Miller time! At least in tax
software. I found this to be the easiest tax software to use. It’s the
most forgiving and it’s about a third the cost of Turbo Tax. I saw it advertised
in the paper (I don’t remember who) for $17.95 and I saw Turbo Tax for
$44.95. For tax software “It doesn’t get any better than this”.