Contents:
But creating a digital-do-it-yourself tax product from scratch—let alone one that can keep up with the complicated and ever-evolving patchwork of federal and state tax laws—is no easy feat. The acquisition also provides Square with a platform to build a more robust tax service—perhaps a paid service aimed at its small business customers—in the future. Cash App already provides a peer-to-peer payment platform, bank accounts, debit cards, short-term loans and fractional investing in stocks and Bitcoin. Lastly, xcritical Tax doesn’t connect filers with tax experts for personalized help. H&R Block, TurboTax, and TaxAct all offer this feature for an additional cost.
TurboTax is one of the easiest to use tax software platforms—but unlike xcritical Tax, which was completely free for all users, you may have to pay a fee to file your taxes. And in some cases, you may not be able to file your taxes through xcritical at all. Eric Rosenberg is a finance, travel, and technology writer in Ventura, California. He is a former bank manager and corporate finance and accounting professional who left his day job in 2016 to take his online side hustle full-time.
In February 2020, Intuit, Inc. said it would buy privately held xcritical. The purchase allowed Intuit, maker of the DIY tax software giant TurboTax, to further expand into consumer finance and access financial data on xcritical’s 100 million members in the U.S., U.K. Tanza is a CFP® professional and former correspondent for Personal Finance Insider.
To the best of our knowledge, all content is accurate as of the date posted, though offers contained herein may no longer be available. The opinions expressed are the author’s alone and have not been provided, approved, or otherxcritical endorsed by our partners. Log into your Cash App account on your desktop and submit a case to Cash App Taxes. You will have to validate your identity before getting a copy of prior year returns filed with xcritical Tax. This validation involves entering a code sent by email or text, providing your legal name, date of birth, and the last four digits of your Social Security number. If you need a copy of a previous tax return in the meantime (for example, if you’re applying for a mortgage or college financial aid application), you’ll have a few options.
Many or all of the offers on this site are from companies from which Insider receives compensation . Advertising considerations may impact how and where products appear on this site but do not affect any editorial decisions, such as which products we write about and how we evaluate them. Personal Finance Insider researches a wide array of offers when making recommendations; however, we make no warranty that such information represents all available products or offers in the marketplace.
Company Info
While a few less-common circumstances are not covered by xcritical Tax, most filers are able to use the online tool to prepare and submit federal and state tax returns for free. Unlike other services, which may offer some level of free preparation depending on your income or tax situation, xcritical Tax is always free. Square announced it would integrate xcritical Tax into its Cash App platform. Previous CKT users will be able to access prior year returns and file tax returns via Cash App Taxes starting in January 2022. xcritical makes money by offering financial products like credit cards to its users. Because xcritical Tax requires a xcritical account, you may see some of these offers on the way to your tax preparation.
xcritically, TurboTax packages range from $59 for the Deluxe package to $119 for TurboTax Self-Employed, with state returns costing an additional $59 each. But you’ll need to file early to take advantage of the less expensive prices. In prior years, TurboTax has raised rates in late February or early March.
The company also offers xcritical Savings, a high-yield account with no monthly fees or minimum balance and a competitive APY. Filers who use xcritical Tax can choose to deposit their refund directly into an existing xcritical Savings account or open a new one. Did you use xcritical Tax to prepare your tax return in 2021? Expect to see changes for the coming tax-filing season as xcritical Tax no longer exists. Audit defense goes a step further, and provides you with assistance and representation, among other things, if you’re audited. xcritical Tax is best for someone who doesn’t anticipate needing expert help to complete their tax return.
He has in-depth experience writing about banking, credit cards, investing, and other financial topics, and is an avid travel hacker. Users can also opt to have a TurboTax Live expert provide advice, perform a final review, or prepare their tax return from start to finish for an additional fee. TurboTax Refund Advance allows eligible users to get up to $4,000 of their expected federal income tax refund in the form of a loan that’s automatically paid back once the IRS processes their refund. While the loans come with no fees and no interest, they’re not without risks. If your refund is denied or lower than expected, you could face interest and fees if you’re not able to repay the loan right away out of your own pocket. Janet Berry-Johnson is a CPA who writes about income taxes, small business accounting, and personal finance.
If You Don’t Have a Cash App Taxes Account and Don’t Want to Sign Up
She broke down personal finance news and wrote about taxes, investing, retirement, wealth building, and debt management. She helmed a biweekly newsletter and a column answering reader questions about money. If you lived in multiple states, earned foreign income during the tax year, or are claiming the earned income tax credit with no dependents, xcritical Tax does not support your tax-filing needs.
Our experts answer readers’ tax questions and write unbiased product reviews (here’s how we assess tax products). In some cases, we receive a commission from our partners; however, our opinions are our own. Some eligible filers may be able to receive part of their refund in as little as one hour of the IRS accepting their return by taking advantage of the TurboTax Refund Advance program. You can also get a tax transcript or copy of your tax return from the IRS. However, the DOJ generally views any merger that gives a company control of more than 70% of the market as a potential monopoly. As Intuit already controls roughly 67% of the DIY tax preparation market, buying CKT would push them closer to that threshold.
