Tax Day | What Does It Mean
In this section, we’re going to go over taxes, tax day, and possible solutions to all your tax problems. We’re going to go into the more in-depth details of the matter later in the article. That is just skimming over the topic to bring awareness and understanding to the reader.
The only two things that are entirely certain of every single American citizen are death and taxes. And since we can’t know the exact date of our death, we can understand the precise time when we’re expected to pay all our taxes.
That day is Tax Day, which is always on the 15th of April. It’s not a national holiday, and all the critical infrastructure institutions operate on this date. It’s the date when you’re expected to file, present, and further, submit all your taxes for the previous fiscal years.
That means that you’re expected to fulfill all your civil duties on this date concerning taxes. But the issue with this is that not everyone is entirely aware of how to solve their tax issues. Taxes can be a genuinely confusing thing, and getting them in order can be a nightmare.
Especially if you’re running a business or have a complicated tax situation, this can be a real nightmare when tax day comes abroad. To put the whole ordeal into perspective, you have three possible solutions to your upcoming tax issues, which are:
Do Them Yourself
That is always the first option. While doing your taxes yourself unaided by any software or company might seem like the cheapest option from the bunch, the time and effort which is invested might not be worth it.
There is an abundance of different forms that you simply can’t afford to mismanage, and if you make a mistake, it could wind up costing you a hefty sum of money; if you manage to make a significant error, you could wind up facing some jail time.
Use a Tax Software
Since taxes aren’t the most straightforward thing around, people have devised different software that is purposefully designed to help people simplify their taxes. They’re relatively easy to use, but their use does require an investment.
This investment is smaller than hiring a designated tax company but still leaves some room for error. You want to be safe when you’re doing your taxes, and using tax software might not be the best thing you could do. But if you can’t afford to hire a professional tax company, this is still a far better option than doing your taxes yourself.
Hire a Company Like H&R Block
The option to hire a company to resolve all your tax requirements and civil duties entirely is the best around. If you want to sleep soundly at night knowing that all your tax needs are met, hiring a company like this is going to be the best thing you can do.
It comes with unmatched benefits compared to the previous two options but is by far the most expensive option on the list. If you can afford it, you definitely should invest in it. We’re going to get into the comparison between H&R Block and other options a little later in this article.
A Deeper Look Into Taxation, Tax Filing, and Tax Paying
In this section, we’re going to give a more detailed overview of what you should do when you’re offering and working with your taxes. Alternatively, we’re also going to go into H&R Block, the best option for working with your taxes.
What are the consequences of failing to file and pay your taxes on time?
The consequences of not paying or filing your taxes on time could be truly dire. If you fail to file and pay your taxes, you’re going to be subject to a couple of fines, and if you genuinely make a dire error, you could even face some jail time.
If you fail to file your taxes on time, you’re going to get a failure to file penalty, which is expressed monetarily. A failure to file penalty is going to be charged on your tax returns, which are submitted after Tax Day or their extended due date. The combined penalty is 5% of the total amount and rises by 5% every month until the issue is resolved.
This percentage rise caps out at 25%, meaning you have to pay your full tax dues plus 25% of the total amount.
If you do file your taxes on time, but fail to pay them, the consequences are much lesser. This penalty is also expressed monetarily, but instead of the 5%, the failure to pay the penalty is expressed in 0.5%. That also rises by 0.5% every month, again up to 25%.
It means that even if you choose not to pay your taxes on time or can’t afford to at the current moment, you should still do your best to file them. If you’ve provided all the effort you could, but yet have failed to file or pay your taxes on time, you could be eligible for the penalty relief program.
The penalties which are eligible for the penalty relief program are:
- Failure to file a tax return on time
- Failure to pay on time
- Failure to deposit individual taxes as required
The reasons when penalty relief is applicable are as follows.
- Reasonable Cause
- Administrative Waiver and First Time Penalty Abatement
- Statutory Exception
If you’re looking to appeal your penalty, you should report it with the IRS online penalty appeal tool. The answer to your appeal should arrive either by conventional mail or email, both in a relatively timely manner.
The Outdated Way Most Americans Do Their Taxes
Filing your taxes on time is essential if you want to avoid the nasty penalties that are associated with it. Most Americans opt for the DIY method, meaning that they handle their taxation needs.
Paying and filing your taxes is your very own civil duty, but sadly we’re not provided with the guarantee that we’re able to file and pay our taxes properly. It is the main reason why quite a lot of Americans find their penalty relief appeal denied.
Taxes aren’t the most straightforward thing in the world, and with the various forms, subheadings, and complicated personal taxation situations, most opt to use the services of tax software.
Tax software is a software purposefully designed to relieve quite a lot of the strain that is put on a civilian when attempting to file their taxes. It’s going to handle most of our taxation needs and work alongside you to file and pay everything in an orderly manner.
One of the most popular, if not the most popular overall, tax software options on the market is TurboTax. TurboTax has existed for quite a while and continues to provide many Americans with an easy way to solve their tax problems.
Now, this doesn’t make TurboTax a perfect tool, as it suffers from many errors. Many users have reported that while TurboTax works to help them file and pay their taxes, it still has room for error.
