Buyer's Guide To Tax Preparation Software
Caroline D. Hanlon
April 15th always comes too fast. Home tax preparers with personal computers, though, have a powerful tool to aid in computing their returns. As this buyer's guide shows, there is a wide range of software available for a variety of tax situations, including a program for Canadian taxpayers. This guide includes software for home users preparing Form 1040 and its accompanying forms and schedules. Nearly all the programs incorporate the new tax laws resulting from the 1987 Tax Reform Act.
Divorce Tax
Research Press
IBM PC and compatibles
Lotus 1-2-3 or compatible spreadsheet required $65
This template is designed to help structure a divorce settlement so both parties can save on taxes. It takes into account issues such as alimony, child support, property settlements, dependents, and child care. The program must be used with a spreadsheet, and it has a money-back guarantee.
Estate Tax Planner
Randle, Coray & Associates
IBM PC
$95
ETP helps users plan the growth of their estates and then estimate the annual estate and gift taxes for the next 20 years. The program considers consumptions or gift of assets; changing estate-tax rates and credits; marital deductions; and death of first or second spouse. What-if scenarios can be created to observe the effect of certain financial decisions on estate taxes. The manual includes instructions, forms, checklists, and information on wills, trusts, gifts, and estate planning.
Everything You Need To Do Your Taxes With Lotus 1-2-3
Woodbury Software
IBM PC
Lotus 1-2-3 required
$39.95
This tax planning and preparation package can help users compare one to six alternate tax strategies, or evaluate taxes for one to six years. The program helps determine the tax effects of financial decisions, and aids in sorting tax records. Major IRS forms—such as the 1040 and Schedules A, B, C, D, G, SE, and W—can be completed. Help screens appear throughout the menu-driven program. The package includes a book containing instructions and examples.
EZTax-Prep 1040
EZ Ware Corporation
Apple II-series; IBM PC, PCjr, and compatibles; Macintosh
Commercial spreadsheet required, printer optional
$99.95 (Macintosh); $129.95 (all other systems)
EZTax-Prep 1040 includes templates for completing 26 IRS forms and schedules: 1040, 1040ES, 2106, 2119, 2210, 2441, 3800, 3903, 4952, 4562, 4684, 4797, 4972, 6251, 6252, 8582, 8598, 8615, and Schedules A—F, R, and SE. Computations are performed by the program and the results are automatically applied to the appropriate form. The forms can be printed in an IRS-approved format on 1040 stock or transparent overlays using standard or laser printers. The program can also be used to create what-if scenarios and plan future tax strategies. The audit-alert feature points out deductions that could possibly trigger an IRS audit, and data can be exported to EZ Ware's EZTax-Plan for more in-depth tax planning. EXTax-Prep 1040 is designed to be used with Lotus 1-2-3, Multiplan, Excel, or Symphony 1.2. Annual updates that include all tax law changes are available for a fee.
EZTax-Plan, Personal Edition
EZ Ware Corporation
IBM PC, PCjr, and compatibles;
Macintosh
Commercial spreadsheet required
$95
This tax preparation package is designed to be used with Lotus 1-2-3, Multiplan, Excel, or Symphony. It helps individuals project future taxes, compare different tax strategies, plan for retirement, and complete tax form 1040 and schedules A, D, R, and SE. The Audit Alert feature also signals if planned deductions may lead to an IRS audit. EZTax-Plan takes into account charitable contributions, self-employment taxes, credits, itemized deductions, and assets such as bonds, stocks, and real estate. Updates incorporate any changes in tax laws that may occur. The package includes a coupon for one free update. This program can be used with EZTax-Prep 1040, also from EZ Ware.
Future-Tax
Taxaid Software
Commodore 64 and Plus/4
$39.95
Future Tax incorporates the new tax laws of the Tax Reform Act to help users calculate income taxes for 1988 and 1989, and plan future tax strategies. The menu-driven program includes the new tax rates and automatically figures standard deductions, exemptions, limitations on IRAs, surtax, deductions for the elderly, and itemized deduction limitations. The data can also be output to the screen or printer.
