Who does their own taxes?

[flipstress]

I've always done my own by hand except for a couple of years when TurboTax was free (from Vanguard, IIRC).

I don't have much in income, no business, no complicated transactions.

This year, I'll try the free version (Taxcut?) that wab linked to in another post. (Thanks, wab.)

 

[Texas Proud]

I've always done my own by hand except for a couple of years when TurboTax was free (from Vanguard, IIRC).

I don't have much in income, no business, no complicated transactions.

This year, I'll try the free version (Taxcut?) that wab linked to in another post. (Thanks, wab.)

Vanguard still has a free version... but I am going to try the Taxcut since I don't like putting my info online...

 

[Lsbcal]

After I do my taxes in about March with TurboTax I make a copy of it and save it to Next_Year_estimated_tax. Then during that tax year I continuously adjust it to the current tax situation as it develops. This helps to keep track of things and square things up as December approaches (even though it's the throw away version). For instance, this year I knew how much could be converted to a Roth because I had all the cap gains, etc. already entered.

We have a decent sized portfolio but I realized some time ago that a complicated return for me does not equate to an improved investment performance. So generally we try to keep it as simple as possible.

Les

 

[clifp]

Another Taxcut guy here. (I'd use Turbotax but when I started they didn't have Hawaii).

My taxes are relatively complicated 20+ pages with AMT tax credits carry forwards, and business expenses... Like others I find doing the taxes a pain, but you do gain a much better understanding of the tax system and makes you more aware of the consquences of various actions.

My grandfather got me in the habit of doing my own taxes, and except for a few years where my AMT situation was so crazy complicated I hired a CPA, I have stuck with it.

Grandpa also had an ingenious plan for simplifying taxes. Anytime, he was at town meeting with congressman or high-ranking public official, he asked this question.

"Congressman would you favor a law requiring all congressman, senators, and cabinet official to prepare their own tax returns?"

The question (I even tried it once) was always met by audience applause. The congress critter always would sheepishly admit that he didn't do his own taxes, and would concede that such a law would probably result in simpler tax code.

 

[d]

i've always done my own, and always thought everyone else should as well. it's important that the process of paying taxes be as painful as possible. (that was a serious comment.) and it's important that the taxpayer know exactly how one is being taxed. a couple of years ago i tried TurboTax ... and have been using it ever since. ya live 'n ya learn.

 

[anes]

I can't imagine not doing your own? I run three business, oil and gas lease, rental property plus a job and investments with Turbo Tax. Until I did my own I never fully understood the real costs of mortgages, charitable contributions or real investment returns.

 

[kjpliny]

I've always done my own...pretty simple return - 2 incomes, interest income, itemized deductions with property taxes, mortgage interest and a few charitable contributions. Can't see what a tax preparer can do for me at this point.

I see a lot of people making references to receipts. Other than receipts for education expenses, charitable contributions and maybe energy-related improvements, what does the tax guy do with them? I've never had to reference more than 6-8 receipts when doing my taxes. I know on the itemized deduction form you can choose either property taxes or sales taxes, but in NY the property taxes always win out and out-of-pocket medical expenses would have to be over $11k to start to count towards a write-off. What else are you guys (excluding those with businesses) saving receipts for?

 

[TromboneAl]

One reason I've decided to do my taxes next year is that I know I'll be able to get my questions answered on this forum.

 

[Helen]

Another Turbo Tax user here. I used to do them by hand and may go back to it. We just paid our house off last year so I don't know if I will be able to itemize.

The only year I used a CPA was the year I relocated to Oregon and my company paid for the tax preparations as part of the relocation expense.

I think it's important to understand taxes as much as necessary. But, I also have a pretty simple tax situation.

-helen

 

[scrinch]

I did my taxes by hand for 20 years, but when I moved overseas in '94 I had to turn them over to our corporate tax people due to foreign tax credits and all the tax complications of expat benefit programs. When I moved back to the US I had about $20K in foreign tax credits to carry forward, so I continued with a tax accountant until those were used up. I then went back to doing taxes myself using TaxAct. I screwed up on reporting non-qualified options, however, which led to some friendly letters back and forth with the IRS. So we are going back to our tax guy this year until our tax situation becomes simple again.

 

[deserat]

Been doing them by hand since I had to do taxes....and in complex situations (during divorce year, living overseas in the military with rental property in CA, living in separate states with spouse, selling stock, capital gains, many deductions/etc, joint federal return with separate state return (husband has different state of residence)

Why do I do it? I like to know what my government is up to - taxes are the way to see how they torture us for their projects

It is sporting to do Federal and then State income tax - CA has got to be the craziest I've ever done.

It is time consuming and one needs to do the research, however, after doing them now for 20+ years, I have a baseline from which I can compare. I just love the statements made on the forms about how long it would take to fill out the form - HA! I also love (not) all the different ways I can send my government more money to save all various kinds of endangered/minority/unfortunate animal, people, institutions (fillin the blank).

Will probably use Tax Cut this year - but will probably also do the back of the envelope pencil and paper version just to make sure - plus you have to prepare/gather all the information to fill in the blanks whether you do it yourself or type it into a program.

However, this is off topic, I also read all 192 pages of the voter guide for our elections here in CA before the election. So, I'm consistent - diligent about my responsibilities as a citizen....

 

[kcowan]

Have always done my own taxes using software. It keeps me in touch with the latest rules and impacts. The hard work is organizing the materials. Then simple data entry. Did two businesses. Now down to one business and personal returns for me, DW and MIL.