How much does it cost to have your taxes done?
I am a college student and it is my first time doin them.
Answer: I charge a mode of $1,500 per client and an average of $3,000. Some of my clients pay as much as $45,000. You can get them done for as cheap as $30 online. H&R Block charges an average fee of approx $100 or so. The difference in cost is down to service and experience. The more complicated your case, the more you want a big gun to knock down the IRS. The simpler the case, the cheaper you should go.
In your case, I'd opt for rock bottom prices (unless you've got a trust fund that needs protecting). Are you the one doing the taxes, or do you want to pay someone to have them prepared?
The cost should be directly related to how difficult the return is to prepare. A simple 1040 with a W-2, a couple of 1099s, and a basic Schedule A with a state return should be no more than $100 - $150. Taxes are pretty simple to do. The forms are self explanatory especially if you are not using any deductions. They also come with instructions. You will get a form from the IRS that will allow you to use your telephone to call in your numbers, too and they will figure out the
taxes for you.
If you waste your money on some tax service place you will be charged an awful lot of money (over $50). You can buy software that can figure out your taxes, too for about the same price. But if you are a student, working, and no one else can claim you on their taxes (like your parents) then it is a simple procedure to do your taxes yourself.
You will need to find out from your parents if they are planning on using you as a tax exemption first. If they are, then you won't be able to claim your own personal tax exemption, but you can still file your taxes. Just do them on-line for free, visit:The software guides you through and asks all the questions. ) If you are low to moderate income, you can get your taxes done free through the VITA or TCE programs. Go to irs.gov website and put "VITA" in the search box to find a location near you. If you have income from work or investments then the cost of having a return done is proportional to the amount of work being done. If you have only a W-2 it will most likely be less than a hundred dollars to have it done.
- Related Questions and Answers: