Need recommendations for 1120-POL tax software alternatives to Drake Tax

Thanks for the suggestions! Have you personally used TaxAct Professional for 1120-POLs? I'm concerned about ease of use since I'll only be doing a couple of these. Also, any idea on approximate pricing for UltraTax CS or Lacerte? I'm guessing they're significantly more expensive than Tax 990's $65/return?

I've used TaxAct Professional for 1120-POLs for smaller clients, and it's fairly intuitive. The interface is clean, and since you're only doing a couple returns, the learning curve shouldn't be too steep. Most functions are where you'd expect them to be. UltraTax and Lacerte are definitely pricier - they typically work on an annual license model ranging from $1,500-$2,500 depending on which forms you need, rather than per-return pricing. If you're only doing two returns, Tax 990 or TaxAct would be more economical unless you need the advanced features of the premium options.

How exactly does it work with 1120-POL forms? Does it actually prepare and file the return, or is it more of a document organizer that helps you get ready to file? I've got a PAC client with transaction categorization issues and wondering if this would help.

I'm skeptical about using AI for tax prep, especially for political orgs where the stakes can be high. Have you run into any issues with the IRS questioning anything on returns prepared this way? My understanding is that 1120-POLs get extra scrutiny sometimes.

It works as both a document analyzer and preparation assistant. You upload your client's financial documents and bank statements, and it flags which transactions likely need to be reported as taxable political expenditures versus exempt function activities. It doesn't e-file directly, but it outputs everything you need to complete the official form. The AI doesn't replace professional judgment - it just speeds up the review process and helps spot potential issues. I've had no problems with IRS scrutiny. In fact, my returns are probably more thorough now because the system identifies transactions I might have missed manually. Political organizations do face additional scrutiny, which is exactly why having a systematic approach to transaction classification is so important.

Wait, how does this actually work? Is it just an appointment scheduling service or do they somehow get you to the front of the phone queue? The IRS wait times have been insane lately - especially for specialty forms like 1120-POL.

Sounds too good to be true honestly. I've spent literal days on hold with the IRS for business clients. There's no way some service can magically get through when millions of people are trying to call. What's the catch?

It's not an appointment scheduler - they use technology to navigate the IRS phone system and wait on hold for you. Once they reach a live agent, you get a call connecting you directly. No more sitting on hold for hours just to get disconnected. The catch is that it doesn't guarantee the IRS agent will have all the answers you need or that they can resolve complex issues immediately. But at least you get to speak with someone rather than waiting endlessly. For my 1120-POL question, getting through to someone who understood the specific reporting requirements for political organizations made all the difference. The IRS specialist was able to explain exactly which schedules we needed to include with our client's 527 organization return.

I'm not currently using CCH for anything. Would it make sense to get it just for two 1120-POL returns? Or is there a standalone option that wouldn't require buying into their whole ecosystem?

Honestly, it wouldn't be cost-effective to get CCH Axcess just for two 1120-POL returns. Their pricing model is designed for firms handling many returns across different entity types. For just two returns, I'd second the recommendation for Tax 990 or TaxAct Professional that others mentioned. The learning curve will be much quicker, and the cost is significantly lower for your situation. If your political organization returns are relatively straightforward (mainly reporting investment income), these more affordable options should work fine.

Did you have any issues with e-filing through Tax 990? I heard some smaller providers have glitches with IRS acceptance for electronic filing of the less common forms.

I can share some insight on the Tax 990 vs TaxAct comparison since I've used both for political organization returns. Tax 990's interface is definitely more streamlined - fewer bells and whistles means less time clicking through menus to find what you need. For straightforward 1120-POL returns with basic investment income and expenditures, I found it actually was faster than TaxAct. However, TaxAct Professional has better diagnostic features that catch potential issues before filing, which can save time on the back end if there are complications. For the 527 disclosure requirements, both platforms will prompt you for the necessary information, but you'll still need to track segregated fund activities manually regardless of which software you choose. Neither automates the political/exempt function distinction - that professional judgment is still on us. Given you're only doing a few returns and coming from Drake, Tax 990 might be the smoother transition since the learning curve is minimal.

This is excellent advice! I'm relatively new to political organization returns and was focusing mainly on finding the right software, but you're absolutely right that understanding the classification rules is crucial. Could you elaborate on what specific areas tend to trip up preparers the most? I want to make sure I'm not missing any key considerations beyond just getting the forms filed. Are there particular types of transactions or activities that are commonly misclassified? Also, have you found any good resources for staying current on political organization tax requirements? It seems like this area might have more frequent guidance updates than typical business returns.