Users rank tax software: products and vendors get lower satisfaction grades.This year practitioners generally were less happy with their tax-preparation-software products and services than last year. That's the conclusion of an informal survey that the National Association of Tax Professionals (NATP NATP National Association of Tax Professionals NATP National Agricultural Technology Project (India) NATP National Association of Tax Practitioners NATP National Apprenticeship Training Program NATP National Athletic Testing Program ) took this summer of its members. More than 1,000 NATP members participated in the survey, reporting their experience with the products they had used to prepare more than 544,000 tax returns for the 2002 filing season. Respondents In the context of marketing research, a representative sample drawn from a larger population of people from whom information is collected and used to develop or confirm marketing strategy. prepared an average of 510 returns each. Although NATP members assessed 29 different software packages for the survey, originally only 13 were included in the final report (see exhibit 1, page 31). Products receiving less than 10 assessments were excluded because their results would not be statistically valid. One vendor, AccountantsWorld, which had been in the survey, has since ceased production of its Tax Relief tax software and is now offering its customers Creative Solutions' UlraTax software. The ratings are adjusted for the elimination of Tax Relief. Users ranked tax software products from 5 (very satisfied) to 1 (very dissatisfied dis·sat·is·fied adj. Feeling or exhibiting a lack of contentment or satisfaction. dis·sat  is·fied ). This year's average satisfaction ratings fell
to 3.32 from 4.04 a year earlier (see exhibit 2, page 32). The product
with the highest score--3.92--was Dunphy
In the survey TaxWorks by Laser Systems registered the largest loss; it fell to 3.00 from 4.24. DROP IN SUPPORT Satisfaction with customer support also declined. The average score in this category for the 12 products was 3.29, down from 3.94 the year before. Dunphy scored highest in this category, too, with a rating of 3.92, but even its ranking was off from its 4.35 last year. Hot on Dunphy's heels were Tax$imple with 3.58 and RCS (1) (Remote Computer Service) A remote timesharing service. (2) (Revision Control System) A Unix utility that provides version control. RCS - Revision Control System TaxSlayer with 3.53. Respondents also gave sharply lower marks to network support this year. The average rating fell to 2.92 from 3.70 last year, with Dunphy once again leading the pack with a high of 3.60; but its score dropped from the 4.75 it received last year. Intuit/Lacerte came in a close second with a score of 3.50, off from 4.17 last year. The conversion programs of three tax software vendors--Drake Software, ATX See ATX motherboard. (hardware, standard) ATX - An open PC motherboard specification by Intel. ATX is a development of the Baby AT specification with the motherboard rotated 90 degrees in the chassis. and Intuit/ProSeries--were the most actively used by respondents--an indication those products had a surge See power surge. SURGE - Sorter, Updater, Report Generator, Etc. IBM 704, 1959. Sammet 1969, p.8. of new customers who needed to convert data from their old software to their new package. Some 59 respondents reported using Drake's conversion package, which received a 3.92 satisfaction rating. Thirty-six respondents reported using ATX's program, rating it 3.33. And 31 practitioners used the ProSeries package, scoring it at 3.19. For those who used conversion packages, the average satisfaction score was 3.05; there was no comparable figure for a year ago. For the states to which the 12 products provided tax support, see exhibit 3, page 34. And to get additional product details for each of the 12 programs, see exhibit 4, page 36. ELECTRONIC FILING In response to Congress's directive Directive may refer to:
When asked whether they will offer e-filing Filing income tax and other governmental forms online. for the 2003 tax season, 84.1% reported affirmatively af·fir·ma·tive adj. 1. Asserting that something is true or correct, as with the answer "yes": an affirmative reply. 2. , up from 79.8% this year. The e-filers transmitted 68.4% of their eligible federal and state returns. A separate e-filing fee was charged by 32.9%, and 38.8% said they plan to charge a fee this year. Those who opted not to provide electronic filing service gave these reasons: It was too time-consuming time-con·sum·ing adj. Taking up much time. time-consuming Adjective taking up a great deal of time Adj. 1. and too expensive; they were concerned about privacy issues; and their clients did not ask for it.
