YOUR AFFORDABLE SOLUTION FOR. Tax Software
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1 YOUR AFFORDABLE SOLUTION FOR Tax Software
2 Table of Contents Table of Contents Press Release 3 Online Products 5 Download/CD Products 8 Business Products 11 The TaxACT Story 13 Note from the President 18 Contact Us 19 About TaxACT TaxACT has been a complete web-based tax resource for more than a decade. Our focus is on making tax preparation easy, fast, reliable and most importantly, affordable. TaxACT Standard was the first free federal electronic tax preparation program and the first to offer free printing and e-filing services to all American taxpayers. This focus has made TaxACT the #2 destination for online tax preparation 1. About 2nd Story Software, Inc. 2nd Story Software, a privately held company founded in 1998, is critically acclaimed as being a leader in developing and marketing affordable tax preparation software and webbased services directly to consumers. The comprehensive suite of TaxACT products continues to empower its users to devise well-informed tax strategies with ease. TaxACT News Room For the latest TaxACT news, press releases, images, logos, videos and more please visit our news room at 1 According to collective week end reports for the website released by Hitwise during the 2005, 2006 and 2007 tax seasons. 2 TaxACT 2008 Press Kit Press Release TaxACT 2008 Taxes Done Right TaxACT Standard & Deluxe, the best value for your biggest refund. Cedar Rapids, IA January 8, nd Story Software Inc., developer of TaxACT, announces the release of TaxACT Standard & Deluxe for the 2008 tax year. TaxACT pioneered free Federal tax preparation software to all taxpayers over a decade ago and continues to be a value leader in tax preparation software. Taxpayers using TaxACT can prepare, print and e-file their Federal tax return for free starting today and if they opt for e-filing with direct deposit can have their return in as few as 8 days 1. TaxACT was created around the belief that no one should have to pay to prepare their federal taxes, and that philosophy is what keeps TaxACT at the forefront of the tax preparation software industry. Our focus for this season was to create a better user experience for our customers. We ve worked hard to simplify the program s interface and navigation, says Lance Dunn, CPA and President of 2nd Story Software, Inc. We ve also made valuable additions to TaxACT Deluxe, such as the new Donation Assistant. This tool helps our users track their charitable contributions and provides fair market values for nearly 700 items based on their condition. Donation Assistant is just one more way that TaxACT can help its users get their maximum refund. Given the current state of the economy, we want our customers to know they re getting the biggest refund possible, and our Maximum Refund Pledge 2 shows that we fully stand behind our products. TaxACT 2008 Standard TaxACT Standard is a fully featured tax preparation product that provides support for 1040EZ, 1040A and long form 1 In general, the IRS estimates that it will take 8-15 days for taxpayers who efile their return and direct deposit to receive their federal tax refund from an accepted tax return. IRS processing delays may occur, delaying receipt of the taxpayers refund. The IRS begins accepting e-filed returns on Jan. 16th 2 If you get a larger refund or smaller tax due from another tax preparation method with the same data, we will refund the applicable product price you paid for your TaxACT Deluxe federal return. TaxACT Standard customers are entitled to a payment of $4.95. Refund claims must be made in writing within sixty (60) days of your TaxACT filing date. 3
3 Online Products 1040 returns and supports over 80 tax forms and schedules (including Schedule C for small business owners). TaxACT users have the added assurance that TaxPayer Support is available via to all of its users without limits on the number of sessions or questions. No other leading tax software package provides unlimited tax help to its customers at no additional cost. TaxACT 2008 Deluxe TaxACT Deluxe gives customers access to more one-onone support and several features that provide additional guidance. Some features available to Deluxe users include: NEW! Donation Assistant Turn your charitable contributions into big tax savings. Donation Assistant let s you accurately track your donations and provides you with certified resale values for nearly 700 commonly donated items, eliminating the guesswork and putting more cash in your wallet. NEW! Maximum Refund Pledge If you get a larger refund or smaller tax due from another tax preparation method using the same data, we will refund the applicable product price you paid for your TaxACT Deluxe federal return. Unlimited Phone Support No matter how complicated your tax question is, our dedicated TaxPayer Support team will work with you to get it resolved. No time limits, no fees; just a trained expert