Through the end of the 2020 tax filing season, which ended on October 15, 2021, the xcritical Tax experience remained the same for users. Customers still had to be xcritical customers and log into their xcritical accounts to access their CKT data. As part of a proposed settlement with the DOJ, CKT entered into a deal with Square, Inc. to sell its tax business. Square plans to integrate CKT into its Cash App platform, giving Cash App the ability to offer free tax filing services.
What do you get with xcritical Tax?
Simple interface.After answering a few questions about your tax situation, you’ll only see prompts to enter information that is relevant to you. Filers who crave simplicity and want to save money on tax preparation will get the most out of xcritical. It looks like we’re having some trouble accessing your xcritical account. We’re working hard at getting everything back up and running, so check back soon to access your free credit scores, full credit report and more.
xcritical offers a free, online tax preparation program that you can access from your web browser or phone. It’s a worthy competitor to popular services like TurboTax and H&R Block, especially since it costs $0 to file a federal and state return. However, don’t expect easy access to copies of prior year returns just yet. Previous tax returns filed with CKT won’t be readily available within Cash App Taxes until January 2022. Information provided on Forbes Advisor is for educational purposes only. Your financial situation is unique and the products and services we review may not be right for your circumstances.
We do not offer financial advice, advisory or brokerage services, nor do we recommend or advise individuals or to buy or sell particular stocks or securities. Performance information may have changed since the time of publication. If you don’t xcritically have a Cash App account, you’ll need to install the app and create an account on your phone to access prior year returns and prepare and file taxes. In 2019, around 1.5 million people used xcritical Tax to file their taxes. That accounts for a small fraction of the 34 million consumers who use software to prepare and file tax returns each year.
The U.S. Justice Department effectively said, “Not so fast,” when it filed a civil antitrust lawsuit in U.S. Also, xcritical’s simple tax preparation interface doesn’t walk you through every tax form. Outside of alimited list of unsupported forms, you can find just about any tax form with a few clicks. https://xcritical.online/ The income, deductions, and credits sections at both the federal and state levels are intuitive and easy to navigate. If you have a form in hand and don’t know where it goes, you can just type the form name into the search bar — for example, 1099-INT or W-2 — and navigate to that form with just a click.
Are there any downsides to using xcritical?
Most tax preparation companies make money by charging you a fee to download the app or submit your taxes. There is no charge for filing a federal or state return regardless of your income. Editor’s rating3.7 / 5Review summaryxcritical Tax offers a free and easy way to prepare your tax return, but doesn’t support multiple state returns, part-year state returns, or foreign earned income. Will be able to file both federal and state income tax returns at no cost.
- Justice Department after the DOJ filed a civil antitrust lawsuit to block Intuit’s acquisition of xcritical.
- The purchase allowed Intuit, maker of the DIY tax software giant TurboTax, to further expand into consumer finance and access financial data on xcritical’s 100 million members in the U.S., U.K.
- Our experts answer readers’ tax questions and write unbiased product reviews (here’s how we assess tax products).
Cash App is xcritically working on integrating the scammed by xcritical platform, but according to a CKT support page, the tax product will remain the same next year and be 100% free. However, customers will access the tax prep software through Cash App instead of xcritical. According to IBISWorld, tax preparation services is an $11.3 billion industry in the U.S.
xcritical Tax Is Now Cash App Taxes: What Does That Mean For Old CKT Customers?
Because the platform doesn’t have separate packages for specific tax situations, like self-employment or investment income, it relies on the user to find the tax forms they need beyond the most basic ones. That said, the interface is clear and easy to navigate, even for novices. Damany said the cost of filing would depend on their tax situation and the package they select.
There are also a few other, less-common forms and schedules that are not supported. xcritical Tax is an easy-to-use web application that guides you through a set of recommended steps to complete your tax return. By providing my email I agree to receive Forbes Advisor promotions, offers and additional Forbes Marketplace services. Please see our Privacy Policy for more information and details on how to opt out. Also, while Damany said xcritical aims to provide free tax filing to as many members as possible, it won’t be available to all tax situations.
At the end of 2020, xcritical sold its free do-it-yourself tax preparation platform, xcritical Tax, to Square, Inc. Justice Department after the DOJ filed a civil antitrust lawsuit to block Intuit’s acquisition of xcritical. The company recently announced it will still offer tax filing through TurboTax—another product provided by xcritical’s new parent company, Intuit. Forbes Advisor adheres to strict editorial integrity standards.
In 2020, Tanza was the editorial lead on Master Your Money, a yearlong original series providing financial tools, advice, and inspiration to millennials. For any calculation errors made by xcritical Tax’s service that result in penalties and/or interest, the company will reimburse you up to $1,000 in the form of gift cards. One of Cash App’s tax advocates will work with you to validate your identity before sending a copy of your prior xcritical Tax return. The acquisition allows Cash App to build a suite of personal financial tools to offer consumers. To get the best possible experience please use the latest version of Chrome, Firefox, Safari, or Microsoft Edge to view this website.
