Dealing with taxes is tiresome, and the tax season places significant stress on businesses and working people to manage them effectively. However, using the correct tax preparation software may make what appears to be the most strenuous work of the year more bearable.
Although there is a lot of tax software on the market, Drake Tax Software has proven to be one of the most popular and extensively used due to its full product excellence. Drake tax software is used by over 59,000 tax professionals nationwide, and it processes over 33 million federal and state-accepted returns each year.
In this Drake Tax Review, you’ll get relevant information about the software, its features, pricing, and why it’s important.
Table of contents
What Is Drake Tax?
Drake Tax is a small to medium-sized accounting firm’s professional tax management suite. It’s a tax software solution by Drake Software, one of their products.
Their goal is to make it easier for tax professionals to prepare and file returns quickly and efficiently so they can spend more time dealing with customers and growing their businesses.
Drake Tax also reduces keystrokes and simplifies data entry by using shortcut keys and macros to speed up the process of producing returns.
As users submit data, the software may calculate returns automatically. Drake Tax also offers the ability to export K-1 tax information to a Form 1040 and 8615 parent tax information to a child’s Form 8615. Users can prepare returns for numerous states and print tax forms in Spanish.
Users can also compare taxes from year to year using the software, which allows them to assess numerous tax years. Users can rapidly discover and remedy mistakes in return calculation. Finally, the program enables them to e-file federal and state tax returns.
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What Are The Benefits of Drake Tax Accounting Software?
Drake Tax is a powerful, dependable, and easy-to-use software tool for tax preparers and professionals who serve small and medium-sized businesses. It outperforms other tax software due to its customized reporting, which provides detailed information on several aspects of corporate operations.
It includes a module that provides an overall perspective of the health and efficiency of your client’s business, in addition to excellent tax preparation services. Other distinct characteristics include:
- Individual or combined tax returns are available.
- Optimal savings and loan calculator with overall audit support
- Filing returns is a simple and quick process.
- Electronically file your taxes.
- Quick Estimator displays the return due in just a few clicks.
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Core Features of Drake Tax Software
Drake Tax Software comes with various tools and features to assist you in the day-to-day operations of your business, making you and your employees more effective and productive. It also allows you to devote your valuable time to growing your company. The following are some of the software’s standout features:
- The flow of Data Automatically: This one-of-a-kind capability allows data to flow from the national return to state and city returns automatically. In other words, it automatically generates state and city returns.
- Time-saving tip: Its simple and rapid interface allows you to enter data, process refunds, and traverse forms swiftly.
- Data from the previous year: Drake easily and quickly gathers and changes previous-year data at the start of the season or whenever needed.
- Shortcut Keys and Macros: Custom macros or pre-programmed shortcuts simplify data in this software.
- Feature of Auto-Fill: When entering company names and addresses, the ZIP code and EIN databases save you time. Any ZIP code entry will automatically fill in the state and city fields. Once you’ve entered a firm with an EIN, the in-built EIN allows you to automatically fill in the names and addresses of the companies for subsequent entries.
- Signatures in the Digital Age: E-signatures are supported by Drake tax software on bank applications, consent forms, and authorization forms.
What Are The Advantages Of Drake Tax Software?
One of the more intriguing characteristics of Drake Tax is that it allows users to evaluate and e-file the returns they are preparing swiftly.
The software presents the results of the calculation once they calculate the return. As a result, they’ll be able to tell if the return qualifies for e-filing. In addition, the software displays the fees as well as the amount of the return in the calculation results.
Furthermore, consumers may easily determine if there are any problems in the return calculation. This is because Drake Tax issues error warnings after calculating returns.
These error notices contain instructions on how to remedy the errors and avoid problems that could lead to an IRS rejection. They can also add notes to tax forms and returns as reminders for themselves or to convey vital information to their personnel.
Drake Tax also allows users to input tax forms into the software. W-2, K-1, and 1040 are examples of these formats. They can use a 2D barcode scanner to import Forms W-2 and K-1, which they can integrate with the software.
The software also allows them to export tax information to tax and input tax forms. They can export K-1 tax data from 1041, 1120S, and 1065 returns to Form 1040, for example. (Valium)
Users can also file tax returns online using Drake Tax’s e-filing function. They can attach PDF documents to returns while e-filing them. Drake Tax allows consumers to use a signature pad to sign returns, eliminating the need for paper versions electronically.
Additionally, the program employs PIN and authorization screens designed to make it simple for customers to approve returns. Users can now e-file state and federal returns using this e-filing feature.
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What Distinguishes Drake Tax From Other Taxes?
Some of the features that distinguish the Drake tax from others include:
1. Drake Papers:
If you’re tired of dealing with your office’s paper documents, Drake Documents can help because it offers safe and secure electronic storage. All of your tax-related documents can be conveniently stored here, saving you the time and money of having to keep them on paper.
2. Review Tools
Mistakes and denials from the IRS can harm your organization’s reputation and productivity. As a result, Drake Tax provides review tools such as built-in recommendations to assist you in preventing errors.
3. Data Import
The data may be readily imported from apps like Client Write-up or QuickBooks, making Drake’s implementation procedure straightforward. If you use spreadsheets, you can quickly import them into Drake Tax.
