Low Prices

Many services will offer a great rate but then will tack on different fees at the end. Make sure you review their fee schedule before you begin filing your return. This will save you a lot of time and money. Take advantage of the free preparation service that TurboTax online is offering for 1040EZ and simple returns. If you choose to itemize you can file your federal return for as low as $29.95 with free e-filing. If you are a business owner then you can file your return for $74.95 with free e-filing.

Online Security

This is very important when you are completing your return as you will be entering very personal information that you will want to make sure is secure. Make sure your online preparation service offers a security guarantee. TurboTax online stores all of your information on a firewall-protected service. Your information can only be accessed by using your user name and password.

Audit protection

This should normally be a free service that online preparation companies offer you. Beware if they do not offer audit protection. They should check your return for errors and allow you to review all of your information before filing your return.

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3. State Income Tax Preparation