I am not advocating for either method of filing your taxes but everyone who files their own taxes should be aware of the information contained in the above referenced article.
Although I’m concerned that the next Bernie Madoff will use AI to steal everything from bank accounts to real estate titles, I use 100% software and online tax returns, filing and payments. As a society, we must continue to stive for better protection of our assets. And on the other hand, I don’t use any social media, except for responding to these wonderful HD articles. My interesting experience is using CPAs. In the 90’s I was a limited partner in an LLC so I used a CPA firm to handle my tax returns (on paper, that I signed and mailed). But almost every year I got that dreaded letter from the IRS describing an error in my return and stating that I owed hundreds more dollars, including penalties. Each year, the CPA sent me a booklet and requested that I fill it out and gather the tons of documents and receipts needed for them to prepare my returns. Long-story-short, I started using TurboTax about 15 years ago with e-file and e-payment, and I spend less time than it took to gather the documents, and I’ve never received another letter from the IRS (knock on wood!).
“As a society, we must continue to strive for better protection of our assets”.
I’ve long said that until the Federal courts start doling out significant jail time to corporate executives for data breaches rather than fines nothing will change. When companies are fined the executives don’t pay the price, it’s the investors. The executives get off scott free.
Patrick, I’m glad you discovered a more satisfying method of preparing and filling your tax returns. My own interest in self preparation began when I noticed errors our tax preparer made.
Someone once said, nobody is going to care about your money the way you do.
A couple years ago, I was obligated to file my federal taxes on paper. Because my company had its pension plan turned over to the PBGC, I was eligible for the Health Coverage Tax Credit (partially refunded health insurance premiums between separation and Medicare) for one year. Unfortunately, the HCTC wasn’t renewed in successive years so I got to pay in full myself in subsequent years. But that one year the form for HCTC credit was only on paper. It also required documentation of each and every premium payment and proof that the health insurance plan was eligible for the HCTC (more pages).
Also, we had an optional part of the pension program which I paid into with after-tax dollars. So, a portion of my PBGC payment is free from tax, but requires a (paper only) worksheet. A small part of my (greatly reduced) pension is tax-free until 2050. Therefore, money I started contributing in 1984 will have earned 0% interest, but be tax-free.
My paper federal taxes were nearly an inch thick that year.
Although I’m concerned that the next Bernie Madoff will use AI to steal everything from bank accounts to real estate titles, I use 100% software and online tax returns, filing and payments. As a society, we must continue to stive for better protection of our assets.
And on the other hand, I don’t use any social media, except for responding to these wonderful HD articles.
My interesting experience is using CPAs. In the 90’s I was a limited partner in an LLC so I used a CPA firm to handle my tax returns (on paper, that I signed and mailed). But almost every year I got that dreaded letter from the IRS describing an error in my return and stating that I owed hundreds more dollars, including penalties.
Each year, the CPA sent me a booklet and requested that I fill it out and gather the tons of documents and receipts needed for them to prepare my returns. Long-story-short, I started using TurboTax about 15 years ago with e-file and e-payment, and I spend less time than it took to gather the documents, and I’ve never received another letter from the IRS (knock on wood!).
“As a society, we must continue to strive for better protection of our assets”.
I’ve long said that until the Federal courts start doling out significant jail time to corporate executives for data breaches rather than fines nothing will change. When companies are fined the executives don’t pay the price, it’s the investors. The executives get off scott free.
Patrick, I’m glad you discovered a more satisfying method of preparing and filling your tax returns. My own interest in self preparation began when I noticed errors our tax preparer made.
Someone once said, nobody is going to care about your money the way you do.
Thanks for your comments.
A couple years ago, I was obligated to file my federal taxes on paper. Because my company had its pension plan turned over to the PBGC, I was eligible for the Health Coverage Tax Credit (partially refunded health insurance premiums between separation and Medicare) for one year. Unfortunately, the HCTC wasn’t renewed in successive years so I got to pay in full myself in subsequent years. But that one year the form for HCTC credit was only on paper. It also required documentation of each and every premium payment and proof that the health insurance plan was eligible for the HCTC (more pages).
Also, we had an optional part of the pension program which I paid into with after-tax dollars. So, a portion of my PBGC payment is free from tax, but requires a (paper only) worksheet. A small part of my (greatly reduced) pension is tax-free until 2050. Therefore, money I started contributing in 1984 will have earned 0% interest, but be tax-free.
My paper federal taxes were nearly an inch thick that year.