How to Compare TaxCut Premium & Basic

TaxCut is a computer program designed to let users complete their own federal and state income taxes. Two of the available versions of TaxCut are Basic and Premium. The Basic program is designed for people who earn wages that are already taxed throughout the year. The Premium version, formerly called Federal, is designed for the self employed and rental property owners. Compare the features of each to find the program that is right for you.

Instructions

1. Compare the prices of the TaxCut software. As of May 2011, TaxCut Basic retails for $29.95, and the Premium version costs $74.95. Both versions include five free federal eFiles, which allow you to file your taxes electronically without paying a fee.

2. Check the forms available to file with each TaxCut program. For example, the Basic version allows you to fill out an IRS 1040 or 1040EZ form. These forms are for people with basic returns, such as those individuals having just one W-2. The Premium version includes the option of filing a 1040 Schedule C, which is required for those who own a business, have investments or have business-related losses.

3. Examine the supplementary features in each version of TaxCut. TaxCut Basic allows you to fill out your 1040 or 1040EZ form and perform an automated check for errors. The Premium version includes those features as well, but also offers information on recent updates in tax laws, access to income tax calculators and live assistance from a TaxCut professional.

Tips & Warnings

• Other versions of TaxCut include Deluxe and Premium and Business.

References

• HR Block: H&R Block At Home Tax Software