This is such a timely discussion! I'm in the exact same boat - used FreeTaxUSA for years but switched to TurboTax desktop last year and got overwhelmed by all the version options. What really helped me was creating a simple checklist of what I actually need vs what sounds fancy. For basic investment reporting (regular stocks, ETFs, mutual funds), TurboTax Deluxe desktop really does cover everything. I have about 30 stock transactions plus dividend income from 4 different brokerages, and Deluxe handled it all perfectly. The key thing I learned is that the desktop versions include WAY more forms and capabilities than their online counterparts with the same names. It's honestly misleading how different they are! One more money-saving tip: if you're buying from Costco, their return policy applies to software too. So if you buy Deluxe and later realize you actually needed Premier for some reason, you can return the unopened Deluxe and exchange it. Takes some of the pressure off making the "perfect" choice upfront. Thanks to everyone who shared their experiences with the different tools and services - definitely bookmarking this thread for tax season prep!

This thread is incredibly helpful! I've been using the online TurboTax for years but am considering switching to desktop for better investment handling. One thing I haven't seen mentioned yet - does the desktop version handle employee stock purchase plans (ESPP) well? I participate in my company's ESPP and always struggle with the disqualifying vs qualifying disposition calculations. The online version makes me manually figure out the ordinary income vs capital gains portions, which is confusing. Also curious about state tax filing - I know you mentioned the $10 federal e-file credit, but do both Deluxe and Premier desktop versions charge the same for state e-filing? I file in California which always seems to have extra complications. Thanks for all the detailed comparisons everyone has shared - this is exactly the kind of real-world experience that's impossible to find in the official product descriptions!

Does anyone know if taking the earned income tax credit increases audit risk? I qualify this year but I've heard the IRS targets EITC claims a lot.

This is really helpful information! I'm a freelance graphic designer and have been worried about audit risk since my income has been pretty inconsistent year to year. Some months I make great money on big projects, other months it's really slow. One thing I've learned from my accountant is that keeping detailed contemporaneous records is absolutely critical. I now use a separate business checking account for ALL business expenses and income, and I photograph every receipt immediately using an app that uploads to cloud storage. For anyone who works from home, be really careful with that home office deduction. The IRS is strict about "exclusive use" - that room has to be used ONLY for business, not as a guest bedroom that sometimes has a desk in it. I ended up not claiming it because my home office doubles as my art studio for personal projects. Also, if you're self-employed, consider making quarterly estimated tax payments even if you're not required to. It shows good faith effort to comply and can help avoid penalties if you end up owing at filing time. Plus it's easier to manage cash flow than getting hit with a huge tax bill all at once.

processed = they looked at it. processing = they looking at it. paid = we still waiting 😤

As someone who's been through this process multiple times, I can confirm what Lauren said is spot on! The key thing to remember is that "processed" doesn't automatically mean approved - it just means they're done reviewing your return. I've had returns go to processed status and then get additional review codes added later. The real indicator is looking for specific codes like 846 (refund issued) or 971 (notice issued) on your transcript. Also check your "as of" date - if it's current, that's usually a good sign. Don't stress too much about the daily checking though, once it's processed the refund typically comes within 1-3 weeks if everything is approved!

Has anyone used Drake Tax software for complex trusts with timber sales? I'm trying to figure out if it will automatically handle the distribution of capital gains correctly between schedules or if I need to make manual adjustments. The software keeps giving me a diagnostic warning about capital gains distributions.

I've been dealing with similar timber sale issues in complex trusts for several clients, and I want to add a few practical points that might help. First, regarding your Schedule B Line 10 question - yes, absolutely include the $1,600 there. This is critical for ensuring the income gets the proper tax treatment at the beneficiary level rather than being taxed to the trust. One thing I'd recommend double-checking: make sure your trust document actually allows for discretionary distributions of capital gains. Some older trust documents only permit income distributions, not principal distributions (which capital gains are often considered). If your trust document is restrictive on this point, you might need different treatment. Also, since you're both trustee and sole beneficiary, document your distribution decision properly. Even though it seems straightforward, having a written trustee resolution authorizing the distribution of capital gains can help if the IRS ever questions the treatment. For the timber specifically, keep detailed records of the basis adjustments over time. With small periodic sales like yours, tracking the depletion properly becomes important for future sales. The IRS has specific rules for timber depletion that can affect your basis calculations in subsequent years.

As someone who's been through this exact situation, I can share what worked for me! I lived with my parents rent-free when I started travel nursing too, and here's what I did to establish a legitimate tax home: 1. Created a simple written rental agreement with my parents for $200/month (way below market rate but shows financial responsibility) 2. Set up automatic bank transfers with clear descriptions like "rent payment" 3. Took over paying one utility bill (I chose the internet bill - around $80/month) 4. Made sure ALL my official documents used their address (license, voter registration, bank accounts, etc.) 5. Kept detailed records of every payment and contribution The most important thing is consistency and documentation. The IRS doesn't require you to pay market-rate rent, but you DO need to show genuine financial ties to the location. Even small, regular contributions count as long as you can prove them. Also, make sure you understand the "temporary vs indefinite" rule - your assignments need to be expected to last less than one year to qualify for tax-free stipends. Since you mentioned 3-6 months, you should be fine there. Good luck with your first assignment! Maryland is a great place to work as a travel nurse.

Great question about the temporary vs indefinite rule! Each individual assignment needs to be expected to last less than one year - so your plan of doing back-to-back 3-6 month assignments is perfectly fine from a tax perspective. The IRS looks at each contract separately, not your total time away from home. However, there is one thing to watch out for: if you stay in the same general area for more than 12 months total (even with multiple contracts), the IRS might start to consider that your new tax home. So as long as you're moving between different cities/regions for your assignments, you should be good. Also wanted to add to the great advice already given - consider getting a small storage unit or keeping some personal belongings at your parents' house. This helps demonstrate that you truly consider it your permanent residence and plan to return there. The IRS likes to see that you haven't "abandoned" your tax home. One more tip: keep a simple calendar or log of days spent at your tax home vs. assignment locations. While there's no specific requirement, spending some time at your tax home between assignments (even just a few days) helps reinforce that it's truly your permanent base.