Hrblock Started Charging for State Returns Again

Preparing your tax return online with H&R Block is similar to sitting down with a tax preparer. The software walks you through the tax preparation and filing process with a series of interview-style questions.

As part of my review, I went through the process of preparing three sample returns. Here's how long it took me to get from start to filing for each one:

• Single taxpayer, no dependents, W-2 income and the student loan interest deduction: 23 minutes
• Married couple filing jointly, one dependent, two W-2s, Child Tax Credit and child and dependent care credit: 30 minutes
• Single taxpayer, no dependents, self-employment income, federal and state estimated tax payments: 30 minutes

I did run into one stumbling block while preparing the sample return for a married couple filing jointly. On the Alabama state return, the software doubled their income, showing they had $260,000 of taxable income rather than $130,000 and owed taxes and an underpayment penalty. After spending several minutes going back through the interview forms, I couldn't figure out how to fix the issue without deleting everything and starting over, so I gave up.

Such a problem could really derail an inexperienced DIYer and potentially even lead to significantly overpaying their tax return if they didn't understand what was going on and reach out to tech support (or pay extra to get on-demand help from an H&R Block tax pro).

Despite this issue, I found H&R Block's interface to be pretty user-friendly. A banner on the left-hand side of the screen keeps a running tally of the estimated federal and state refund or amount due throughout the process.

A banner on the left side of the screen keeps a running tally of the federal and state tax refund or balance due.

There are also plenty of FAQs sprinkled throughout, so if you aren't sure how to answer a question or why it matters, clicking the embedded link brings up a helpful tip on the right side of the screen.

Users can click the embedded links to get tips for answering on-screen questions.

If you get stuck along the way, you can click the "Get expert help" button in the top right-hand corner — just keep in mind that extra help will cost you.

You have two options:

• Online Assist. Get unlimited on-demand help from a tax pro via chat or video and the ability to screen share with a tax pro. Additional cost: $60.
• Online Assist + Tax Pro Review. Get all of the features included in Online Assist, plus the tax pro reviews, signs, and e-files your tax return after you approve it. Additional cost: $89.99.

Online Assist is only available Monday through Friday, 7am through 11pm Central, Saturday and Sunday, 9am through 9pm Central.

Compared to TurboTax, which subjects users to near-constant urging to upgrade to a more expensive package or purchase add-on features, H&R Block's upselling is relatively mild. If you try to add income or tax breaks not allowed by the version you're in, the software will prompt you to upgrade. And after the accuracy review portion of the Free Online filing, H&R Block offers a chance to upgrade to Plus for an additional fee, which would:

• Store tax documents digitally on H&R Block's servers for up to six years (otherwise, they're only available online until November)
• Provide live, unlimited tech support from a product specialist via chat or phone (product support specialists help with login and technical issues you might have while filing — they typically don't provide tax advice)
• Allow free e-filing of a 2021 amended return, if needed

You're also offered the chance to upgrade to have a tax pro review and sign your return for an additional fee before filing. Those were the only offers to upgrade I encountered while preparing the sample returns.

weatherlytheinder1989.blogspot.com

Source: https://www.forbes.com/advisor/taxes/hr-block-review/

Share this post