Know your own skill set
There are a lot of tax software
packages, but before you examine your options, it’s important to assess your
own knowledge of the tax preparation process. Whether you’re a novice or a
seasoned tax preparer, you should look for software that works best for you. Do
you need a software package that prompts you with a lot of questions and
auto-fills fields? Or do you need the type that is more detailed, or perhaps
allows you to file multiple forms at once?
Stay on top of the times
Just as much as any business
owner needs to be informed of the latest changes in federal tax laws, so does
your tax software. Therefore, it’s important to go with a package that comes
complete with the most up-to-date software for the current tax year. With each
tax season comes new software that is released out to the public, but that
doesn’t necessarily make it both the latest and greatest. Instead,
look for software that has the most recent changes handed down from the
government. That way, you’re ahead of the curve and will remain informed about
any tax breaks or deductions.
Concentrate on key components
Preparing taxes can be
tedious and, sometimes, just down-right confusing. But it doesn’t have to be.
That’s where your tax software platform steps in and becomes your best business
partner. Overall, the ideal tax planning software should walk you through the
entire process. Some of the key components a good tax software program should
include are: the ability to import data from other sources; easy access to
relevant tax forms; the option to file both state and federal taxes; advanced
filing options; and a function to access data from your employer. So, no matter
what package you choose, be sure to let it do the majority of the work for you
— and do it well.