helping you get the information you need. TaxACT Online products are online applications. There is no software to download or install on your computer. Simply create an account and prepare your taxes from any computer with Internet access. TaxACT Online Standard... Free Prepare, print and e-file your Federal return FREE! TaxACT Online Standard supports 1040, 1040A and 1040EZ returns. New! TaxACT Examiner Series Boost your tax savings with TaxACT Credit, Deduction, and Income Examiners. New! TaxACT Maximum Refund Pledge If you get a larger refund or smaller tax due from another tax preparation method, TaxACT entitles you to a refund or payment. Full disclosure available at New! Walk-through Videos Transitional videos explain each step in the TaxACT preparation process, letting you know what to expect next. Enhanced! Help Center IRS form instructions and answers to the most commonly asked questions are available in every step. Easy Interview Process TaxACT s interview asks you simple questions and fills out the appropriate tax forms for you. TaxACT TaxPayer Support Our highly qualified tax specialists are available via to guide you through complex tax situations. 100% Accuracy Guaranteed If you are assessed a penalty due to a calculation error in TaxACT, we ll pay the penalty & interest. Free Federal E-file Get your refund in as few as 8 days with e-file & direct deposit, included with TaxACT Online Standard. TaxACT Alerts TaxACT Alerts warn you of errors, omissions and tax saving opportunities you may have missed. 4 TaxACT 2008 Press Kit 5
4 TaxACT Online Deluxe... $9.95 Includes all the great features of TaxACT Standard plus extensive tax calculators, extra tax help and more. New! Donation Assistant Accurately tracks your non-cash donations and provides certified resale values for commonly donated items. Stated values are backed by a 100% audit guarantee. TaxACT Data Import Imports essential tax data from last year s TaxACT return, which may be needed to e-file this year s return. TaxACT Life Events Determine tax implications for changes that may have occurred in your life during the past year. TaxTutor Guidance Explains complex tax laws, pitfalls to avoid, recent tax law changes, filing tips and year-end tax strategies. TaxACT TaxPayer Support Tax specialists are available to guide you through complex tax situations. Unlimited phone and support. Federal Student Aid (FAFSA) Worksheet Your tax data auto transfers to the FAFSA worksheet to make completing the FAFSA form easy. Joint vs. Separate Report Determine your tax obligations if you were to file married filing jointly vs. married filing separately. National Average Comparisons Compare your taxes to the average U.S. citizen to identify potential hot spots that may make the IRS take notice. Capital Gain Summary Lists a description of stock & asset sales so you can quickly compare & reconcile with your brokerage statement. Depreciation/Disposal Summaries Provides a set of reports for current and future years that makes it easy to review all of your assets in one list. TaxWatch 2009 Customize a plan to help lower next year s tax burden. TaxACT Online State... $13.95 TaxACT Online State is not a standalone application, TaxACT Online Standard or Deluxe is required in order to complete your state return. If purchased with Deluxe the first state edition is $7.00, each additional state edition is $ Enhanced! Part-Year and Non-Resident forms If you lived in more than one state this year, or worked in one state but lived in another, you may need to file a partyear or non-resident return. TaxACT now supports all partyear and non-resident states. Each state sold separately. Complete your state return in minutes. All of your federal tax information automatically transfers to your state return. Just answer a few state specific questions and you re ready to file. Available for: All states that assess state income taxes. For a list of income taxing states visit Free State E-file Get your state refund even faster with e-file, included with TaxACT Online State. E-filing is available for all income taxing states that support e-filing. For a list of these states please visit TaxACT Online Ultimate Bundle... $16.95 Complete Federal and State taxes with one value-priced bundle and save money. Includes: TaxACT Online Deluxe TaxACT Online State (your choice of one state) One free Federal e-file One free State e-file Additional state editions $13.95 each. 6 TaxACT 2008 Press Kit 7
