4 ms·
TurboTax is a great piece of software and the price for using it is very reasonable considering the headaches it saves you. I agree the tax law is too complex
by lukesandberg 17y ago
TurboTax is a great piece of software and the price for using it is very reasonable considering the headaches it saves you. I agree the tax law is too complex and needs reform (I am a supporter of many tax reforms). However we shouldn't punish free enterprise due to bureaucratic mistakes. The Tax code created a market by being so opaque and complex, therefore the root of the problem is that the Tax Code is opaque and complex not that there exist companies in the market place.
I don't think destroying the business model of products like TurboTax will fix tax law. Fixing tax law will remove the need (or most of the need) for products like TurboTax. However even in a world of simple tax laws there will still be such a market, simply because for some people it is cheaper to pay a fee for turbotax (or an accountant or whatever) to help them do their taxes than for them to learn how to do it themselves in terms of opportunity cost.
There will be a market for these services forever for good reasons.