Instead of keeping tax returns on just one computer, TurboTax Online allows you to enter and update financial information from any computer connected to the Internet. Before you start doing your taxes, however, it's important to choose the right version of this product.
TurboTax Online Basic Provides an EZ Solution
Taxpayers who don't have a lot of deductions should use TurboTax Online Basic to prepare their tax returns. The other versions contain features that you probably won't use, especially those who typically use Form 1040EZ.
TurboTax Online Deluxe Makes the Right Deductions
No matter how your taxes are prepared, you need to decide whether or not to itemize deductions or use the standard deduction allowed by law. Itemizing instead of taking the standard deduction can significantly increase your refund, especially for homeowners paying interest on a mortgage. TurboTax Online Deluxe also checks to see if you qualify for approximately 350 deductions, which makes this version the right choice for someone with lots of medical expenses or charitable contributions.
Invest in TurboTax Online Premier
Making a profit in the stock market is great, but calculating those capital gains or losses at tax time can become a headache. If you're a savvy investor, select TurboTax Online Premier, the version that calculates those gains and losses correctly. The Premier version also can help account for income from a rental property.
TurboTax Online Home & Business Works Well
It's good to be the boss, but not necessarily at tax time, which is where TurboTax Online Home & Business comes in handy. No matter if you own a small shop or earn income from a home-based business, this version of TurboTax will work for you. The Home & Business version also works well for those who receive income from freelance or consulting jobs where taxes are not taken out.
A Free Test Drive
If you're still not sure what version of TurboTax Online meets your particular tax situation, you can try out TurboTax Online software for free and pay only when you're happy and ready to electronically file your return.