5 Download/CD Products TaxACT Download/CD products are software applications that need to be to installed on Windows 98 or above and can be purchased at A $5.95 shipping and handling fee applies to all CD orders. TaxACT Standard... Free Prepare, print and e-file federal taxes for FREE! TaxACT Standard supports 1040, 1040A and 1040EZ returns. New! TaxACT Examiner Series Boost your tax savings with TaxACT Credit, Deduction, and Income Examiners. New! TaxACT Maximum Refund Pledge If you get a larger refund or smaller tax due from another tax preparation method, TaxACT entitles you to a refund or payment. Full disclosure available at New! Walk-through Videos Transitional videos explain each step in the TaxACT preparation process, letting you know what to expect next. Free Federal E-file Get your refund in as few as 8 days with e-file and direct deposit. Enter Tax Information With Ease Enter your tax data directly on the tax forms, or answer the interview questions & the tax forms will be filled out for you. TaxACT TaxPayer Support Our highly qualified tax specialists are available via to guide you through complex tax situations. 100% Accuracy Guaranteed If you are assessed a penalty due to a calculation error in TaxACT, we ll pay the penalty & interest. Help Center IRS form instructions and access to our extensive help topic database are available every step of the way. TaxACT Alerts TaxACT Alerts warn you of errors, omissions and tax saving opportunities you may have missed. TaxACT Deluxe... $12.95 Includes all the great features of TaxACT Standard plus extensive tax calculators, extra tax help and more. New! Donation Assistant Accurately tracks your non-cash donations and provides certified resale values for commonly donated items. Stated values are backed by a 100% audit guarantee. Prepare returns for your family & friends TaxACT Deluxe allows you to prepare and print multiple federal income tax returns at no additional cost. Includes one free federal e-file, additional returns may be e-filed for $7.95 each. The IRS limits you to five e-filed returns. TaxACT Data Import Imports essential tax data from last year s TaxACT return, which may be needed to e-file this year s return. TaxACT Life Events Determine tax implications for changes that may have occurred in your life during the past year. TaxTutor Guidance Explains complex tax laws, pitfalls to avoid, recent tax law changes, filing tips and year-end tax strategies. TaxACT TaxPayer Support Tax specialists are available to guide you through complex tax situations. Unlimited phone and support. Federal Student Aid (FAFSA) Worksheet Your tax data auto transfers to the FAFSA worksheet to make completing the FAFSA form easy. Income Tax Calculators & Reports Take control of your taxes with joint vs. separate and national average comparisons; along with depreciation, disposal and capital gains summaries. TaxWatch 2009 Customize a plan to help lower next year s tax burden. 8 TaxACT 2008 Press Kit 9
6 Business Products TaxACT State... $13.95 TaxACT State is not a standalone application, TaxACT Standard or Deluxe is required in order to complete your state return. If purchased with Deluxe the first state edition is $7.00, each additional state edition is $ Enhanced! Part-Year and Non-Resident forms If you lived in more than one state this year, or worked in one state but lived in another, you may need to file a partyear or non-resident return. TaxACT now supports all partyear and non-resident states. Each state sold separately. Complete your state return in minutes. All of your federal tax information automatically transfers to your state return. Just answer a few state specific questions and you re ready to file. Available for: All states that assess state income taxes. For a list of income taxing states visit State E-file E-file one state return for $7.95 and get your state refund even faster. E-filing is available for all income taxing states that support e-filing. For a list of these states please visit TaxACT All-States $51.80 Need multiple states? The 1040 All-States package includes all 43 states that assess state income taxes. TaxACT Ultimate Bundle... $19.95 Purchase your Federal and State software together and save over 25%. Includes: TaxACT Deluxe TaxACT State (your choice of one state) One free Federal e-file TaxACT Business products are software applications that need to be to installed on Windows 98 or above and can be downloaded or ordered at A $5.95 shipping and handling fee applies to all CD orders. Business 1065, 1120 or 1120S... $29.95 ea. Uniquely suited to prepare one Federal business return. Partnership returns use Form 1065, C Corporations use Form 1120, and S Corporations use Form 1120S. Easy Interview Process TaxACT s interview asks you simple questions and fills out the appropriate tax forms for you. Automatic Partner/Shareholder Allocations All 1065 and 1120S Schedule K-1 items are automatically allocated and updated as business incomes, deductions and credits change. Depreciation/Disposal Summaries Provides a set of reports for current and future years that makes it easy to review all of your assets in one list. Loan and Savings Calculators Calculate loan payments or the future value of savings deposits, then print amortization & accumulation schedules. Password Protection Keep your data safe from others who may have access to your computer. TaxACT Alerts TaxACT Alerts warn you of errors, omissions and tax saving opportunities you may have missed. Multiple occurrences of supporting forms TaxACT allows you to enter multiple copies of supporting forms. If you had several rental properties during the year, it s no problem for TaxACT! Additional state software $13.95 each. 10 TaxACT 2008 Press Kit 11
