IRS Software and Tools

Question 1

What is the primary requirement for tax software to be IRS-certified?

Accepted Answer

The software must be able to e-file tax returns accurately.

Answer

The software must be developed by a CPA.

Answer

The software must be free to all users.

Answer

The software must work on mobile devices only.

Question 2

Which of the following is a common feature of IRS-certified tax software?

Accepted Answer

Guaranteed accuracy and audit support

Answer

Unlimited tax court representation

Answer

Access to an IRS agent for filing assistance

Answer

Financial investment advice

Question 3

What is the main advantage of using IRS Free File software?

Accepted Answer

It allows all users to file taxes without paying.

Answer

It provides access to IRS agents for tax advice.

Answer

It is available only to users with Enrolled Agent (EA) status.

Answer

It includes a discount on federal taxes owed.

Question 4

Which feature is typical of IRS-certified tax software designed for businesses?

Accepted Answer

Calculation and filing of payroll taxes

Answer

Automatic audit of the entire company

Answer

Direct access to an IRS tax advocate

Answer

Unlimited financial reporting

Question 5

What is one requirement for tax software to be IRS e-file certified?

Accepted Answer

It must verify the taxpayer’s identity through a secure method.

Answer

It must store all taxpayer data for five years.

Answer

It must be available only in the English language.

Answer

It must include free access to tax audit representation.