Getting the least expensive online tax filing software does not need to mean that you are settling for the cheapest tax solution. Using cheap online tax filing software can have its pitfalls as far as accuracy and security for how it handles your data. Searching for more affordable software can still yield terrific results each tax season.
There is a less than 1% error rate for e-filed returns compared to 21% for paper returns.
Experienced tax filers know that there is no time to waste during each tax season and even less reason to waste it. Filers who do not need the bells and whistles of a cloud-based program may find that desktop software is the best path forward. Advanced Micro Solutions’ 1099-etc E-Filer is the most affordable solution on the market and gives its users:
- Flexibility
- Consistent security
- Comprehensive support
The Least Expensive Online Tax Filing Method vs. Free Software
Users of our E-Filer never have to compromise quality for cheap online tax filing. Consider what free software can offer you, but also how it may hold you back, before you decide not to pay for an affordable program.
Free software can…
Save tax filers money. Many of the people who benefit from using free tax filing software are:
- Lower-income tax payers
- Tax payers with simple tax returns
Be a reliable and accurate tax filing method. Providers in the IRS Free File program can offer legitimate free tax software. It becomes a question of whether free software offers the tools that you need and what getting the least expensive online tax filing software would offer. No software system can guarantee a 100% accuracy rate.
Disadvantages of using free software include how it might…
Upsell or have hidden fees. Using the “free” label to lure in customers can happen with some of the cheap online tax filing services. Certain tax situations, like filing state tax returns or doing itemized deductions, will require the user to upgrade to a paid version of a program.
Offer limited support for complex needs. Free software is often counter-productive for people with complex tax situations. These situations may include people who need to report:
- Foreign-earned income
- Rental properties
- Sizable investments
The big consideration between getting the least expensive online tax filing software and a cheap or free program is what their customer support will look like for you. Free services that only offer basic email support may not be enough for an inexperienced tax filer. Most programs require the users to pay before they can access live chat features for technical support.
Should First-Time Tax Filers Use Inexpensive DIY Software?
Whether or not a first-time tax filer should use DIY software depends on a few things. Questions that might help you to determine whether you should get software or hire an accountant are:
- Will inexpensive online tax filing software provide the essential filing tools?
- Do I only receive standard income from a single job?
- Will I take the standard deduction rather than itemizing?
- Is the least expensive online tax filing software within my budget?
- Do I want to file on my own schedule?
- Am I confident in the security of my prospective DIY software?
Users need to feel confident in their software decision-making before they invest in a program. Avoid short-changing yourself by seeing if your possible system offers a free trial or demo.
Benefits of Tax Filing Software or Accountants
A consistent theme is how the complexity of your financial situation is the most important factor when you choose between getting potentially cheap online tax filing or hiring an accountant. An affordable system versus an expert filer will each have their advantages.
Pros of Using the Least Expensive Online Tax Filing Software
Lower Cost – Hiring an accountant to handle your tax filings may end up being more expensive than paying a flat rate or a fee per form for new software. Knowing your budget going in will help you to make a long-term determination.
Convenience – Using tax filing software makes it easier for individual tax filers to:
- File taxes at any time
- Set up software in any location
- Eliminate the need for appointments
Speed – You will no longer need to wait to hear from your accountant or for an accountant to finish other people’s tax filings first. Complete and e-file a quick return in little-to-no time.
Accuracy – Even the least expensive online tax filing program should catch calculation errors with an automated system. Ask your provider what built-in checks exist to help catch common mistakes.
Pros of Hiring an Accountant
Year-Round Planning – Working with a CPA will help you to file accurate returns each year while also giving you strategic advice moving forward. CPAs can better inform you of how to legally reduce your future tax burden.
Expertise – Accountants are up-to-date on tax laws and hold a deep knowledge of how to:
- Ensure compliance
- Reduce major errors
Users who choose to go the software route should look for a system with regularly updated state and federal tax liabilities.
Better Savings – Tax filers who use the least expensive online tax filing method might not know their eligibility for specific credits and deductions. CPAs can help tax filers offset fees or possibly get larger refunds.
Audit Representation – An accountant can be a worthwhile ally if the Internal Revenue Service audits you. Professional representation can help you to:
- Figure out the next steps
- Reduce the stress of navigating an audit
Best Features to Look for in Cheap Online Tax Filing Software
It is worth considering both the features that you need and the tools that you want out of your tax filing software. Not everything needs to be essential, but there are fundamental tools that can simplify the entire process.
Modular Capabilities – We proudly stand by our software as the least expensive online tax filing solution and one that is highly customizable. Getting modular tools as you need them is one way for tax filers to save money rather than getting everything at once. Our six optional add-on modules are:
- E-File
- AMS Payroll
- Forms Filer Plus
- 1042-S Filer
- Affordable Care Act Filer
- Software Generated Forms
Strong Data Security – Any tax filing platform needs to offer robust payer backup and restore features for its users. Security measures, like multi-factor authentication or passwords, may be essential for users as well. Look for tools that can help ensure there are not major concerns of data hacks or leaks.
Intuitive User Interface – Introducing a user-friendly software design to your tax filing process often prevents errors and reduces tax filing penalties. The least expensive online tax filing tools like ours can provide users with entry screens that reflect actual tax forms.
When Can E-Filers Expect to Receive Tax Returns?
Switching from manual tax filing to electronically filing your taxes is the best way to receive your returns within a shorter waiting period. E-filing in general makes it easier to receive your returns, because:
- There are fewer delays due to mistakes
- You can file directly to the IRS
- Needing to make corrections is less common
The IRS issues faster refunds for e-filers than it does for paper filers. Most refunds arrive in less than 21 days for electronically filed returns. Set aside the cheap online tax filing options and get the most reliable, least expensive online tax filing system that reduces your stress and workload rather than adding to it.
E-Filing with AMS Software
Our e-filing software speaks for itself. We encourage all users to see what it can do with their information. Download our free 1099-etc Demo software today and explore a fully functional version of the 1099-etc software with only a few exceptions. The demo:
- Lets users enter their actual information
- Saves information so that users can access it after buying the software
- Shows exactly how our software costs less and does more
Getting a better understanding of our E-Filer options is possible once you download the demo. Once you agree that we are the least expensive online tax filing solution and will work best for your tax filing needs, there are two options: E-File Direct (add-on) and E-File Services.
E-File Direct Features
- Flat fee
- Unlimited number of form filings
- Users can verify, view, and print files
E-File Services Features
- Volume pricing (fee per form)
- Forms are e-filed through a third-party vendor
- Different service levels available
There are any number of reasons why now might be the time to fully switch over to e-filing tools. You may want to reduce your tax filing paperwork or save a significant amount of time during the process. It might also be the most cost-effective way for you to save money throughout the year by eliminating printing and mailing expenses.
Investing in the least expensive online tax filing system for your tax management responsibilities requires careful consideration of all the possible outcomes. Getting a flexible solution will enable you to have more control over the features that you get now and if you choose to add on other ones as you need them.