7 The TaxACT Story State 1065, 1120 or 1120S...$13.95 ea. State Editions are not standalone applications, the corresponding TaxACT Business Edition is required in order to complete your state return. Complete your state return in minutes. All of your federal tax information automatically transfers to your state return. Just answer a few state specific questions and you re ready to file and 1120S Editions available for: Arizona, California, Florida, Georgia, Iowa, Illinois, Indiana, Minnesota, Missouri, New York, Pennsylvania, South Carolina, & Wisconsin. Each state sold separately Editions available for: California, Florida, New York, Pennsylvania, South Carolina, & Wisconsin. Each state sold separately. All-States 1065, 1120 or 1120S...$51.80 ea. Need more than one state? Purchase one of our All-States packages and receive all the states supported by that edition. Home & Business Bundle... $44.95 Bundle and save! Purchase your Personal and Business tax software together to save over $10. Includes: Your choice of Business 1065, 1120 or 1120S TaxACT Deluxe TaxACT State 1040 One free Federal 1040 e-file Additional state software $13.95 each. What Makes TaxACT Unique? A True David and Goliath Story TaxACT was created from the ashes of a product called Personal Tax Edge marketed by Parsons Technology. In 1994, Intuit, the makers of TurboTax, acquired Parsons Technology and Personal Tax Edge, their next closest competitor. By 1997, Personal Tax Edge was gone, but the discontinuation of Personal Tax Edge led the founders of 2nd Story Software (all of whom had worked on the Personal Tax Edge product) to create TaxACT. Starting with a simple goal, to provide highquality tax preparation software to taxpayers at an affordable price, TaxACT launched in 1998 and in less than a decade claimed its place amongst the Goliaths of the industry, becoming the #2 destination for online tax preparation 3. Leading the Industry TaxACT spent the last decade becoming a leader in a very competitive tax preparation market. Most significantly, TaxACT was the first company in the market to offer its Standard Federal software to all American taxpayers for free for the 2005 tax season. Making TaxACT Standard free for anyone to use was a watershed moment in the industry, and competitors were quick to follow suit. However, TaxACT s dedication to high quality software sets them apart from even their most notable competition. Honesty is the Best Policy TaxACT Standard is not a gimmick. Quality has always been the #1 priority at TaxACT, and TaxACT Standard is absolute proof of this. Unlike competing products, TaxACT Standard is a complete federal tax preparation solution for the vast majority of American taxpayers. TaxACT Standard can handle 1040 long-form, 1040A and 1040EZ returns as well as more than 80 of the most commonly used Forms and Schedules, including Schedule C for small business owners and Schedule D for investors. Most importantly, TaxACT Standard makes free federal tax preparation and e-filing a reality for the vast majority of American taxpayers. Dedication to quality is what sets TaxACT apart from the competition. 3 According to collective week end reports for the website released by Hitwise during the 2005, 2006 and 2007 tax seasons. 12 TaxACT 2008 Press Kit 13
8 TaxACT vs. The Market Tax preparation software is an amazingly competitive niche, with dozens of providers selling products that to the naked eye may seem identical. In recent years there has been an explosion of new online tax providers, all with their own different attempts to garner the attention of an increasingly knowledgeable customer base. TaxACT has maintained its status as an industry leader by staying true to the principles on which the company was founded. By providing a high quality product at the best possible prices, TaxACT has proved that it is no fly by night operation. 100% made and supported in Cedar Rapids, IA, TaxACT continues to be a value leader in the do it yourself tax preparation industry. However, success brings its own set of challenges, and TaxACT has answered those challenges with continuous improvement. Security Blanket The advent of the digital age led to the emergence of a new breed of criminal, the identity thief. As a trusted provider of tax services, TaxACT has spared no expense in guaranteeing that our process is protected by state-of-the-art firewalls and that all customer information is transferred via security protocols that meet industry standards. We know that the information on our servers is immensely critical, and we take that responsibility very seriously. Tax Year 2007 Web Traffic Share 26.01% 20.18% 14.11% TaxACT TurboTax TaxCut