Hello, it's my first time filing taxes without the help of my parents, so I'm looking at online tax programs and don't know which to choose. H and R has a program for federal and if you have to file state, but doesn't tell me why I may or may not file state. How do I know? Also, I bought a car in and have investments in my name and a bank account all linked to another state than where I live and work, will I have to file state taxes in both states? Should I just go to a professional? How much does that typically cost? Thanks for any help!
2007-03-17 09:00:53 · 5 answers · asked by graybear 4 in Business & Finance ➔ Taxes ➔ United States
If you have no idea what you're doing, which it sounds like you don't, then you should really just go to a professional. I'm not sure how much H&R Block charges, maybe $100-$150 for a simple little return, but you may also be able to "make" the money back because they might know of some credits/deductions that you don't know about.
Just gather up all your information and take it in to them and be sure to ask how much they charge first. You might even want to call a few places first and just go to the cheapest respectable company. Don't let just anyone do it because you're ultimately responsible for what you file with the IRS.
2007-03-17 09:06:49 · answer #1 · answered by k_hart100 3 · 0⤊ 0⤋
You might have to file two state returns if both of these states have a state income tax - most states do, a few of them don't, which is why some people don't file state. If you live and work in the same state, you'll very likely just have to file a state return in that state.
It might be a good idea for you to get professional help on your taxes this year - then next year you could probably do them yourself, using this year's for a model.
If your income is under about $40,000 for the year, find a VITA or TCE site near you - they'll prepare your taxes at no charge. You can find info on these programs at irs.gov - type "VITA" into the search box. TCE sites are not limited to people over 60.
H&R Block would probably cost a couple hundred dollars, and a CPA around the same or a little more.
2007-03-17 16:49:12 · answer #2 · answered by Judy 7 · 1⤊ 0⤋
Turbo Tax is an excellent software for the beginner doing their own taxes for the first time. You but the federal version and can download the state version from there. It is a very easy program to use. The cost is about $20 for the basic, $50 for premier (premier has more forms, free state version, and you can also get a rebate for the electronic filing fee).
2007-03-17 16:27:18 · answer #3 · answered by Brian G 6 · 0⤊ 0⤋
I'd listen to Judy, that's great advice. The sites she mentioned have people that will answer all your tax questions and will file your state and federal returns free of charge.
You pay tax to the state you live in and if you work out of state, work in one state and live in another, you may need to file a non-resident return to pay tax to the state you worked in.
The TCE or VITA folks can help with all this..
2007-03-17 18:15:13 · answer #4 · answered by Jo Blo 6 · 0⤊ 0⤋
COST WILL DEPEND ON WHAT FORMS U'RE FILING. YET I'M ASUMING U'RE SINGLE AND MADE LESS THAN 25,000 LAST YEAR.IF U WANT TO PUT DOWN U'RE CAR THE EXPENSES HAVE TO BE MORE THAN 5,150 FOR SINGLES, 10,300 IF MARRIED OR 7,550 IF HEAD OF HOUSEHOLD TO FILE SCHEDULE A (IN INTEREST PAYED FOR CAR)IN OTHER WORDS IF U MADE LESS THAN 25,000 JUST GO GET THEN DONE BY ANY BIG OR SMALL PREPARER AND THEY SHOULD CHARGE U ANYWHERE FROM 30-60 DOLLARS BY THE MOST,OR JUST BUY TURBO TAX AND DO THEN U'RE SELF SINCE IT IS SIMPLE.
2007-03-17 18:57:32 · answer #5 · answered by where tha bud @ 1 · 0⤊ 1⤋