Are there additional costs with using TurboTax after purchasing software?
My sister-in-law did her taxes with the TurboTax software and said they kept 10% of her $3,000 refund for fees, which meant she paid $300. What was this for?
Is TurboTax really cheaper in the end than going somewhere like JacksonHewitt or HR Block? I've been told by someone that it cost them $233.00 to file through JH, which I understand you pay based on the complexity of the filing.
I just want to know the cheapest, most user-friendly way to file!
- Anonymous1 decade agoFavorite Answer
No. The only additional cost is the fee to efile which is $15.95 and I believe they charge a nominal fee (a couple of dollars) if you want the $15.95 to be taken directly out of your refund. They may have offered her a "fast refund" which is essentially a loan. They basically give her the money right away and then collect the refund themselves. Nobody should do this. It only takes 2 weeks to get your refund directly from the IRS if you efile and companies charge way too much for these rapid refund scams.
TurboTax is definitely cheaper than paying a professional. I would look into Tax Cut as well. That is the tax product H&R Block puts out and they have free advice if you need it.
- 1 decade ago
Hmm--I use Turbo Tax and I have never heard of a 10% fee using the software. The only additional fee is if you choose to e-file and it's 14.95 for state and federal (so 30 for both). If you snail mail there's no additional cost.
Turbo Tax is cheaper than JH or HRB but it could cost you money if you don't know how to use it. I love it and if your taxes are simple than I would recommend it highly.
If you made less than 52000 last year you are eligible to do a free e-file return (which including the software online to do your taxes like TurboTax) via the www.irs.gov website. There are catches (you might have to pay for state efile) etc . . .