Is There a DIY Platform for Corporate Tax Returns Like TurboTax?

As a small business owner, you may wonder if you can manage your corporate tax return on your own, much like TurboTax simplifies personal tax returns. In this article, we will explore the available options and discuss the complexity of corporate tax returns, as well as the advantages and disadvantages of using DIY tax software versus hiring a professional.

Popular Options for Corporate Tax Returns

Currently, HR Block Premium and HR Block Business are two commonly used platforms for Small Corporation (S Corp) tax returns. These products have a user-friendly interface similar to personal tax software, and a lot of the information can carry over from the previous year, requiring only the addition of new numbers. Additionally, other tax software providers, such as TaxAct, offer solutions for corporate tax returns. However, the premier versions tend to be the most comprehensive, offering all the necessary forms and knowledge required for a business tax return.

Cost and Ease of Use

The cost and complexity of corporate tax returns cannot be understated. The TurboTax Business software, for instance, is priced at $159.00, while HR Block Premium and Business are priced around $79.00. These prices may seem steep if you are used to preparing simple tax returns like the free versions of TurboTax. However, corporate tax returns can get significantly more complex, with many deductions, credits, and regulations specific to businesses.

Most people opt for the services of a tax professional for complex returns. Even experienced individuals, such as those who use personal tax software regularly, might find it beneficial to consult with a professional to ensure compliance with all tax laws.

Do-It-Yourself vs. Professional Services

The decision to prepare your own corporate tax return is a significant one and one that requires careful consideration. While you can find software apps designed specifically for corporate tax returns, it is generally advisable to hire a professional. Here are a few reasons why:

Advanced knowledge and experience: Professionals are well-versed in the intricate tax laws and regulations applicable to corporate returns. Cost savings: Professional tax services can often be more cost-effective in the long run, given the potential risks and complications involved. Peace of mind: Knowing that your tax returns are done correctly can provide you with peace of mind, which is invaluable when it comes to your business's financial health.

It's important to note that there are no free options available that provide comprehensive corporate tax services. The IRS offers downloadable forms, but the process can be overwhelming for those who are not well-versed in tax law.

Additionally, the corporate tax return deadline for S corporations is March 15th, while for C corporations, it is April 15th. Missing these deadlines can result in penalties and additional costs.

Summary

In conclusion, while there are TurboTax-like platforms available for corporate tax returns, it is highly recommended to seek the expertise of a professional, such as a certified public accountant (CPA), to avoid potential errors and ensure compliance with tax regulations.

Conclusion

Ultimately, the choice between a DIY platform and a professional tax service depends on your level of comfort with tax laws, the complexity of your business, and the potential risks associated with tax preparation. If you are serious about getting your corporate tax return done correctly, consulting with a tax professional is the best course of action.