[Updated on January 21, 2015 based on products for the 2014 tax year.]
After reading my previous post Fake TurboTax Discount Through Vanguard and Fidelity, reader Mike sent me an email:
I have accounts with both Vanguard and Fidelity, having several mutual funds, ETFs, and individual bonds, etc., with each company. I am able to download my tax info into TurboTax from both sites. I don’t think l can do that with HR Block.
I think this is one of the reasons Fidelity and Vanguard offer TurboTax and not H&R Block. A couple of years ago I tried using HR Block and it didn’t download my Fidelity or Vanguard info. If you know anyone who has downloaded their tax forms from HR Block, I’d like to know.
Great question. Both TurboTax and H&R Block advertise that they can import W-2 and 1099 forms. But from where?
TurboTax publishes a list of providers from which you can download W-2 and 1099 Forms. The W-2 partners include the leading payroll provider ADP and a number of individual employers. The 1099 partners include most major financial institutions.
I couldn’t find a similar list from H&R Block’s website, but since I have its software, I looked inside the software.
For importing a W-2, H&R Block asks for the employer’s federal Employer Identification Number (EIN). I entered my employer’s EIN found on my W-2. It says it’s eligible for importing because my employer uses ADP for payroll.
For importing 1099’s and 1098’s, H&R Block software lists a number of financial institutions in a scroll box. I can’t copy the complete list out of it and I don’t want to retype them. Because 1099-INT (interest earned) and 1098 (mortgage interest paid) are relatively simple, I’m not too worried about the coverage for banks and credit unions. I just looked at mutual fund companies and brokers, especially discount brokers.
H&R Block’s coverage isn’t as complete as TurboTax’s but there’s a substantial overlap. The table below compares the support for importing W-2 and 1099 forms in TurboTax and H&R Block:
|T. Rowe Price||yes||yes|
|Wells Fargo Advisors||yes||no|
|Capital One ShareBuilder||yes||yes|
H&R Block doesn’t yet support downloading from Wells Fargo Advisors or USAA. It says it supports Vanguard, Fidelity, Charles Schwab, and TD Ameritrade. At a substantial savings off the comparable TurboTax version, I’m not complaining.
Instant diversification in a low-cost ETF portfolio. Convenient and disciplined with automatic rebalancing. Minimize your taxes. Betterment.com.