Everyone Qualifies for Free Federal Tax Preparation With TaxACT

CEDAR RAPIDS, IA--(Marketwire - January 19, 2010) - For the fourth consecutive year, 2nd Story Software®, the makers of TaxACT, is offering all taxpayers completely free federal tax preparation and e-filing.

Although TaxACT participates in the Internal Revenue Service's Free File program, TaxACT offers its Free Federal Edition to all taxpayers -- regardless of age, income, state of residence, military status or complexity of return.

TaxACT was the first to offer free federal tax software and free e-filing to all American taxpayers in the 2005 tax season.

"Everyone should have access to free federal tax preparation and e-filing -- without any restrictions," says Lance Dunn, CPA and President of 2nd Story Software. "TaxACT also believes free federal preparation should be complete, which is why TaxACT now includes all e-fileable forms needed for complex and simple returns."

TaxACT Free Federal Edition also includes several new features, including Stock Assistant to make entering and reviewing investment information faster and easier, and data import from PDF copies of 2008 federal returns prepared by several software solutions(1).

As in years past, TaxACT Free Edition also includes unlimited e-mail and Web help, audit assistance, Maximum Refund Pledge and guaranteed accuracy.

"Taxpayers have a lot of new opportunities for a bigger refund this year," Dunn adds. "TaxACT Free Federal Edition walks users through all of the new credits and deductions so that no money is left on the table. Even after you've completed the federal interview, TaxACT Examiners and Alerts identify potential errors and missing information to ensure your savings are maximized and correct."

With free e-file and direct deposit, TaxACT users can have their refunds in as few as eight days. The option to purchase U.S. Savings Bonds with their refund is also available this year.

TaxACT Free Federal Edition users can choose between online or downloadable versions. With both versions, it's free to prepare, print and e-file a federal tax return.

TaxACT State integrates completely with Free Edition to guarantee that the data from federal forms transfers smoothly to a state return, reducing time and room for error. TaxACT Online State is available for as low as $14.95 with a free e-file.

For more information about TaxACT Free Federal Edition and TaxACT State, visit www.taxact.com.

TaxACT product summary

--  TaxACT Free Federal Edition (formerly TaxACT Standard) -- FREE to
    Prepare, FREE to Print, FREE to E-file™ -- for Everyone. Includes all e-
    fileable forms for simple and complex returns, free e-file, unlimited e-
    mail help, Maximum Refund Pledge, Competitor PDF Import, Accuracy
    Guarantee, Stock Assistant, Audit Assistant, a document with all tax data
    for the FAFSA and more.
--  TaxACT Deluxe ($9.95 Online or $12.95 download) -- Recommended for TaxACT
    2008 users and those seeking extra tax tools and phone help. Includes
    everything in Free Federal Edition, as well as data import of last year's
    TaxACT return, enhanced Donation Assistant with audit-backed values for
    more than 700 commonly donated items, TaxACT TaxTutor™ expert guidance
    from J.K. Lasser, new Stock Import, unlimited Life Events, W-2 import for
    select employers, Tax Calculator for performing what-if tax scenarios and
    more.
--  TaxACT State ($14.95 Online and download) -- Information from TaxACT Free
    Edition or Deluxe is transferred seamlessly to TaxACT State so that users
    can complete a state return in minutes. TaxACT Online State includes a free
    e-file, and download users can e-file for just $7.95.
--  TaxACT Ultimate Bundle -- Deluxe + State ($17.95 Online or $19.95
    download) -- Best value for federal and state returns with a more than 25%
    savings. Online users receive a free federal and state e-file. Download
    users receive a free federal e-file and can e-file their state return for
    just $7.95. Download users can also e-file up to four more federal returns
    for just $7.95 each.
    

About 2nd Story Software® and TaxACT

2nd Story Software, the makers of TaxACT, is a privately held company founded in 1998 and critically acclaimed as a leader in developing affordable tax preparation software and Web-based services directly for consumers. TaxACTOnline.com is the 2nd most visited online destination for tax preparation services.(2)

TaxACT provides users with well-informed tax strategies in an easy-to-use format, while maintaining focus on providing the best value. TaxACT is the only Web-based tax planning and preparation solution to offer a year-round solution, releasing preview versions of its federal software in October and final versions in January.

In addition to individual tax preparation software, TaxACT offers professional and business federal and state software. More information about all products is available at www.taxact.com.

Find TaxACT on Facebook at www.Facebook.com/TaxACT and follow us on Twitter at www.Twitter.com/TaxACT. Our new mobile site and blog can be found at m.taxact.com and blog.taxact.com.

(1) TaxACT can import tax data from PDF files prepared by the following software solutions: TurboTax®, TaxCut®, TaxSlayer, CompleteTax®, ezTax, FreeTaxUSA™, eSmart® Tax, On-Line Taxes, TaxBrain.com®, ATX™, Lacerte®, ProSeries® and NTS TaxVision.

(2) According to collective week end reports released by Hitwise™ during the 2005, 2006, 2007 and 2008 tax seasons.

Contact Information: Jessi Dolmage Public Relations Manager (319) 373-3600, X2193