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For what it's worth, I used Liberty Tax last year and they gave me a $50 Amazon gift card as a new customer bonus. The preparation was fine - nothing special but they didn't mess anything up. Total cost was around $220 for a fairly simple return. I think most of these places have similar "new customer" deals if you look around.
$220 for a simple return?? That seems really expensive. Was that including state filing too?
Yes, that included both federal and state filing fees. You're right that it's not cheap - and honestly that's why I'm not going back this year. The $50 gift card was nice but when I looked at the total cost, I realized I could have done it myself for much less. I'm using one of the self-prep software options this year since my tax situation hasn't changed much. The "bonus" isn't worth the extra fees when you do the math.
Pro tip: If you made under $73k last year, you can file for FREE through the IRS Free File program. Most people don't know about this! Go directly through the IRS website to find the participating providers. Much better than paying for tax prep just to get a small bonus!
Is that the same as the free version that TurboTax advertises? I tried that last year but they kept trying to upsell me and eventually said I needed to pay because of my student loan interest form.
No, the IRS Free File program is different from TurboTax's "free" version. When you go through the actual IRS Free File program (on the IRS website), you get access to the full versions of tax software for truly free - no upsells or surprise fees for common forms like student loan interest. TurboTax and other companies offer their basic versions free on their own sites, but they limit what forms you can use and try to push you to upgrade. The IRS Free File uses the same companies but with different rules - they have to provide their full software free if you qualify income-wise. Definitely go through the IRS site directly to avoid the upsell games!
Looking at your transcript, that code 291 from November reducing your assessment by $656 is actually a good sign - it means the IRS made an adjustment in your favor. Combined with your $0 balance, it suggests they've finished their review work. The hold might be close to releasing since they've completed the adjustments. I'd expect movement on your refund within the next few weeks, especially since it's been months since the initial CP05 notice. Keep checking your transcript for any new codes!
Has anyone used both TurboTax Business and H&R Block Premium & Business for S-corps? Trying to decide which one to go with this year. I've been using TurboTax for personal returns but not sure if it's the best for S-corps.
I've used both. TurboTax Business is more user-friendly if you're not super familiar with business tax concepts - it asks more questions in plain language. H&R Block is a bit more technical but offers more flexibility for complex situations. If you're new to S-corps, I'd probably recommend starting with TurboTax Business.
This is such a timely question for me! My wife and I are in almost the exact same situation - she started an S-corp last year and we've always filed jointly for our personal taxes. One thing I learned that might help you is to make sure you're keeping really good records throughout the year, not just at tax time. We started using QuickBooks to track all the business expenses and income monthly, which made preparing the S-corp returns much easier. It also automatically categorizes a lot of transactions, so you're not scrambling to figure out what each expense was for when you're doing your taxes. Also, don't forget about quarterly estimated tax payments for the S-corp income! Since it flows through to your personal return, you might need to adjust your withholdings or make quarterly payments to avoid underpayment penalties. We got hit with that our first year because we didn't realize the business income would push us into a higher tax bracket. The reasonable compensation issue that Ravi mentioned is super important too. We ended up consulting with a CPA just for that piece to make sure we got it right, even though we did the actual tax prep ourselves.
To all those having trouble reaching a human at IRS. I just ran across this video that gave me a shortcut to reach a human. Hope it helps! https://youtu.be/_kiP6q8DX5c
Don't worry too much! The disappearing progress bars on Where's My are super common this time of year. When the bars disappear but you still see the processing message, it usually just means your return moved to a different stage or department - not necessarily a problem. Tax Topic 152 disappearing is also normal as returns progress through the system. That said, if it's been more than 21 days since you filed, it might be worth checking your account transcript on the website to see if there are any issues or holds. The transcript will show you exactly what's happening behind the scenes with codes and dates. If you're really concerned after checking your transcript, you can try calling the IRS, though wait times are brutal right now. Most of the time though, these changes are just part of normal processing. Keep checking WMR every few days for updates!
You can check your transcript anytime after filing! I'd recommend checking it now since you're at the 2 week mark. The transcript updates more frequently than Where's My and will show you if there are any holds or issues. Go to irs.gov and look for "Get Transcript" - you'll need to verify your identity but it's worth it for the peace of mind. If everything looks normal on the transcript, you're probably just in the normal processing queue.
You can check your transcript anytime after filing - it usually updates within a few days to a week. Since you filed 2 weeks ago, your transcript should definitely have information by now. Just go to irs.gov and look for "Get Transcript" - you'll need to verify your identity but it's worth it for the peace of mind. The transcript will show you if there are any holds or issues, or if everything is processing normally. Two weeks is still within the normal 21-day timeframe, so try not to stress too much!
Luca Russo
Has anyone tried leasing instead of buying? I've heard mixed things about whether leasing or buying is better for tax purposes for an LLC. My CPA mentioned something about leases having different rules?
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Nia Wilson
β’Leasing can be simpler tax-wise because you just deduct the lease payments for the business use percentage. No complicated depreciation calculations. But you might get a smaller overall deduction compared to Section 179 on a purchase, especially for those heavy SUVs and trucks.
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Anthony Young
Great question about vehicle deductions! I went through this exact same situation last year with my LLC. One thing I learned that might help - make sure you understand the difference between the actual expense method and standard mileage rate before you buy. If you go with actual expenses (which includes Section 179), you're locked into that method for the life of the vehicle. You can't switch to standard mileage later. But if you start with standard mileage, you can potentially switch to actual expenses in later years. For a new LLC that's doing well, the Section 179 route with a heavy SUV/truck is often better upfront, but consider your long-term plans. If your business use percentage might drop significantly in future years, you could face recapture issues. Also, since you mentioned needing to buy soon - whatever you decide, start keeping detailed mileage logs from day one. Even if you think you'll use it 90% for business, the IRS wants contemporaneous records, not reconstructed logs later. I use a simple phone app that tracks automatically. Definitely get that accountant lined up soon though - they can run the numbers for your specific situation and income level to see which approach saves you the most money overall.
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