EmailBest Reviewed
Tax Preparation Services
- Best storefront tax preparation service H&R Block *Est. $190
- Free, in-person tax help IRS Volunteer Income Tax Assistance (VITA) *Est. $0
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- Free preparation of federal tax returns
- Free e-filing
- Choice of online tax preparation software
- 2009 adjusted gross income must be $57,000 or less
- State filing may cost extra
- Best for basic returns and schedules
The IRS Free File Program uses software from third-party vendors like TurboTax, and is available via the IRS website. It includes free e-filing, and is free for all taxpayers whose 2009 adjusted gross income is $57,000 or less. Note, however, that the Free File Program is far from your only option when it comes to free online tax prep. In our update on tax preparation software, we note that most of the big software companies now offer some kind of free version. Preparation of state taxes isn't always free, however, and not everyone is comfortable preparing their taxes online. If you'd rather get help in person, the IRS also offers it through the Volunteer Income Tax Assistance (VITA) program at sites throughout the U.S. and serves those who meet Earned Income Tax Credit eligibility requirements. For example, if you are a single parent with two children and you earned less than $40,295 in 2009, you generally qualify. If you're 60 or over and meet the income requirement, you have another option: the AARP Tax Aide program, available in person or by phone.
About.com is the best source we found for information regarding the IRS Free File Program. We also found some older informational articles about using the Free File Program at PCMag.com and PrimeTimeMoney.com.
Our Sources
1. About.com
Fnancial software guide Shelley Elmblad explains the Free File Program, including this year's two options, Traditional Free File (a vendor's software walks you through the process of completing your tax return) and Free File Fillable Forms (you fill in your tax return forms online without software to assist your, though the program does do the math). Elmblad also reports that companies like H&R Block, Jackson Hewitt and Liberty Tax Service now offer free online tax software for basic federal tax returns, without income restrictions. Note: ConsumerSearch is owned by About.com, but the two don't share an editorial affiliation.
Review: What is Free File, and How Do I Get Free Tax Software?, Shelley Elmblad, Jan. 15, 2010
2. About.com
About.com's tax planning guide reviews the free online tax software offered through the IRS's Free File program. According to guide William Perez, "These tax prep programs were thoroughly tested using the following criteria: Cost, Ease of Use, Speed, and Accuracy." Note: ConsumerSearch is owned by About.com, but the two don't share an editorial affiliation.
Review: Top Ten Free Tax Preparation Programs, William Perez
In this roundup of tax software, Kathy Yakal makes the argument for using the government's Free File Program. Also included are reviews of the commercial software that's been adapted for the Free File Program.
Review: The Top Tools For Tax Season, Kathy Yakal, April 2009
This blog post provides details of the Free File Program, along with a workaround for those with higher incomes to avoid paying the e-file fee for those with incomes higher than the program's limit.
Review: Tuesday Tax Tip: Use IRS Free File to e-File for Free (Even with a High Income), Jan. 20, 2009
Tax Preparation Services Runners Up:
1 pick including: ConsumerAffairs.com, SmartMoney.com…
