1040Now Review 2023: Our Least Favorite Tax Software

1040Now 2023 review

If you’re keeping up with most of our tax reviews for 2023 on The College Investor, you’ll (hopefully) find a fair look at the pros and cons of many tax filing options. We rarely suggest a hard pass, but this is one of those situations where we’re hard pressed to find users who are raving about 1040Now. 

In this review, we go over why this tax software isn’t worth your time—if you’re wondering why you’d bother reading a poor review, there’s lessons to be learned here. It can serve as a way to understand the differentiators that separate the “good” from “the bad.” For self-serve tax software, this boils down to things like features, advanced tools to upload documents, user interface, design, and customer support.  

Here’s a closer look at how 1040Now works and its various pros, but mostly cons.

If you’ve already decided to move on and find something else, here’s our list of the best tax software for 2023.


1040Now Review

Quick Summary

  • Complicated and frustrating navigation
  • Pricing is above average for what you get
  • No imports or third-party integrations

1040Now Details

Product Name

1040Now

Federal Price

$19.95

State Price

$17.95 per State

Preparation Type

Self-Prepared

Promotions

None

1040Now – Is It Free?

No. 1040Now allows users to “Start My Tax Return” for free, as is the case with most competitors. When it’s time to file, you must pay the same fee regardless of which tax forms you need. The cost for 2023 is $19.95 for federal filing and $17.95 for each state.

What’s New In 2023?

For 2023, 1040Now kept up with IRS changes to tax brackets, deduction and credit limits, and other inflation and pandemic-related tax changes. Using 1040Now, you should get the same result (within a few dollars) as any other tax software.

However, the backend changes did not see a major improvement. The overall look and feel of the program remains unchanged. That means that you’ll still need to deal with the overly-wordy interface, nested form entries, and complete lack of knowledge articles.

If you’re old enough to remember Netscape, you’ll understand the look and feel of those vintage internet days (and maybe even find yourself reminiscing). 

1040Now website homepage

Does 1040Now.Net Make Tax Filing Easy In 2023?

No, the 1040Now software is frustratingly hard to use. It doesn’t have interviews to help filers skip sections. And figuring out what to do is always a challenge. It’s not easy.

Screenshot of 1040Now's complicated process for adding a W-2

To add a W-2 you need to hit “Your New Copy.” Not intuitive!

We also noticed that the software has fast session expiration time-out windows. In the minute or two it took to pull up my tax forms, the software kicked me out. I had to re-enter my username and password and click through several screens to get back to my place.

On top of this new session expiration issue, the cumbersome navigation and crowded forms haven’t improved in years. You may even consider plain IRS online fillable forms above this software. While it’s accurate, it’s frustrating and difficult to use.

1040Now Features

1040Now has a terrible user experience, so we had to stretch to find positive aspects of the software. Here you go.

Flat Pricing Model

All users pay $19.95 for federal filing and $17.95 per state.

Multi-State Filing

Filers who need to file in multiple states can use the 1040Now software program to file in all their states. A few competitors only handle one state per year.

Section Summaries

1040Now has section summaries that help users catch any major issues with income, deductions, or credits. This makes it easier to find mistakes before moving to new sections or investigate suspected discrepancies.

1040Now Drawbacks

1040Now is the most difficult to use software we’ve reviewed. The application is overloaded with text and jargon and confusing menus. These are a few of the worst features.

Terrible User Interface

1040Now is hard to use, and the software is confusing. Users have to read directions to figure out where to click, before new screens pop up with more directions. Again, it’s like vintage computer use in the Windows 3.1 days.

Because 1040Now relies heavily on “new pages” and “nested forms,” users often have to go back several levels to “resurface” if they mistakenly go down an incorrect path. Unfortunately, even with guided navigation, it’s easy to get lost.

Hot Tax Tip: Get organized with your taxes using an income tax binder

Nested Forms

Most tax software allows users to scroll to fill in the relevant information. Not 1040Now.net. This program requires users to click multiple “Next Step” buttons to complete filling out a single form. Often, the forms include confusing instructions, which add time to the filing process.

Fast Log-Out

It takes time to pull up tax documents and copy the information from a PDF to the software. We noticed that we frequently had to re-enter usernames and passwords to log back in. These “Session Expired” situations happen way too frequently for filers to complete their taxes efficiently.

1040Now Pricing

1040Now.net offers one price for all filers. The pricing generally puts 1040Now towards the mid to lower range of the market.