J. K. Lasser's Your Income Tax 1988
Simon and Schuster
IBM PC and compatibles
256K, DOS 2.1, color or monochrome monitor
$69.95
This tax preparation package combines software with the J.K. Lasser Tax Institute's tax guide, to help users complete their tax returns based on the new tax laws, and learn how to save on taxes and avoid penalties. An interview feature helps users select the correct forms, and the questions can be modified for individual needs. There is an onscreen calculator to use with either the worksheets or actual forms, and data can be transferred among the forms, various tax strategies can be input to compare liabilities. Help screens contain excerpts from the book. Individuals and professional tax preparers can use the program, and the results can be printed in IRS-approved format or on original IRS forms. Owners of the 1987 edition can buy the 1988 edition for $39.95 with proof of purchase.
MacInTax
Softview
Macintosh with 512K memory
$119
This tax preparation program displays the IRS forms on the screen, and the user fills in the appropriate lines. The program automatically performs the calculations and transfers data among the forms. There are 13 worksheets to aid in computing taxes, and itemization windows help break down any amount into a detailed listing. Instructions for each line in the forms can be displayed on the screen, and the IRS instruction book is included. The completed forms can be printed using a dot-matrix or laser printer. MacIn-Tax includes forms 1040, 1040A, 1040EZ, 1040ES, 2106, 2119, 2210, 2441, 3903, 4562, 4562A, 4684, 4797, 4868, 4952, 6251, 6252, 8283, 8582, 8598, 8615, and schedules 1, A-F, R, and SE. The program operates with MultiFinder. Annual updates are available for $55. State tax programs to supplement MacInTax are available for California and New York for $65 each; state updates cost $35.
PC/TaxCut
Best Programs
IBM PC and compatibles
$75
The QuickTax feature in this program can automatically recalculate tax owed, refund due, current tax bracket, and taxable income, each time a number changes in the program. This helps users see how variations will affect the tax return. PC/TaxCut offers context-sensitive onscreen help for whatever topic or calculation the user may be preparing. Forms can be displayed on the screen before printing, and the 1040 can be printed on plain paper with an IBM or Epson dot-matrix printer. A telephone tax advisory service is available for registered owners of PC/TaxCut for $1 per minute, with a minimum of 15 minutes. There is no charge for questions concerning program operation. Updates for previous owners of PC/TaxCut are available for $45.
Quick Returns!
Ontek Development Corp.
Apple II; Macintosh; IBM PC and compatibles
IBM PC version requires 256K RAM and DOS 2.0 or higher and supports CGA, EGA, Hercules, and monochrome display adapters; Apple II versions require Pro-DOS and 80-column capability $24.95
Designed specifically for Canadians, this program helps users in any Canadian province or territory complete their Canadian income tax returns. It is available in 11 versions. Each version includes the main return, 11 subsidiary federal schedules, and the appropriate provincial and territorial forms. The user enters the data in the highlighted areas, and the totals, deductions, and tax payable are updated. Total amounts are automatically transferred between the main return and the schedules. Over 120 screens of context-sensitive instructions provide onscreen help. Returns can be printed out in a Revenue Canada-approved format. A checklist of items to mail with the return can also be printed.
Swiftax
Timeworks
Commodore 64 and 128
$49.95
Swiftax handles tax forms 1040, 1040A, 2441, and 1040EZ and schedules A, B, C, D, G, W, and SE. It automatically calculates tax alternatives—such as income averages—to show the lowest tax to pay. Changes can be made to the tax return at a later date, using the taxpayer file. Information can be printed directly on tax forms or onto blank paper. Update disks with new tax law information and tables can be obtained each year at extra cost. The 64 version operates in 40-column mode and the 128 version in 80-column mode.
Taxaid
Taxaid Software
Commodore 64 and Plus/4
$44.95
An income tax preparation program, Taxaid helps users complete IRS forms 1040 and 2441, and schedules A, B, C, D, and E. It incorporates the 1987 tax law changes and tax tables, and calculations are automatic. Results can be printed on plain paper in an IRS-approved format. The program is menu-driven and includes a manual.
TaxView Planner
Soft View
Macintosh; IBM PC and compatibles
Requires MacInTax or TaxView from SoftView
$79
This tax planning program includes tax tables for 1987–1991, along with worksheets to calculate taxes, tax bracket, child care credit, itemized deductions, capital loss limitations, taxable social security benefits, and the maximum IRA deduction. Users can compare up to five alternate tax strategies against the yearly taxes. The program can compute withholding allowances for throughout the year, and print W-4 and 1040ES forms.
Tax Advantage
Arrays
Apple II; IBM PC
$69.95
A tax preparation program for Forms 1040, 2106, 2441, 4562, and 6251, and Schedules A, B, C, D, E, G, SE, and W, Tax Advantage automatically computes the totals, displays the forms, and prints out the data. It can handle income averaging, calculate brackets and liabilities, and provide year-round tax planning. This program works with Home Accountant, also from Arrays.