Exhibit 1: Tax Software Vendors
Vendor Tax program Address
2nd Story TaxACT 5925 Dry Creek Lane, NE,
Software Cedar Rapids, IA 52402
ATX Forms Total Tax Office, 63 Sweden St.,
Max, Saber and P.O. Box 1040,
ZillionForms Caribou, ML 04736
CCH ProSystem fx 21250 Hawthorne Blvd.,
Tax Torrance, CA 90503
Creative UltraTax 7322 Newman Blvd.,
Solutions Dexter, MI 48130
Drake Software Drake Tax Solution 235 L. Palmer St.,
Franklin, NC 28734
Dunphy Systems 1040 Professional 6740 Huntley Rd
Tax Prep Suite 103,
Columbus, OH 43229
Intuit/Lacerte Lacerte 5601 Headquarters Dr.,
Plano, TX 75024
Intuit/ProSeries ProSeries 110 Juliad Ct.,
Fredericksburg, VA 22406
Laser Systems TaxWorks by 350 N. 400 West,
Laser Systems Kaysville, UT 84037
RCS TaxSlayer TaxSlayer pro 610 Ronald Reagan Dr.,
Pro Evans, GA 30809
Tax$imple Tax$imple 8 Emery Ave.,
Randolph, NJ 07869
Universal TaxWise 6 Mathis Dr., NW,
Tax Systems Rome, GA 30165
Vendor Telephone Internet address
2nd Story 800-573-4287 www.taxact.com
Software
ATX Forms 877-728-9776 www.atxpros.com
CCH 800-739-9998 www.prosystemfx.com
Creative 800-968-8900 www.creativesolutions.com
Solutions
Drake Software 800-890-9500 www.drakesoftware.com
Dunphy Systems 614-431-0846 www.dunphy.com
Intuit/Lacerte 800-765-4065 www.lacertesoftware.com
Intuit/ProSeries 800-934-1040 www.proseries.com
Laser Systems 800-230-2322 www.taxworks.com
RCS TaxSlayer 706-868-0985 www.taxslayerpro.com
Pro
Tax$imple 866-729-7798 www.taxsimple.com
Universal 800-755-9473 www.taxwise.com
Tax Systems
Exhibit 2: Tax Software Ratings and E-Filing Data
Satisfaction
1 = very
dissatisfied,
5 = very
Average satisfied
number
Number of of returns Product Product
respondents per rating rating
respondent last
year
Company Product
2nd Story TaxACT 29 180 2.79 3.63
Software
ATX Total Tax 130 268 2.90 4.05
Office, Max,
Saber,
ZillionForms
CCH Prosystem fx 27 387 3.44 3.96
Tax
Creative UltraTax 70 568 3.33 4.19
Solutions
Drake Drake Tax 184 789 3.44 3.98
Software Solution
Dunphy 1040 12 1,028 3.92 4.50
Systems Professional
Tax Prep
Intuit/ Lacerte 156 553 3.40 4.32
Lacerte
Intuit/ ProSeries 233 414 3.38 4.07
ProSeries
Laser Systems TaxWorks by 31 749 3.00 4.24
Laser
Systems
RCS TaxSlayer TaxSlayer 15 441 3.60 4.44
Pro Pro
Tax$imple Tax$imple 12 257 3.50 3.41
Universal Tax TaxWise 94 489 3.13 3.64
Systems
Average rating 3.32 4.04
Total 993 510
Satisfaction
1 = very dissatisfied, 5 = very satisfied
Number of
Support Support Number Network Network respondents
rating rating of rating rating who used
last network last conversion
year users year package
Company
2nd Story 3.10 3.36 N/A N/A N/A N/A
Software
ATX 2.93 4.02 24 3.13 3.65 36
CCH 3.33 4.15 12 3.25 4.13 4
Creative 3.39 4.11 35 3.11 4.23 19
Solutions
Drake
Software 3.17 3.94 85 3.34 4.05 59
Dunphy
Systems 3.92 4.35 5 3.60 4.75 N/A
Intuit/ 3.46 4.13 70 3.50 4.17 25
Lacerte
Intuit/ 3.20 4.00 64 3.19 3.59 31
ProSeries
Laser Systems 2.90 3.86 18 2.78 4.10 11