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4. Paperless Approach
Drake Tax’s paperless approach contains numerous features that enable a paperless environment while preparing and submitting taxes, such as quick information interchange, e-filing, and e-signing papers.
5. Drake Tax Planner
This is one of the most well-known aspects of Drake software, and it aids tax preparers in planning their clients’ taxes for the year. This function allows you to compare your present tax situation to other scenarios such as income fluctuation, asset purchase, marriage, and so on.
6. Data Restore and Backup
The client’s data is extremely important in any tax process and must be cautiously treated.
Drake has several features, such as ‘Automatic Backup,’ that enable tax preparers to protect their clients’ data. It also has a Restore option that allows you to designate where you want the data to be restored.
Drake Tax gives help to even the most complete filers, even though small and mid-sized enterprises mainly use it.
It includes forms for partnerships, estates, trusts, tax-exempt organizations, C-corporations, S-corporations, all federal packages, 48 state packages (plus Washington, D.C.), and all 1040 forms.
7. Drake Dashboard
Drake has introduced a new web-based service that allows tax preparers to quickly monitor business performance by converting data into interactive pre-built charts. It can also assess the health of a company by examining its numerous key performance indicators.
The ‘Research’ button on the toolbar provides quick access to this tool, which aids in researching various tax adjustments. Adding terms or tax-related websites like the IRS to your search can narrow it down even more.
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Drake Tax Software Pricing Model
There are three package options to choose from:
1. Drake Tax Unlimited + Drake Accounting Power Bundle ($1,695)
2. Drake Tax Unlimited ($1,595) — All-inclusive tax program
3. Pay-Per-Return — ‘Pay as you go’ plan ($330 for 15 returns, $22 for each extra return)
The Drake tax preparation software has the following capabilities in all of the versions available for purchase:
- All-State Packages 1040, 1040NR, 1120, 1120S, 1120H, 1065, 706, 709, 990, 1041
- Drake Documents E-filing
- Data Conversion Software Drake Tax Planner Drake Scheduler Organizers
- Drake Tax from 2002 to 2018
After 85 returns, the Pay-Per-Return package becomes unlimited. Additionally, Drake Accounting Pro 2020 is available for $395 as part of the Drake Tax Unlimited package ($795 if purchased separately) and $495 as part of the Pay-Per-Return package. It comes free as an added feature in the Power Bundle.
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What Platforms Are Appropriate for Drake Software?
Here are some of the appropriate platforms where Drake Software can be used:
1. Drake on your computer
Drake Tax, Accounting, and Documents are all part of this platform. If you choose Drake on desktop, the necessary software is installed on your computer and accessible from there. This platform is limited to your desktop but offers advantages like lightning-fast speed, automated data flow, easy software updates, e-filing, and more.
2. Hosted Desktop by Drake
Drake Tax, Accounting, and Documents are included; you can pay extra to add more programs. This platform lets you work on your PC in a web-hosted, maintenance-free, handy environment. Because it is a cloud-based platform, you may use it from any computer with an internet connection and quickly interact with others.
Drake’s hosted desktop keeps your data safe and allows you to work how you choose. Once a station’s license has been obtained, only one user can view it.
3. Solution based on the internet
The Web-Based Solution is a quick and efficient choice. It gives consumers complete online access and allows them to file taxes from any device, including smartphones and tablets.
Drake’s web tax software allows users to prepare 1040 returns online, with adjustable plans for single sites, multi-sites, and even pay-as-you-go options.
For preparing 1040 returns online, Drake Software offers two versions: Drake Zero is for single-site applications, while Web1040 is for multi-site applications (20 or more physical locations). All other functions are the same except those relating to managing numerous sites.
Because Drake Zero and Web1040 are web applications, users only need a connection to the Internet and the most recent version of their favorite browser.
It is web-based and does not require installation, updates, or backups. That also implies no more software costs or upkeep responsibilities.
Users can access the Web-Based Solution from any location. Users can work from any location with Internet access, including the office, home, coffee shop, client’s location, and so on.
The Web-Based Solution is also mobile-friendly and can be used on tablets and smartphones. The Web-Based Solution includes everything. Each return includes e-filing, printing, long-term online storage, and many state returns as the user requires.
The platform makes it easy can know what’s going on with their clients and businesses thanks to powerful reports. Users can track which returns are ready to e-file, which have been accepted, which require further attention, costs, etc.
FAQs On Drake Tax Software Reviews
Drake Tax is a small to medium-sized accounting firm’s professional tax management suite. It’s a tax software solution by Drake Software, one of their products.
There are three package options to choose from:
Drake Tax Unlimited + Drake Accounting Power Bundle ($1,695)
Drake Tax Unlimited ($1,595) — All-inclusive tax program
Pay-Per-Return — ‘Pay as you go plan ($330 for 15 returns, $22 for each extra return)
Drake is user-friendly, and we highly recommend it to all tax professionals.
Conclusion
Drake tax preparation software outperforms the competition in satisfying tax preparers and making their jobs easier. This all-in-one platform has features that not only aid in reducing the workload but also accelerate the tax process’ efficiency. If you own a firm with complicated tax circumstances, Drake may be the ideal way to manage them.
References
- https://www.ultimatetax.com/drake/
- https://www.g2.com/products/drake-tax/reviews
- https://reviews.financesonline.com/p/drake-tax-software/
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