1040Now Pricing

Best For

Only users who are willing to put up with a frustrating user experience to file their taxes.

Federal Cost

$19.95

State Cost

$17.95 per state

Total Cost

$37.90

How Does 1040Now Compare?

1040Now software is among the worst on the market. Each competitor listed here is superior in function, and most cost less. We’d certainly recommend Cash App Taxes and FreeTaxUSA (among many others) over 1040Now.

See our full list of the best tax software here.

Header
1040Now Comparison
1040Now Comparison: FreeTaxUSA
1040Now Comparison: Cash App Taxes

Rating

Stimulus Credit

Supported

Free

Free

Unemployment Income (1099-G)

Supported

Free

Free

Student Loan Interest

Supported

Free

Free

Import Last Year’s Taxes

Not Supported

Free

Free

Snap a Picture

of W2

Not Supported

Not Available

Not Available

Multiple States

$17.95 Per State

$14.99 Per State

Not Supported

Multiple W2s

Supported

Free

Free

Earned Income Tax Credit

Supported

Free

Free

Child Tax Credit

Supported

Free

Free

Dependent Care Deductions

Supported

Free

Free

HSAs

Supported

Free

Free

Retirement Contributions

Supported

Free

Free

Retirement Income (SS, Pension, etc.)

Supported

Free

Free

Interest Income

Supported

Free

Free

Itemize

Supported

Free

Free

Dividend Income

Supported

Free

Free

Capital Gains

Supported

Free

Free

Rental Income

Supported

Free

Free

Self-Employment Income

Supported

Free

Free

Small Business Owner (Over $5k in Expenses)

Supported

Free

Free

Audit Support

Not Available

Deluxe ($7.99)

Free

Support From Tax Pros

Not Available

Pro Support ($29.99)

Not Available

Pricing

$19.95 Fed & 
$17.95/State

$0 Fed &
$14.99/State

$0 Fed & $0 State

Cell

Is It Safe And Secure?

1040Now uses SSL encryption from a third party and it requires multi-factor authentication. So filers should be able to feel confident that it has taken all reasonable precautions to keep user information safe.

Of course, any information transmitted online could be hacked. So users should carefully evaluate the risks before moving forward with any tax filing company. Always use unique, strong passwords and follow other cyber security practices to keep your data and money safe.

Helpful Tax Tip: What to do if you can’t afford to pay your taxes

How Do I Contact 1040Now?

Good luck trying to get in contact with a support representative at 1040Now. The company only offers email support at cs@1040now.com, and most customer reviews that can be found online are not complementary. Expect this to be a mostly self-service experience, with no live help to get you through your return.

Is It Worth It?

No. If you’ve used it before, make 2023 the year that you switch from 1040Now. Its built-in calculators and section summaries are nice, but every major company has these.

Rather than accepting software that hasn’t kept pace with the times, choose the best tax software for your situation. You can do much better.

1040Now FAQs

Here are the answers to a few of the most common questions we’re asked about 1040Now:

Can 1040Now help me file my crypto investments?

1040Now doesn’t offer special guidance to help you file crypto investments. However, it has all the forms needed for people who traded or mined crypto investments. Most active traders will want to choose an alternative product like TurboTax Premier.

Can 1040Now help me with state filing in multiple states?

Yes, 1040Now supports multi-state filing.

Does 1040Now offer refund advance loans?

No, 1040Now does not offer refund advance loans.

1040Now Features

Federal Cost

$19.95

State Cost

$17.95 per state

Pay With Tax Refund

Not offered

Audit Support

Not available

Support From Tax Pros

Not available

Full Service Tax Filing

Not available

Printable Tax Return

Yes

Import Tax Return From Other Providers

No

Import Prior-Year Return For Returning Customers

Yes, prior-year returns are stored for two years

Import W-2 With A Picture

No

Stock Brokerage Integrations

None

Crypto Exchange Integrations

None

Self-Employment Income

Yes

Itemize Deductions

Yes

Deduct Charitable Donations

Yes

Refund Anticipation Loans

Not offered

Customer Support Options

Email only

Customer Service Email

cs@1040now.com

Web/Desktop Software

Yes

Mobile Apps

No

Promotions

None

Editor: Claire Tak Reviewed by: Robert Farrington

The post 1040Now Review 2023: Our Least Favorite Tax Software appeared first on The College Investor.