RCS TaxSlayer 3.53 4.39 6 3.17 4.17 6
Pro
Tax$imple 3.58 3.82 1 3.00 4.00 1
Universal Tax 3.00 3.25 32 3.00 3.56 19
Systems
Average rating 3.29 3.95 2.92 3.70
Total 352
Satisfaction
1 = very
dissatisfied,
5 = very Percentage Percentage
satisfied Plan to use product of federal who plan
next year Percentage returns to offer
Conversion respondents who said e-filed in e-filing
package 2002 tax in 2003
rating Yes No Undecided year tax year
Company
2nd Story N/A 79 4 17 73 76
Software
ATX 3.33 87 1 12 70 80
CCH 4.25 74 4 22 74 67
Creative 3.74 91 2 7 67 93
Solutions
Drake
Software 3.92 91 7 2 84 97
Dunphy
Systems N/A 83 0 17 61 58
Intuit/ 3.76 79 4 17 64 90
Lacerte
Intuit/ 3.19 82 1 17 64 80
ProSeries
Laser Systems 3.82 90 4 6 64 97
RCS TaxSlayer 4.17 93 7 0 88 93
Pro
Tax$imple 3.00 67 8 25 39 83
Universal Tax 3.42 69 11 20 73 95
Systems
Average rating 3.05 82.1 4.4 13.5 68.4 84.1
Total
Percentage Percentage Percentage Percentage
who offered who charged who plan to offering
e-filing for e-filing charge for bank products
in 2002 in 2002 e-filing in as part of
tax year tax year 2003 tax service
year e-filing
Company
2nd Story 62 44 55 17
Software
ATX 72 28 35 12
CCH 63 22 28 4
Creative 91 31 34 10
Solutions
Drake
Software 96 18 16 39
Dunphy
Systems 58 43 43 17
Intuit/ 88 41 40 6
Lacerte
Intuit/ 78 46 48 12
ProSeries
Laser Systems 94 41 47 29
RCS TaxSlayer 93 36 29 53
Pro
Tax$imple 67 50 60 8
Universal Tax 96 28 30 38
Systems
Average rating 79.8 32.9 38.8 20.4
Total
Exhibit 3: States Covered by Software
2nd Story Creative Drake
Software ATX CCH Solutions Software
TaxACT Total Tax ProSystem UltraTax Drake Tax
Office, fx Tax Solution
Max, Saber,
Zillion-
Forms
State
Alabama X X X X X
Alaska X X X X
Arizona X X X X X
Arkansas X X X X X
California X X X X X
Colorado X X X X X
Connecticut X X X X X
Delaware X X X X X
D.C. X X X X X
Florida X X X X
Georgia X X X X X
Hawaii X X X X X
Idaho X X X X X
Illinois X X X X X
Indiana X X X X X
Iowa X X X X X
Kansas X X X X X
Kentucky X X X X X
Louisiana X X X X X
Maine X X X X X
Maryland X X X X X
Massachusetts X X X X X
Michigan X X X X X
Minnesota X X X X X
Mississippi X X X X X
Missouri X X X X X
Montana X X X X X
Nebraska X X X X X
Nevada X X X X
New Hampshire X X X X X
New Jersey X X X X X
New Mexico X X X X X
New York X X X X X
North Carolina X X X X X
North Dakota X X X X X
Ohio X X X X X
Oklahoma X X X X X
Oregon X X X X X
Pennsylvania X X X X X
Rhode Island X X X X X
South Carolina X X X X X
South Dakota X X X X
Tennessee X X X X
Texas X X X X
Utah X X X X X
Vermont X X X X X
Virginia X X X X X
Washington X X X X
West Virginia X X X X X
Wisconsin X X X X X
Wyoming X X X X
Dunphy Intuit/ Intuit/ Laser
Systems Lacerte ProSeries Systems
1040 Lacerte PreSeries TaxWorks
Professional by Laser
Tax Prep Systems
State
Alabama X X X
Alaska X X
Arizona X X X
Arkansas X X X X
California X X X
Colorado X X X X
Connecticut X X X X
Delaware X X X
D.C. X X X
