Tax Day is only a few weeks away, and millions of Americans are scrambling to file their tax returns. If you’re one of them, beware of hidden fees!
Even TurboTax, which simplifies the filing process for you, comes with unexpected fees that increase the cost of tax preparation. MarketWatch’s Alessandra Malito has more:
TurboTax users have complained on the review website Consumer Affairs that they racked up so many fees using TurboTax, their tax prep cost as much as it would have if they had used an accountant or other tax professional. One complaint, posted earlier this month, said the deluxe version he bought included one state return, but when he went to file he was charged an extra $39.99 for refund processing fees.
“If you put the purchase price and the hidden fee together, you may as well ask a pro to do your taxes for you for around $200 and not waste a Sunday afternoon,” he said. Another user pointed out that once you sign up for a paid product—like extra help with a tricky question on your return or itemizing your return even if you don’t need it—to your TurboTax account, you can’t opt out of it (unless you start the process over).
Numerous users have complained about being charged an additional $40 for taking the cost of the program out of their refund. “Practically every other page is an offer for an upgrade and is designed in such a way as to make you search around for the button that says ‘no I don’t want this,’” another user remarked.
Read the fine print before you click on any bonus features. They probably don’t come free.