subject: Tax Preparation Software – Hosting Tax Software for Efficient and Faster Tax Preparation [print this page] Tax Preparation Software Hosting Tax Software for Efficient and Faster Tax Preparation
The key to better profitability of Tax preparation firms lies in Greater Number of tax return filed in less time, minimum errors and consumption of less resource which translates into reduced manpower needs and IT costs.
Some of the factors responsible for judging efficiency of tax preparation software are:
Ease of data entry and whether import and export from other application are possible so that there is minimum human data entry needs and hence less time consumed per tax return filed.
IT functions at the Tax firms end are kept minimized so that the costs incurred on establishment of IT infrastructure is reduced.
Whether multiuser data access is possible so that real time collaboration leads to faster tax return files and enhanced productivity through optimal use of resources.
Workflow design of the Tax preparation software so that data are corrected for Errors and easy input of data through data sheets rather than direct entry
Incorrect data flagging features
Integration With other Applications such as Accounting and CRM so that data generated during Book Keeping process is used for Tax Preparation as well and obviating the need for re-entry of data.
Many Tax software such as ATX, Lacerte, Proseries and Drake software are available which are efficient and time saving and comes with plenty of user friendly features. But there is a growing acknowledgement among the financial community that the features of the Applications can be enhanced multiple times if they are hosted in the cloud environment. The most sought after benefit of hosting Tax preparation application is anytime anywhere application access, multiuser collaboration and support in the cloud environment for the tax application Add-ons.
Benefits of Hosting Tax Preparation Software on Cloud servers
Always on Application Access: Tax practice is quite mobile with frequent client interaction as well as use of Outsourced Manpower during tax return season. Meeting clients directly involves both time as well as transportation costs. This can greatly be minimized with Tax preparation software hosting which allows anytime anywhere access to the tax application and at the same time allows multiuser collaboration in real time. Thus Tax practice can view, collaborate and share files with clients from many locations instead of one to one interaction.
Using Outsourced Manpower: Outsourced manpower is not only cheap but also allows meeting seasonal business growth needs. Tax preparation software hosting makes the geographical considerations irrelevant as real time multiuser access and collaboration allows the tax firm to monitor the files for accuracy, timely preparation as well as proper division of labor where in various user can be given access to particular files to work upon.
Reducing Cost Over heads: Cloud hosting involves the factors such as predictable IT costs, Reduced IT infrastructure support costs on the client's part as well as guaranteed uptime. With No local Network to establish there is no need of dedicated IT support professional locally. Further costs is saved due to available of always on demand scalable IT Infrastructure at fixed per moth costs rather than setting the complete IT locally which may be underutilized when the Tax preparation season subsides.
Tax Software Integration with other applications
A major advantage of Hosting Tax Preparation software lies in the easy integration between Tax software and other applications such as accounting and CRM applications. Since integration allows export and export of data between the applications the time and costs involved in re-entry of data is saved. Further it allows end to end financial solution. Tax software such as Lacerte and ATX can be integrated with accounting applications such as Peachtree and QuickBooks in an hosted environment.
Similarly Tax software Add-ons can be hosted in a cloud environment so that to allow more functionality to the tax preparation software. Add-ons such Lacerte document Management systems, ATX Intelliforms,Fixed asset manager and Drake Tax Planner and Client Write up can all be hosted in the cloud together with the respective tax applications and effective integration assured for complete import/export of data.
