H&R Block vs. Turbo Tax vs. Jackson Hewitt: When we talk about taxes, decisions seem to get critical. It is important to understand and have updated knowledge about taxes in case you want to do it all by yourself.
Or else tax agents can prove to be really helpful for you in preparing your tax returns. But the decision is not as straight-forward as it may seem. You might have to choose a middle ground to maximize your benefits.
If you choose to file your own taxes then there are different software and applications out there that can prove to be really helpful. For example, H&R Block, TurboTax, and Jackson Hewitt are the most popular ones. Your choice would depend on your personal preferences and financial situation.
It would also depend on the fact that how much you would wish to spend. In this article, we would talk about H&R Block vs. Turbo Tax vs. Jackson Hewitt and try to find out which one is ideal for you.
Similarities between H&R Block vs. Turbo Tax vs. Jackson Hewitt:
Before we talk about the differences between the given software, it is important that we understand the similarities between H&R Block vs. Turbo Tax vs. Jackson Hewitt that these program bears.
- They offer programs of different tiers and you can choose the one by depending on the complexity of the solution. The more complex the situation is, the more you would have to pay to solve it.
- You can get free editions of all the three software which would provide you with simple solutions.
- The prices depend on the days of taxes and thus is variable. It would generally go up as the tax daus come near.
Now that we know about the similarities, let us discuss about each application so that it gets easier for you to choose the one.
As of 2019 filing season, you would get around five tiers for H&R Block as a part of their tax preparation program. This would also include the free versions, deluxe, premium and finally the self-employed version. In case you have W-2 income, the free version would be enough for you. This comes as a part of the deal.
The second tier would consist of the Deluxe plan, which is mainly for the investors, home-owners, and people who have retirement income. This also includes people who have contributions made towards the health savings plan.
The next is the Premium tier, which works for the independent contractors and freelancers along with the investors. This program also comes with a self-employed product that serves millions of self-employed people inside the country. This would also include the rental property owners.
Finally, comes the tax pro review package, this package provides professional tax reviews along with double-checking your returns.
The packages also include live chats with experts in case you face any problem. You can also share your screen in order to show them where the problem lies. You can even import your older returns in case you have filed your taxes with another software.
The marker of QuickBooks, a popular accounting software, has come up with Turbo Tax. Like the previous application, this also offers a free Basic Version which is suitable for the simplest solutions. You can get access to state returns and e-filling with this package.
The lowest tier option, price viz, is the Deluxe one. This is the most popular one and can deal with all types of credits and debits. This plan also maximizes mortgage rate of interest and deductions from property taxes. It also would offer you deductible solutions that can not only help you to organize donations to charities but also to value them correctly.
Next comes the Premium plan that is ideal in case you have to deal with investments. It covers the tax implications of the rental property.
The self-employed edition lies on the upper tier of the application and is ideally designed for small business owners. It can also be useful for sole proprietors. If you use QuickBooks accounting software, then it would be easy for you to import the data.
The Home and Business tier is quite necessary for small business owners.
All the Turbo Tax versions come with agents who are there for your assistance. The premiere edition would auto import the whole investment income for you.
Going to Walmart, you might have come across Jackson Hewitt cubicles. It is mostly used inside the Walmart stores, as it offers an online filing platform.
It also comes with free options that have simple returns and state filing. You would have to claim the standard deductions with itemization. You would need to have W-2 income or should be unemployed to avail of this. You can claim for the earned income tax credit only when you do not have any dependents.
The next tier is for complicated returns which covers the investment income. You would also get dependent care credit. Student loans and educator expenses
Coming to the top tier edition, it is aimed towards small businesses and towards people who are self-employed. It includes all the expenses and incomes from a rental property.
Read More: Tax Brackets And Federal Income Tax Rates
All the packages mentioned here would include some selling points like free e-filing federal returns, max refund guarantees with 100% accuracy. The difference basically involves the price that you have to pay for the services and features that you would want to access. The similarity lies in the fact that you can get free of cost access for simple solutions.
Taking tax decisions can be very vital. If not done properly, you might end up in a lot of trouble. If you do not have any information and knowledge about taxes, then you can take the help of tax agents. In case that is not an option, then these applications can prove to be helpful.
We would advise you to go through the prices as they provide almost similar features. The price does fluctuate with time, so when you decide to work with the application, know about the price then only. Do all the research because taking the final decision.