The Tax Advantage
Double Eagle Software
IBM PC and compatibles; Apple II-series; Atari; Atari ST;
Commodore 64 and 128
$59.95
This federal tax preparation program incorporates the tax law changes for the 1987 tax year and prints out IRS-acceptable forms and supporting statements. It can help users prepare Forms 1040, 2106, 2441, 4562, and 6251, and schedules A, B, C, D, E, F, and SE. The program can also be used for tax planning. Owners of The Tax Advantage Early Bird Edition, which includes all changes through August 1, 1987, can purchase the final edition for $15.95. The two editions are fully compatible; the final edition includes all tax law changes through November 1987.
Tax Command Planner
Practical Programs
Commodore 64 and 128; Apple II;
IBM PC
Apple version requires 128K; IBM
PC version requires 128K and DOS 2.0 or higher
$69.95
With this ten-year tax planning program, users can compare six tax options for up to five years at a time. The program uses current tax tables to calculate marginal tax rates, long and short term gains and losses, and taxes from income averaging. Tax rates can be adjusted according to tax law changes, and updates will be available each year. A manual provides line-by-line instructions.
Tax Command Professional
Practical Programs
Commdore 64 and 128; Apple II;
IBM PC
Apple version requires 64K; IBM
PC version requires 128K and DOS 2.0 or higher
$49.95
In this program, IRS forms appear on the screen as a series of menus into which the user enters dollar amounts. A calculator and current tax tables are incorporated into the program to automatically calculate the totals. The program can complete Forms 1040, 1040ES, 2106, 2119, 2441, 3903, and 8615, and Schedules A, B, C, D, E, F, R, and SE. (The Commodore 64 and 128 versions do not include Form 1040ES or Schedule F.) It compares itemized to standard deductions and provides line-by-line tax information entry. A summary of the information can be printed for personal records, or the data can be printed directly onto IRS forms.
The program works with most printers with PICA spacing. The IBM version displays in 80-column mode. A disk drive is required and a manual is included. Annual updates are available to registered users at half price. A money-back guarantee is offered.
Tax Master
Master Software
Commodore 64
Printer optional
$30
Individuals can use this program to prepare their federal tax forms 1040 and 4562, and schedules A-F. The program includes the tax tables and a calculator function to automatically compute the amounts. Results can be transferred from one form to another, and more than one schedule can be completed for each user. Tax Master is a menu-driven program that can store data for more than one taxpayer, and the information can be printed to screen or printer. The package includes an instruction manual and a coupon for a discount on the 1988 version.
Tax Master
Master Software
Commodore 64 and 128
Disk drive required
$30
The 1987 version of Tax Master helps users complete Federal tax forms 1040 and 4562, and Schedules A, B, C, D, E, and F. The program uses a built-in calculator and tax tables to calculate taxes. Data can be transferred between forms and printed out in 80-column mode. This version incorporates the 1987 tax law changes.
Tax Preparer
HowardSoft
IBM PC and compatibles
128K or GW-BASIC with 192K
$295
Tax Preparer includes all the tax law changes through 1990 based on the Tax Reform Act, and enables users to forecast their tax liabilities beyond 1987. The user enters the data, and the program automatically performs all calculations relative to the tax year entered. The data is then transferred to over 20 IRS forms and schedules. Results are checked against the tax code to make sure limits have not been exceeded, and to make sure the forms, schedules, and worksheets can be printed in IRS-approved formats. Users can also create what-if scenarios to plan future tax strategies. Onscreen instructions are provided along with a handbook and telephone support. The program uses split screens and windows.
Tax Preparer
HowardSoft
Apple II-series
64K required
$250
Tax Preparer includes all the tax law changes through 1990 based on the Tax Reform Act, and enables users to forecast tax liabilities beyond 1987. The user enters the data, and the program automatically performs all calculations relative to the tax year entered. The data is then transferred to over 20 IRS forms and schedules. Results are checked against the tax code to make sure limits have not been exceeded, and to make sure the forms, schedules, and worksheets can be printed in IRS-approved formats. Users can also create what-if scenarios to plan future tax strategies. Onscreen instructions are provided along with a handbook and telephone support. The program uses split screens and windows.
