FileYourTaxes.com — California Sales Tax

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From the August 2007 Review of Sales & Use Tax Systems

California Sales Tax provides users with a basic online sales tax reporting and payment system, with after-the-fact data entry for entities with California Board of Equalization compliance requirements (BOE Form 401, with Schedules A and T). The system is designed primarily for use directly by small businesses, with support for one company per user account. As a BOE-approved e-file provider, California Sales Tax also offers electronic funds remittance options. Pricing is on a per-use basis with the first three filings free and subsequent returns costing $9 each. FileYourTaxes.com also offers W-2, W-3, 1099 and 941 payroll filing for businesses, as well as online federal and California income tax return preparation and filing for individuals.

Navigation & Data Entry -- 4 Stars
Users can log on to the secure system from any computer, and after setting up basic company and preparer information, the user selects what compliance task to perform (in this case, sales tax filings). It is designed as a single entity filing system, providing no client database for preparers handling the sales tax compliance of multiple businesses. The system verifies the BOE account number of the user and then opens a page that displays the basic company data and location information along with filing period dates. When the account numbers are validated with the state of California, the state provides the current filing period due for the account, and that is the period presented.

After confirming this information, the browser-based filing system brings up the primary data input screen, which is somewhat of a replica of BOE-401, with entry fields for total sales, purchases, fixtures and equipment, and various specific types of sales. Each of the data-entry fields includes a link to line-specific instructions, and fields can be navigated between using either the tab key or mouse. After entering and confirming the primary sales and tax data, the screen brings up data entry for the county and any special taxing districts in which the business is located. After once again confirming the data, the system automatically makes all necessary calculations and provides a summary screen that shows net tax to be submitted to the BOE, along with any prepayments, penalties or interest due. Below this, an electronic payment section allows the user to enter bank information for electronic debit and schedule the date for the payment to occur.

The browser navigation buttons are disabled, but the screen provides text links at the top for moving back and forth between pages or returning to the main navigation page. The program also includes the ability to exit a filing before completing it, with the system saving all data entered and returning the user to the same point when they return to the task. Overall, data entry is extremely simple with no stumbling points or chances to get lost, with the process being as efficient as possible. The program includes redundant but appreciated confirmation checkpoints to ensure data is correct.

Filing, Electronic Compliance & Payment -- 4 Stars
The California Sales Tax system from FileYourTaxes.com is specifically for online reporting and electronic payment of sales taxes to the BOE. The system allows printing of forms for record keeping, but the paper-based forms cannot be filed because they are available only after submitting the form electronically and scheduling a date for the automated electronic payment to be deducted from the business’ bank account. The system also maintains a record of previously completed and filed forms, which can be accessed by the user at no additional charge since payment was made at the time of the filing.

Rate Updates -- 5 Stars
As an online system, all rates in the California Sales Tax program are automatically updated by File YourTaxes.com, with no system or other updates necessary by users.

Help/Training -- 3.5 Stars
The system is very easy to use, with common sense entry fields and line-specific instructions that provide guidance if needed. The company offers some general Help topics through its online customer support page, but these are primarily geared toward the federal tax filing system. Phone and e-mail support is available, but no training is offered, nor is it necessary.