Florida X X X
Georgia X X X X
Hawaii X X X
Idaho X X X
Illinois X X X X
Indiana X X X X
Iowa X X X X
Kansas X X X X
Kentucky X X X X
Louisiana X X X X
Maine X X X
Maryland X X X
Massachusetts X X X X
Michigan X X X X
Minnesota X X X
Mississippi X X X X
Missouri X X X X
Montana X X X
Nebraska X X X X
Nevada X X
New Hampshire X X X
New Jersey X X X X
New Mexico X X X X
New York X X X X
North Carolina X X X X
North Dakota X X X
Ohio X X X X
Oklahoma X X X X
Oregon X X X X
Pennsylvania X X X X
Rhode Island X X X
South Carolina X X X X
South Dakota X X
Tennessee X X X X
Texas X X X
Utah X X X
Vermont X X X
Virginia X X X X
Washington X X
West Virginia X X X X
Wisconsin X X X
Wyoming X X
RCS/ Universal
TaxSlayer Tax
Pro Tax$imple Systems
TaxSlayer Tax$imple TaxWise
Pro
State
Alabama X X X
Alaska X X X
Arizona X X X
Arkansas X X X
California X X X
Colorado X X X
Connecticut X X X
Delaware X X X
D.C. X X X
Florida X X X
Georgia X X X
Hawaii X X X
Idaho X X X
Illinois X X X
Indiana X X X
Iowa X X X
Kansas X X X
Kentucky X X X
Louisiana X X X
Maine X X X
Maryland X X X
Massachusetts X X X
Michigan X X X
Minnesota X X X
Mississippi X X X
Missouri X X X
Montana X X X
Nebraska X X X
Nevada X X X
New Hampshire X X X
New Jersey X X X
New Mexico X X X
New York X X X
North Carolina X X X
North Dakota X X X
Ohio X X X
Oklahoma X X X
Oregon X X X
Pennsylvania X X X
Rhode Island X X X
South Carolina X X X
South Dakota X X X
Tennessee X X X
Texas X X X
Utah X X X
Vermont X X X
Virginia X X X
Washington X X X
West Virginia X X X
Wisconsin X X X
Wyoming X X X
Exhibit 4: Software Product Details
2nd Story Creative
Company Software ATX CCH Solutions
Product TaxAct Total Tax ProSystems fx UltraTax
Office, Tax
Max,
Saber,
Zillion-
Forms
Prices
1040 $99 $210 $2,775 $1,900
1040 renewal $79 same Call for $1,600
details
State package $12.95/state; $105 $275-$700 $150-$250
$51.80/all
states
State renewal same same Call for same
details
Additional fee N/A No No No
for laser package
Pay-per-return No Yes Yes Yes
pricing
Additional cost No No Yes No
for electronic
filing software
Additional cost $0-$7.95 per $5 each; $3 per $2 federal;
per return, $100 return; $1 state
electronically depending on unlimited unlimited
filed returns number of available
returns
filed;
unlimited
federal
e-file $350
Conversion No Yes Yes Yes
package
available
Cost of N/A Free Free Free
conversion
package
Filing
Direct filing or SB Direct Both SB
service bureau
(SB)
Files state Yes Yes Yes Yes
return
electronically
Allows for Yes Yes Yes Yes
electronic
signature
Market
Number of users N/A 50,000+ 20,000+ 12,000+
of 2002 package firms
% of renewals N/A 92% 97% 95+%
from 2001 package
Number of years 6 11 40 24
business
Support
Toll-free number N/A Yes Yes Yes
for support
Hours support M-F 9-10; M-F 8-10 M-F 8:30- M-F 9-9;
available (ET) Sat. 9-6; (midnight 9:30; Sat. Sat. 9-6;
during tax season Sun. 1-6 with 9-8; selected
Super- Sun. in Sun.