Tax ZipFiles
Petit Design
Apple II series
Appleworks required
$19.95
Tax ZipFiles is a template for use with Appleworks in completing IRS Form 1040 and Schedules A, C, D, and E. The tax-ledger feature can sort tax-deductible expenses, and the speedmaps and speedpaging features aid in using the program. A 100-page manual is included. Wisconsin residents must add 5 percent sales tax to the cost.
TAXAID
Taxaid Software
Commodore 64 and Plus/4
$44.95
An income tax preparation program written by tax accountants and designed for home use. The latest edition includes all the current changes in the tax laws for the tax year 1987. TAXAID prepares IRS Form 1040, Schedules A, B, C, D, E, and Form 2441 (child care). The menu-driven program calculates automatically with all tax tables built in. An editing feature allows users to make changes and revisions at any time. Printout is in IRS-approved format.
TaxEase
Park Technologies
IBM PC and compatibles
256K memory and spreadsheet required
$69.95
TaxEase helps users complete both federal and state tax forms, automatically computing the taxes and printing the results on IRS-approved forms, Values can then be transferred among the forms, Versions are available for 20 states: Arizona, California, Colorado, District of Columbia, Georgia, Illinois, Indiana, Maryland, Massachusetts, Michigan, Minnesota, Missouri, North Carolina, New Jersey, New York, Ohio, Oklahoma, Pennsylvania, Virginia, and Wisconsin. A version containing only the federal tax forms is also available. Updates are available for $34.95.
Tax View
SoftView
Apple IIGS; IBM PC and compatibles
$119
TaxView helps users complete their tax forms or create what-if scenarios to determine the best tax plan. Replicas of 27 major IRS tax forms and schedules appear on the screen, and when completed, can be printed out to a dot-matrix or laser printer. The forms and schedules can be linked together, and data can be imported from text files. The program checks for errors and any violation of an IRS rule. Instructions for each line in a form can be called at any time, and there are 13 worksheets to help in calculations. Versions are also available for some states, including California and New York, for $65. Annual updates to the federal tax package are $55, and state updates are $35. The IBM version operates under Microsoft Windows; a runtime version of that system is included on the disk.
Taxpertise Preparer
Marnoble Software
MS-DOS or PC-DOS machines
Lotus 1-2-3 or Symphony required
$49.95
Taxpertise uses a fill-in-the-blanks format, so the screens look like the actual tax form. The completed forms can be printed onto a tax form, on blank paper for use with transparancies, or in an IRS-approved format. This program helps users complete the following tax forms: 1040, 1040A, 1040EZ, 1040ES, 1040X, 1116, 2106, 2119, 2210, 2210F, 2441, 3468, 3800, 3903, 3903F, 4562, 4684, 4797, 4868, 5695, 6251, 8598, 8606, and 8615, and schedules A—F, R, and SE. State forms can also be purchased for $20 for California, Georgia, Illinois, Maryland, New Jersey, New York, Ohio, Pennsylvania, Virginia, and Washington D.C. Disks are available in 5¼- or 3½-inch formats.
Taxpertise Preparer State Programs
Marnoble Software
MS-DOS or PC-DOS machines Lotus 1-2-3 or Symphony, and Taxpertise Preparer required
$59.95
State tax returns can be completed for California, Georgia, Illinois, Maryland, New Jersey, New York, Ohio, Pennsylvania, Virginia, or Washington D.C. The program must be used in conjunction with Taxpertise Preparer. When purchased with the federal tax package, each state package costs $20. If purchased separately, each state package costs $59.95.
TurboTax 1988, Version 5.0
ChipSoft
IBM PC with 256K memory
$75
TurboTax is a tax preparation, planning, and recordkeeping package. With this program, users can complete over 35 IRS forms, plus supporting schedules and worksheets. Online instructions, including a 30-second manual at the beginning of the program, help answer questions about the forms, and customer support is provided by telephone or through the ChipSoft bulletin board. A data examiner option can point out anything left out of a return, and the tax window feature displays the current tax status throughout the program. Most of the math calculations are performed automatically, but a pop-up calculator and notepad are also available. The next year's tax laws are built into the planning mode of the program to facilitate tax recordkeeping and planning. The data can be printed onto supplied 1040 forms, or the forms can be printed on IBM- or Epson-compatible dot-matrix printers. The Price Waterhouse Personal Tax Advisor guide to 1987 and 1988 taxes is included in this software package. There are 26 integrated state tax packages available for $40 each. A version for professional tax planners is also available for $295.