Tax Preparer Software…What, How and Why of Fee Collect
Posted at: September 30, 2014
What is it?
Fee collect allows you to deduct your tax preparation fees directly from your client’s refunds. This service costs you $19.95 per tax return and the fees are directly deposited into your bank account. Our UltimateTax ProPlus software offers fee collect, which gives you the perks of a bank product for next to nothing.
How does it work?
When you electronically file the return, you simply need to check the fee collect option and have the client sign the authorization allowing you to take your preparation fees out. The rest of the process is automatic. The bank you are working with deposits your fees into your designated bank account and the remainder of the refund will go to the client’s bank account. Then we bill you for each of your non fee collect returns on a regular basis. Keep in mind that fee collect cannot be used with bank products. Different software editions restrict the use of one or the other, so it is not possible to use both at one time.
Why should I use it?
You cannot beat the $19.95 per return price for this service. It will cost you a whole lot more to pursue clients who do not want to pay you than the $19.95 cost for this service. With fee collect, you are guaranteed payment for your services. Our UltimateTax ProPlus edition fee even includes your e-file fee. That’s right, for $19.95 you are paying for both fee collect and e-file. Your clients will appreciate the option of not having to pay for your services out of pocket as well. If fee collect isn’t your cup of tea, we do have bank products available for our other software options.
Now that you have a better understanding, you can use the benefits and the cost to your advantage. UltimateTax ProPlus edition offers you a low cost product that can help grow your business. There are not many fee collect products available the market, however we are proud to offer the best.
UltimateTax Service, Inc. is a professional tax software provider. We provide this information as a service to our clients and friends. The information we post is for your viewing and knowledge pleasure. We take all information we post seriously and stand behind what we post. However, information we post is not meant to be used as your sole position in tax cases.