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Drake: A Complete Professional Tax Preparation Software

Last updated: 24 Nov, 2022 By | 6 Minutes Read

Dealing with taxes is a complex task, and the tax season brings an immense burden on businesses and working professionals to efficiently manage the same. But, utilizing the right tax preparation software can turn this seemingly worst chore of the year to a bit manageable task.

There are many tax software available in the market, but Drake Software has proved to be one of the most trending and widely-utilized tax software because of its comprehensive product excellence. Nationwide, more than 59,000 tax professionals use Drake, and each year, it processes more than 33 million federal and state accepted returns.

Why do you Need Drake Tax Accounting Software?

Drake Tax is a robust, reliable, and user-friendly software application for tax preparers and professionals who appeal to customers in small and medium markets. It outruns various other tax software because of its customizable reporting, which provides in-depth details regarding different areas of business operations.

Apart from impeccable tax preparation services, it also incorporates a module that provides an overall view of the health and efficiency of your client’s business. Its other distinguishing features include:

  • Individual or joint tax filing
  • Overall audit support
  • Optimum savings and loan calculator
  • Easy and efficient process of filing returns
  • E-file taxes
  • With a few clicks, Quick Estimator shows the return due
Utilization of Tax Software
Overall Utilization of Tax Software According to Firm Size

Platforms for Drake Software

1. Drake on desktop

This platform includes Drake Tax, Accounting, and Documents. If you opt for Drake on desktop, the required software is installed on your desktop and can be accessed through the same. Providing features like lightning-fast speed, automatic data flow, easy software updates, e-filing, and many more, this platform is limited to your desktop.

2. Drake Hosted Desktop

It includes Drake Tax, Accounting, and Documents, and you can pay extra to add additional applications. This platform allows you to work on your desktop, but in a maintenance-free and convenient environment which is hosted on the web. Since it is a cloud-based platform, it gives you the freedom of access from anywhere through the internet and allows you to easily collaborate with multiple users. Drake hosted desktop keeps your data secure and provides you a flexible environment to operate. Once the license is purchased for a station, it can be accessed only by one user at a time.

Top 11 Useful Features of Drake Software

1. Drake Documents: If you are tired of managing all the paper documents in your office, Drake Documents can help you out as it provides safe and secure electronic storage. All your tax-related documents can be easily stored here, saving you the hassle and cost of storing them in paper form.

2. Drake Tax Planner: It is one of the most prominent features of Drake software, which helps the tax preparers to plan the client’s taxes for the season. Using this feature, you can easily compare your current tax situation with various scenarios like fluctuation in income, buying an asset, marriage, etc.

3. Data Restore and Backup: For any tax process, the client’s data is very crucial and must be handled with utmost caution. Drake provides multiple features like ‘Automatic Backup’ that helps the tax preparers to safeguard customer data. It also provides a Restore feature that lets you specify the location from where you want the data to be restored.

4. Inclusive Filing: Even though it is utilized mainly for the small and mid-sized businesses, Drake Tax provides support to even the most comprehensive filers. It incorporates forms for partnerships, estates, trusts, tax-exempt organizations, C-corps, S-corps, all federal packages and 48 state packages (plus Washington D.C.), and all 1040 forms.

5. Review Tools: Mistakes and rejections from the IRS can prove to be harmful to both the reputation and productivity of your organization. Hence, Drake Tax includes review tools like built-in recommendations that help you avoid any mistakes.

6. Data Import: Drake has a very easy and simplified implementation process as the data can be easily imported from applications like Client Write-up or QuickBooks. If you use spreadsheets, the same can also be imported easily in Drake Tax.

Offering the 8949 Import tool, Drake allows the import of the client’s broker statements directly into the 8949 import template in an excel format. You can copy the template from the knowledgebase or create your own personalized one.

7. Paperless Approach: Drake Tax includes many options that encourage a paperless environment for preparing and filing taxes, like options for easy exchange of information, e-file, and e-sign documents.