Support April 10-6
packages);
Sat. 9-5
Hours support M-F 9-6 M-F 8-8; M-F 9-8 M-F 9-8
available (ET) Sat. 9-5.
during off-season
Number of support 20 200 200+ 100+
staff during tax
season
Online support Yes Yes Yes Yes
Technology
Operating systems Win 95/98/ME/ Win 95/98/ Win 98/ME/NT/ Win 98/NT/
available NT/2000/XP ME/NT/2000 2000/XP 2000/XP
/XP
Minimum RAM 32 Mb 64 Mb 128 Mb 64 Mb
recommended
Recommended All All XP All
operating system
Display and data
IRS data Yes Yes Yes Yes
displayed on
screen
Vendor data Yes Yes Yes Yes
displayed on
screen
Batch processing No No Yes Yes
Heads-down data No No Yes Yes
entry
Program
management tools
Reports Yes Yes Yes Yes
Organizers Yes Yes Yes Yes
Labels Yes Yes Yes Yes
Client letters Yes Yes Yes Yes
Scheduling No No Yes Yes
program
Other packages
available
Online tax No No Yes Yes
preparation
option
State packages Yes Yes Yes Yes
available
Multistate Yes Yes Yes No
package
available
1120 No Yes Yes Yes
included in N/A No No No
price of 1040
1120S Yes Yes Yes Yes
included in No No No No
price of 1040
1065 Yes Yes Yes Yes
included in No No No No
price of 1040
1041 No No Yes No
included in N/A No No No
price of 1040
990 No Yes Yes Yes
included in N/A No No No
price of 1040
706 No Yes Yes Yes
included in N/A No No No
price of 1040
709 No Yes Yes Yes
included in N/A No No No
price of 1040
Drake Dunphy Intuit/ Intuit/
Company Software Systems Lacerte ProSeries
Product Drake Tax 1040 Lacerte ProSeries
Solution Professional
Tax Prep
Prices
1040 $1,495-$1,995 $849 $2,055 $949
1040 renewal $995-$1,495 $699 $1,746 same
State package Included $319-$339 $225-$325 $249-$349
State renewal Included $319-$339 $191.25- same
$276.25
Additional fee No No No No
for laser package
Pay-per-return Yes No Yes Yes
pricing
Additional cost No $99-$499 No No
for electronic
filing software
Additional cost N/A Service Unlimited Federal
per Bureau (SB): e-file for $750
electronically $5-$3-$1/ $1,250; unlimited
filed returns return $2-$5/ or $3/
return return;
state $400
unlimited
or $2/
return
Conversion Yes No Yes Yes
package
available
Cost of $0-$100 N/A Free Free
conversion
package
Filing
Direct filing or Both Both SB Individual
service bureau filing via
(SB) Intuit
Files state Yes Yes Yes Yes
return
electronically
Allows for Yes Yes Yes Yes
electronic
signature
Market
Number of users 15,144 1,500+ N/A N/A
of 2002 package
% of renewals 92% 95+% N/A N/A
from 2001 package
Number of years 26 20 24 12
business
Support
Toll-free number No No Yes Yes
for support
Hours support M-F 8-10; M-F 8-6; M-F 9-9; M-F 9-9;
available (ET) Sat. 8-6 Sat. 9-1 Sat. 11-5; Sat. 10-5;
during tax season Sun. 1-5 Sun. as
needed
Hours support M-F 8-10; M-F 9-5 M-F 9-8 Mon.-Thurs.
available (ET) Sat. 8-5 9-8; Fri.
during off-season 9-6
Number of support 200+ N/A 120 N/A
staff during tax
season
Online support Yes Yes Yes Yes
Technology
Operating systems Windows 32 DOS, Win 98/ME/ Windows
available bit all Windows NT/2000/XP
Minimum RAM 64 Mb for 640 Kh 128 Mb 64 Mb
recommended Win 95/98/
2000/NT; 128
Mb for ME, XP
Recommended Win 98 and up All All Win 2000/XP
operating system
Display and data
IRS data No Yes No Yes
displayed on
screen
Vendor data Yes Yes Yes Yes
displayed on
screen
Batch processing Yes No Yes Yes
Heads-down data Yes No Yes Yes
entry
Program
management tools
Reports Yes Yes Yes Yes
Organizers Yes Yes Yes Yes
Labels Yes Yes Yes Yes
Client letters Yes Yes Yes Yes
Scheduling Yes No Yes Yes
program
Other packages
available
Online tax No No No No
preparation
option
State packages Yes Yes Yes Yes
available
Multistate Yes Yes Yes Yes
package
available
1120 Yes Yes Yes Yes
included in Yes No No No
price of 1040
1120S Yes Yes Yes Yes
included in Yes No No No