Not to mention that the services of TurboTax aren’t cheap at all. This software is still a useful tool but is only good at cutting down on time spent filing taxes. It does absolutely nothing to ensure it’s users in the eyes of the IRS, and guarantee a proper and successful tax filing process.
To make sure we’re objective, we’re going to provide the full list of pros and cons associated with TurboTax.
- Good for saving time
- Good for small businesses
- Works for simple tax situations
- Helps maximize your federal refund
- Outright expensive
- Non-ideal for larger companies
- Bad for complicated tax situations
- A lot of error potential
- Doesn’t differ much from free IRS forms
The Safest Way To Do Your Taxes
Since doing your taxes via a taxation software is indeed a little bit outdated and extremely difficult or anyone with a remotely complicated tax situation, what are people like this to do? Well, the solution lies within hiring a designated company to sort out your taxes.
Perhaps you’re not running a multi-million corporation that has an innumerable amount of workers, all contributing to the overall tax filing, paying, and returns, but you can still benefit from soliciting the services of a professional company to resolve all your taxes.
Remember, there are nasty penalties if you fail to file or pay your taxes, and even if you do manage to do these things, the penalties are still abundant if you make an error. While using a service like TurboTax is going to cut down on the time that is needed to file your taxes, it does virtually nothing to hinder you from making an error.
The error can cost quite a lot of money and can wind up running your tax returns. If you’re running a more massive corporation or even a smaller one, your tax situation is that much more complex; meaning that it’s best left to professional companies.
One such professional company is the H&R Block, which is renowned as one of the best tax companies around. When you’re using a company like this – you can rest assured with the knowledge that all your tax needs are met.
Taxation and filing your taxes is your civil duty, and you should always do your best to perform. To make sure we’re objective, we’re going to provide the full list of pros and cons associated with a company like H&R Block.
- Requires only submitting your information
- Ideal for civilians, and any size business owners
- No room for error
- Quick and simple resolving
- Decently priced
- The fastest way to solve your taxes
- Ideal for complicated tax situations
- Maximizes all returns and refunds
- Maximum return guarantee
- Supreme customer service
- Low-cost plans
- Extremely cost-effective
- Unaffordable for some (or presumed as such)
Compared to utilizing the services of any tax software, hiring a company to do it for you is going to save you a lot of time, absolutely maximize all your returns, and leave no room for error.
Three Reasons to Make the Switch to H&R Block from TurboTax
In this section of the text, we’re going to discuss why 2020 is the year to make the switch from tax software to H&R Block, and all the benefits you can expect when making the switch.
The situation is as clear as day, but for those who require further convincing, we’ve decided to compile a list of three most important reasons why you should solicit the services of H&R Block.
1. It’s Arguably Cheaper
Perhaps the biggest reason why everyone is still doing their taxes themselves or with the aid of a taxation software like TurboTax is the price. In the past, soliciting the services of a designated company to help you solve all your tax needs was immensely expensive.
But, the H&R Block is by far one of the cheapest tax companies around. Not only does it offer competitive pricing compared to its colleagues, if you compare it to TurboTax, it still reigns supreme. The issue that TurboTax and other similar software is the sheer fact that it’s virtually useless in its free state.
To get the most out of software like this is to pay for their deluxe version – which is everything but not cheap. And even with ti’s prohibitive price tag, it still leaves room for error.
H&R offers payment plans and different price tags associated with varying levels of service. You’re not going to be paying a big corporation price as an individual, so you don’t have to worry about it. H&R Block is very affordable for everyone looking to solve their taxes, and leave absolutely no room for error.
2. The Service Is Far Better
Proper software has helped humanity through some tough times, and with AI on the doorstep, it’s only a matter of time before most industries are entirely virtualized. We’re not there yet, and taxation software is going to do nothing in comparison to real humans.
H&R Block is staffed with accountants and industry-grade professionals who are there to solve any taxation needs you have, no matter how complex, advanced, and entangled. The service is immensely better compared to software.
The only thing that this company requires you to do is to submit all your information ─ which you can do either electronically; or by sending a letter to the HQ. That doesn’t cut down on time spent doing your taxes; it eliminates it.
While with software, you’re still expected to submit various forms of information, double-check anything, and do some calculations. With H&R Block, all you need to do is provide all your info and rest assured you’re in for an error-free taxation experience.
Customer support is also on par with the rest of these prestigious company’s services, and any question you may have is going to be answered within minutes. H&R Block has a maximum return guarantee, meaning that if you manage to get a better return yourself, you’re entitled to a refund. It doesn’t get much better than this.
3. H&R Block Tax Pro Go
Are you looking for an even more hands-free approach to your taxes? You’re going to love the H&R Block Tax Pro Go. This service comes with flexible pricing, meaning that there is an option for every single individual willing to give it a shot.
It entails that you pick your option, upload your documents, and leave everything else to a tax professional. These professionals are all industry veterans, meaning that everything is going to be handled in a professional and timely manner.
Since every tax situation is unique, you’re going to be matched with a person who is going to approach your taxes uniquely. That will maximize any possible returns, meaning that you’re going to be taken care of.
The Final Word
The situation is upcoming, and with the 15th of April coming, it’s essential to get all your taxes in order. The best way to get your taxes in order is to use the services of a company like H&R Block. Don’t play around with your taxes – hire the best tax company today! Get TurboTax, or go with H&R Block.