Your Taxes : 2 New Tax Guides Succeed in Simplifying
There are two new entrants in the already crowded market for tax guides--Consumer Reports’ “Tax Workbook” and “Tax Guide for the Intimidated.”
It’s worth noting that these two short texts do what the five industry veterans have been unable to do: They make it a bit simpler for an average person to file a federal tax return.
But like the five other thick tomes that aim to help the 50 million taxpayers who file their own returns, these guides have some shortcomings.
“Tax Guide for the Intimidated,” written by Joseph P. Markunas, a Seattle area certified public accountant, and Lisa Apelt, a licensed tax consultant, is the shortest of the nation’s general-purpose tax guides. And that’s one of the book’s main strengths.
It doesn’t get bogged down in arcane details of the tax law. It simply leads readers through the 1040, using clear language to explain areas that many find complex. At the end of each chapter, it has a question-and-answer section that aims to clarify some less obvious points.
However, the book isn’t for everyone. If you’re a low-income filer, it doesn’t do anything to help you claim the earned income tax credit, a lucrative break for the working poor. If you’re a higher-income filer or someone with substantial investments, it doesn’t go far enough in explaining some rules about some investments. It does, however, recognize its limitations, and it refers taxpayers to the appropriate Internal Revenue Service publications for further questions.
But for someone with a few questions about a fairly simple return, this $10.95 book does a pretty good job.
The other new entrant, Consumer Reports’ “Tax Workbook--1994 Edition,” $8.99, is even more limited in scope, providing lots of work sheets but paltry explanations--even in some complex areas. Where it can help, however, is in reminding people about deductions and easily forgotten tax issues. Near the end of the book, there’s a nice listing of deductible and non-deductible expenses; taxable and non-taxable income.
The other five guides give far more detailed advice on a wide array of subjects, ranging from itemized deductions to declaring farm and business income. They also share one main shortcoming: By giving so much advice, they become a bear to read. Those with simple returns are better off with the IRS’ 1040 instruction booklet.
However, if you’ve got complicated issues not covered in the IRS booklet and don’t want to hire a professional to prepare your return, these are the guides for you. They are:
“J.K. Lasser’s Your Income Tax,” which retails for $14 but offers a $2 send-in rebate; “The Ernst & Young Tax Guide,” which is $13.95 but offers a $1 send-in refund, plus a free calculator; “H&R; Block 1994 Income Tax Guide,” $12.95, gives readers a $10 coupon for electronic filing or tax preparation service in H&R; Block offices; “The Consumer Reports Guide to Income Tax,” which sells for $13.99, and “The Money 1994 Income Tax Handbook,” which is put out by the publishers of Money magazine, $13.99.
About This Report
Today’s “Your Taxes” report, Pages D6 through D11, is a guide to preparing 1993 income tax returns. All stories were written by Kathy M. Kristof, The Times’ personal finance columnist.