price of 1040
1065 Yes Yes Yes Yes
included in Yes No No No
price of 1040
1041 Yes No Yes Yes
included in Yes N/A No No
price of 1040
990 Yes No Yes Yes
included in Yes N/A No No
price of 1040
706 Yes No Yes No
included in Yes N/A No No
price of 1040
709 Yes Yes Yes Yes
included in Yes No No No
price of 1040
RCS
Laser TaxSlayer
Company Systems Pro Tax$imple Universal Tax
Systems
Product TaxWorks TaxSlayer Tax$imple TaxWise
by Laser Pro
Systems
Prices
1040 $1,095 $895 $495-$695; $995
$12/return
1040 renewal $995 $795 same same
State package $345 Included $250-$299; $295 for up
$10/return to five states
State renewal $200 Included same same
Additional fee No No No No
for laser package
Pay-per-return Yes No Yes Yes
pricing
Additional cost No Included Yes N/A
for electronic
filing software
Additional cost $1-$5/ $3/return $195 at $3/ $0.50-
per return return $5/return
electronically based on federal; depending
filed returns volume $99 at on level
$2/return ordered
state
Conversion Yes Yes Yes Yes
package
available
Cost of Free $200 Free Free
conversion
package
Filing
Direct filing or Both Both Both Both
service bureau
(SB)
Files state Yes Yes Yes Yes
return
electronically
Allows for Yes Yes Yes Yes
electronic
signature
Market
Number of users 4,300 3,000+ N/A 23,000
of 2002 package offices
% of renewals 91% 89% 95+% 94%
from 2001 package
Number of years 31 12 21 19
business
Support
Toll-free number Yes No Yes No
for support
Hours support M-F 9-10; M-F M-F M-F 8-9;
available (ET) Sat. 9-3 7:30-11 8:15-7:30 Sat. 9-4
during tax season
Hours support M-F 10-7 M-F 8-5 M-F 8:15-5 M-F 8-4
available (ET)
during off-season
Number of support 50 20 N/A 250
staff during tax
season
Online support Yes Yes Yes Yes
Technology
Operating systems Windows Win 98/ Win 95/98/ Windows
available 32 bit ME/2000/ ME/NT/
XP 2000/XP
Minimum RAM 128 Mb 32 Mb 128 Mb 128 Mb
recommended
Recommended Win 2000/ Win 98 Win 98/ME/ Win 2000/XP
operating system XP NT/2000/XP (with Service
Pack 2)
Display and data
IRS data No No Yes Yes
displayed on
screen
Vendor data Yes No Yes Yes
displayed on
screen
Batch processing Yes Yes Yes Yes
Heads-down data Yes Yes Yes No
entry
Program
management tools
Reports Yes Yes Yes Yes
Organizers Yes Yes Yes Yes
Labels Yes Yes Yes Yes
Client letters Yes Yes Yes Yes
Scheduling No No Yes No
program
Other packages
available
Online tax Yes No Yes No
preparation
option
State packages Yes Yes Yes Yes
available
Multistate Yes N/A Yes Yes
package
available
1120 Yes Yes Yes No
included in No Yes No No
price of 1040
1120S Yes Yes Yes Yes
included in No Yes No No
price of 1040
1065 Yes Yes Yes Yes
included in Yes No No No
price of 1040
1041 Yes Yes Yes Yes
included in Yes No No No
price of 1040
990 Yes Yes Yes Yes
included in No Yes No No
price of 1040
706 Yes No Yes Yes
included in No N/A No No
price of 1040
709 Yes No Yes Yes
included in No N/A No No
price of 1040
STANLEY Stanley, town (1991 pop. 1,557), capital of the Falkland Islands, S Atlantic Ocean, on East Falkland island. It is the main port and trading center of the islands. The name is sometimes written as Port Stanley. ZAROWIN is a JofA contributing editor A contributing editor is a magazine job title that varies in responsibilities. Most often, a contributing editor is a freelancer who has proven ability and readership draw. . His e-mail address See Internet address. e-mail address - electronic mail address is zarowin@mindspring MindSpring was a major Internet service provider which merged with EarthLink on February 4, 2000, with the company retaining the EarthLink name. MindSpring was founded in February 1994 by Charles Brewer in Atlanta, Georgia. .com. |
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