The first time you launch the software, the TaxAct Setup Wizard will walk you through steps to set up Master Information, including Practice, Preparers, Client Status, Directories, and General categories.

You can edit and access your Practice, Preparer, Client, and Return information through a secure online account anywhere, anytime. You’ll need to sign in to Practice Manager each time you open the TaxAct software, so please ensure you have a stable Internet connection before proceeding.

For best results, complete every tab in the setup window before clicking the OK button. To access each section individually after the initial setup, click Preparer > Master Information.

Practice

Available options in the Preparer Master Information window include:

• Practice Name
• Practice ID
• EIN
• Check if self-employed
• Address
• Foreign address
• Contact information

Enter your practice information as you want it to appear on tax returns, labels, letters, and other correspondence. The information you enter can also be linked to each preparer. When finished entering your data, click Continue to Preparer Information.

Preparers

You must enter at least one preparer to continue the setup process. The first preparer you add should be yourself. The preparer section allows you to:

• Add, edit, or deactivate preparers
• Show active, inactive, or all preparers

To access the full Preparers menu, click Add New Preparer. See Using the Master Information Preparers Tab for detailed instructions.

Client Status

Available options in the Client Status menu include:

• Client return status
• Client pay status
• Add, edit, or delete status.

Click Add New Status to create a custom message to appear in the Return Status and Payment Status columns of Client Manager.

Directories

The Directories menu displays where client documents are stored and allows you to change those locations. Available options in the Directories menu include:

• Restore default location
• Browse to edit location
• Client Data Directory
• PDF Directory
• Log Files Directory
• Auto Backup Directory
• E-files Directory

General Menu

The General menu presents options for filing/printing, calculation, and miscellaneous preferences. Available options in the General menu include:

• Filing/Printing Options
  • Print the preparer’s name in the Preparer’s Signature Field
  • Print the current date in the Preparer’s Signature Date Field
  • Print all capital gain/loss transactions on Form 8949
  • When the return qualifies, file Form 1040-SR instead of Form 1040 on all returns – (1040 only)
  • File Form 1040NR instead of Form 1040NR-EZ on all returns – (1040 only)
  • File State ‘Long Forms’ instead of State ‘Short Forms’ on all returns – (1040 only)
  • Print Schedule B even if under $1,500 – (1040 only)
  • Automatically lock returns after E-Filing
• Miscellaneous Options
  • Assign invoice number to all new and imported returns
    • Next invoice #
    • Increment Invoices By
  • Show message on return open indicating that refund has changed due to an updated or different version of TaxAct
  • Do not include social security number(s) or direct deposit information on Tax Organizers – (1040 only)
• Calculation Options (1040 only)
  • The IRS should compute Form 2210 – Underpayment Penalty (TaxAct will not compute penalty)
  • States will compute the underpayment penalty (TaxAct will not compute penalty).
  • Automatically complete Boxes 3-6 of Form W-2 based on Box 1 and Box 12 entries.
  • Automatically complete Box 16 State Wages of Form W-2 based on Box 1 entry.
  • Automatically complete Box 18 Local Wages of Form W-2 based on Box 1 entry.
  • Do not automatically compute state sales or use tax (New

Related Links

• TaxAct Professional Editions – Setup Guide
• Preparer Preferences