All Others Data source: Hitwise for January 2008 to April 2008 TAX YEAR 2007 Web traffic share JANUARY FEBRUARY MARCH APRIL COMBINED 4-MONTH AVG TaxACT 20.71% 23.69% 23.03% 13.30% 20.18% TurboTax 36.44% 38.09% 39.61% 44.67% 39.70% TaxCut 18.03% 14.31% 11.31% 12.81% 14.11% All Others 24.81% 23.91% 26.06% 29.23% 26.01% Due to statistical variations, percentage sums will not always equal 100% % No Risk Guaranteed All TaxACT Online products are free for anyone to try; there are no upfront costs or startup fees. TaxACT Online customers are not required to provide any personal information before accessing the online applications, guaranteeing that they know what they re getting before spending a dime. If they choose to prepare and file their taxes with TaxACT Online, as millions have, they are afforded a 100% Accuracy Guarantee. 14 TaxACT 2008 Press Kit 15
9 Deluxe/Premium Software Comparison Chart Entry Level/Standard Software Comparison Chart TaxACT Online Standard Price: Federal price: (e-file included) State price: (e-file included) TaxACT Online Deluxe TurboTax Online deluxe TaxCut Online premium + e-file Federal price: (e-file included) $9.95 $29.95 $39.95 State price: (e-file included) $7.00 $34.95 $29.95 Unlimited support and guidance first 20 min session $29.95, $19.95 each additional session. first session free, $19.95 for each additional session. TurboTax TaxCut Free Online Online Free Edition Edition Price: FREE FREE FREE $13.95 $25.95 $29.95 Industry Leadership Industry Leadership: Pioneer of completely free tax preparation applications prepare, print & e-file free Most economical federal software product in its class Has provided free federal tax preparation software for more than a decade Most economical state e-file option Supports the most diverse group of tax filers including Schedule C filers Most economical state and e-file option Free tax topic guidance/support via phone, and over-the-web Year round tax software solution Preview: October December Final: January beyond Key Features College student financial aid worksheet to help complete the FAFSA application Supports 1040A, 1040EZ and 1040 returns Life event guidance Step-by-step interview Looks for deduction opportunities as you go/finds overlooked deductions Checks for errors, flags potential audit risks Non-cash donation valuation guide Free technical support via & web Audit alerts Information verified 12/24/2008 Free technical support via phone, & web Information verified 12/24/ TaxACT 2008 Press Kit 17
10 Final ACT Contact Us A Note from the President It s been just over a decade since TaxACT launched on January 18, Since that time TaxACT has been a catalyst for change in the tax preparation industry. We re proud that TaxACT was the first service to offer free preparation of federal taxes, the first to offer free printing of a federal tax return and the first to offer free e-filing of federal tax returns. We ve made sure that TaxACT has consistently forced the tax preparation industry to become more competitive, and in doing so we have forced our competitors to change as well. The TaxACT team knows that there is always room for improvement; in this ever changing market the ability to adapt and improve is essential to grow our business. However, we have shown time and time again that we re up to the challenge, and moreover, that we re willing to push the limits to make changes that will benefit our customers. We also know that as long as we stay true to the principles TaxACT was created around, our customers will get the absolute best product we can produce, at the best prices we can offer. Now, we can tell you all about the product and list as many features as we want, but we know those are just words. When it comes right down to it, our product has to speak for itself, and we know that it does. Honestly, that s why we include it with every one of these press kits, because we want you to try it for yourself, not just rely on our ability to sell its benefits and hide its blemishes. So please, pop it into your computer and give it a try. We know that you ll see what we see, the best bargain in the tax preparation industry. Thank you for your time, Lance Dunn, CPA President and CEO, 2nd Story Software Inc. "I have been filing with TaxACT for the past 4 years and I would highly recommend this program to anyone that can t afford to give away so much of their money filing with other competitors that are charging so much. It s quick, easy and accurate! Media RELATIONS CONTACT: Leigh aragon Public Relations Manager Phone: (319) Fax: (319) leigha@taxact.com Sales & Support Information: Sales Line: (800) Sales Fax: (319) Support Line: (319) Website: Kathy Hanover, PA service.taxact.com 2ND STORY SOFTWARE th Street NE Suite 300 Cedar Rapids IA TaxACT 2008 Press Kit 19
11 2ND STORY SOFTWARE th Street NE Suite 300 Cedar Rapids IA Copyright nd Story Software, Inc. All rights reserved.
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