How Much Do We Hate Preparing Taxes? Most Would Rather Clean the House, Visit In-Laws

TaxACT Survey Also Finds 2-of-5 Consumers Would Least Like Paris Hilton to Do Their Taxes

CEDAR RAPIDS, Iowa, March 22 /PRNewswire/ -- How much do taxpayers dread preparing their annual tax returns? A recent survey from 2nd Story Software Inc., developers of TaxACT -- America's most trusted value-priced preparation software -- found that 53 percent of respondents would rather clean their house or visit their in-laws than prepare their taxes.

Most consumers dislike tax time because of the stress of tackling the complicated forms, technical jargon, ever-changing tax regulations and costs associated with filing. Seventy percent of those surveyed said they use a tax professional because they either cannot understand how to prepare their taxes or do not feel confident in their accounting abilities. And many taxpayers admit to making a mistake on their tax forms that can have a damaging impact on their returns.

"Consumers are seeking ways to relieve some of the pressures related to tax preparation and to ensure their returns are accurate and on time," said Lance Dunn, president of 2nd Story Software and a former tax accountant. "TaxACT realizes that taxes can be complicated and that is why we want to provide taxpayers with a way to combat tax-time stress with software that makes preparation fast, easy, accurate and affordable."

A growing number of taxpayers are preparing their taxes online. One-in- four American taxpayers do their taxes online and, according to the survey, the vast majority report that they are satisfied with that experience. What keeps other self-preparers from doing their taxes online? Eighty-three percent say they would prepare their taxes online if they had a value-priced option that offered help topics.

TaxACT offers the most affordable and easy-to-follow solutions on the market today at no cost. TaxACT is the only totally free tax preparation and e-filing option available online for everyone. TaxACT Standard Federal offers all of the forms needed to prepare a federal tax return in a simple question- and-answer format plus, TaxACT automatically flags incomplete or inaccurate information, ensuring that your return is accurate. All Standard users now can prepare, print and file their taxes electronically at no cost at http://www.taxact.com/ .

For those with a more complex tax situation, TaxACT Deluxe Edition includes additional support features and calculators, plus America's best- selling tax guide, "JK Lasser's Your Income Tax Guide" by John Wiley & Sons.

"By providing high-quality, easily navigated products in a convenient online setting, we essentially eliminate many of the stresses relating to tax preparation," adds Dunn. "TaxACT hopes to encourage all taxpayers to prepare their taxes online this year, and we are making it possible through our no- cost, no obligation TaxACT service."

The TaxACT survey also discovered one other tax-related tidbit. Nearly 40 percent of survey respondents said they would least like to have actress, model and socialite Paris Hilton prepare their taxes.

About TaxACT

Approaching its eighth tax season, TaxACT is America's No. 1 value-leader in tax-preparation software and consumer services. TaxACT is the nation's pioneer and most trusted leader of free tax-preparation software and online services, TaxACT is the only product to offer free e-filing services directly to consumers and to provide more free forms, worksheets, and schedules than other tax product. According to Hitwise(TM), between Feb. 20, 2005 and April 16, 2005, TaxACT Online ranked second in the number of hits among other Web-based tax-preparation services during last year's tax season.

About 2nd Story Software Inc.

2nd Story Software, a privately held company founded in 1998, is the leader in developing and marketing affordable tax-preparation software and Web-based services directly to consumers. To date, the comprehensive suite of TaxACT products have enabled more than 18 million consumer returns to be filed. It recently completed an $85 million recapitalization with TA Associates, a leading private equity and buyout firm.