8. Drake Dashboard: This is a new web-based feature that is introduced in Drake, allowing the tax preparers to easily assess the business performance by transforming data into interactive pre-built charts. It can also analyze the business’ health by evaluating its various key performance indicators.

9. Research Tool: This tool helps to research various tax changes and can be easily accessed through the ‘Research’ button on the toolbar. Your search can become more precise by adding keywords or by adding tax-related websites like the IRS.

Tax Cuts and Jobs Act Changes

10. Drake Scheduler: This feature helps to keep your work organized by allowing you to make appointments and add schedules for yourself and other tax preparers. It also helps the tax preparers to generate batch appointments for multiple clients.

People Liking Tax Software Services
Percentage of People Liking Tax Software Services

Limitations

With its extended performance and comprehensive features, Drake Tax stands out when compared to other tax preparation software prevalent in the market. With such extensive operations, Drake finds its application more in the mid-sized companies having complex tax situations. Hence, if you run a small business and have simpler tax requirements, this software might overwhelm you. Also, the software has a learning curve to it and some aspects may require getting used to.

People Disliking Tax Software Services
Percentage of People Disliking Tax Software Services

Pricing Model for Drake Tax Software

Three package options are available for purchase:

1. Power Bundle – Drake Tax Unlimited + Drake Accounting ($1,695)

2. Drake Tax Unlimited – All-inclusive tax program ($1,595)

3. Pay-Per-Return – ‘Pay as you go’ package ($330 for 15 returns, $22/additional return)

All the packages available for purchase in the Drake tax preparation software include the following features:

  • 1040, 1040NR, 1120, 1120S, 1120H, 1065, 706, 709, 990, 1041
  • All State Packages
  • E-filing
  • Drake Documents
  • Drake Tax Planner
  • Drake Scheduler
  • Organizers
  • Data Conversion Software
  • Drake Tax 2002-2018

The Pay-Per-Return package converts to unlimited after 85 returns. Additionally, you can also purchase Drake Accounting Pro 2020 which comes free as an added feature in the Power Bundle, costs $395 as a part of Drake Tax Unlimited package ($795 if purchased separately), and $495 as a part of Pay-Per-Return package.

Comparison of various technical support services of tax software

Effective technical support services bring additional ease of use to software. When various tax preparation software users were asked about their experience with the technical support of the software, Drake Tax users reported maximum ease (4.8 out of 5), which was well above all the major products. The table below shows the comparison of various technical support services of trending tax software.

Technical Support All Products ATX CCH Axcess Tax CCH Pro System fx Drake Tax Lacerte ProSeries Ultra Tax CS
Did you need technical support? 84.1% 80.3% 87.7% 87.6% 87.9% 83.7% 70.8% 86.0%
How easy was it to get? 3.8 3.1 3.2 3.4 4.8 3.8 3.5 3.8

 

Received Support By All Products ATX CCH Axcess Tax CCH Pro System fx Drake Tax Lacerte ProSeries Ultra Tax CS
Phone 92.9% 91.6% 89.8% 92.1% 93.8% 94.4% 90.6% 94.0%
Email 28.3% 31.5% 36.2% 36.7% 31.4% 20.5% 14.2% 28.7%
Live chat/IM 27.1% 42.7% 46.4% 37.1% 9.8% 18.7% 27.0% 27.4%
Other 2.4% 1.4% 3.4% 3.3% 1.4% 2.2% 3.4% 1.9%

 

Conclusion

When it comes to satisfying the tax preparers and making their work easy, Drake tax preparation software comes off with flying colors. This all-inclusive platform provides functionalities that not only help in easing the workload but also catalyze the efficiency of the tax process. If you run a business with complex tax situations, opting for Drake can be the best decision for managing the same.

Do you lack expertise, time, or infrastructure when it comes to using Drake software? If yes, join hands with Cogneesol as we have professionals who are well-versed with Drake tax software and can handle your tax processes proficiently. Contact now, at +1 646-688-2821 or email us at info@cogneesol.com.

Recommended:

What Does it Cost to Outsource Your Tax Preparation Tasks?

What Preparation Must You do Before the Next Tax Season Starts?

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