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Regardless of Intuit's published data retention policies, there's really no way for regular retail customers to confirm what detail of info they're retaining, where they are retaining it, and for what length of time they're retaining it.
Also, even if Intuit customer support claims they have no access to previously transmitted returns, we should assume that their their legal department has unlimited access to any returns that their system administrators are able to locate (see the fine print quoted above).
In any case we can rightfully assume that online tax preparation exposes our tax return information to a much greater attack surface, i.e. an Internet-facing publicly accessible web site storing tax return information for at least as long as it takes a customer to prepare and transmit it. But using a desktop product to transmit a completed return is likely something more akin to a temporary SSH session that only lasts as long as necessary to transmit to Intuit's forwarding servers. (And hopefully Intuit's server architecture has their online preparation web server and storage completely separated from a set of store & forward servers that transmit completed returns to the relevant tax authorities -- but we can't be sure of that either...)
So the IT security guy in me (and yeah I've been involved with establishing legal holds on data with evidentiary significance) says that the risks associated with online tax preparation should be avoided if at all possible. TRUST NO ONE. 👁
@JohnQT wrote:TRUST NO ONE. 👁
I suppose that includes CPAs, accountants, and other professionals who prepare tax returns for clients using professional tax return preparation software that uploads data to the cloud.
Well I suppose I would trust a tax attorney to take the heat for me if he or she screwed up my taxes. But yeah the same security issues exist in those professions.
I have no idea what specific tools the pros use for their tax businesses. But at home I simply refuse to use any "cloud" service that doesn't at least claim to give me control over data-at-rest encryption in their cloud. That means no Google Drive (or hardly anything else Google sells or gives away), no Microsoft OneDrive, no browser-based password vaults, etc.
I use KeePass for account passwords, CrashPlan with a local encryption key for file backups, etc. It's all on me if I forget my complex passphrases for these apps. There's no second or third party that I trust to "escrow" those secrets with.
SSL/TLS transport encryption is based on a Certificate Authority architecture that's also got huge flaws -- why do web browsers around the world implicitly trust CAs from countries that most of us have never visited and in some cases wouldn't be allow to enter?
We can only fix so much but it starts with fixing what we can. That's why I push back so hard (mentally at least) against online tax preparation. Our whole U.S. income taxation system is way too complicated and really only benefits the professions you mentioned. We shouldn't be dragged into making our personal data even more vulnerable to theft and exploitation by a tax system that most of us abhor and only go along with at the point of a government gun.
@M-MTax @baldietax turbotax does not provide copies of online returns for security reasons. It tells users to access their account if they want copies. online returns are stored on turbotax computers for 7 years the same length of time the IRS preserves them. Whereas for desktop there is no online copy of the tax file. However, as to imported documents in desktop, I'm not sure of the online retention period. In 2023 I noted that there was for a limited time a copy of the 1099-B I imported. I no longer import (almost all my trades are of types A or D making manually entry easy). What surprises me is that users don't trust Turbotax but the IRS stores copies of taxpayer's returns for 7 years. While I never seen anything that would indicate the IRS has been hacked, that doesn't mean it hasn't happened or won't happen in the future. (not completely true since I think an IC doing work for the IRS accessed DJT's returns) And look at all the fortune 500 companies that have been hacked including those that do secret projects for our military!
"What surprises me is that users don't trust Turbotax but the IRS stores copies of taxpayer's returns for 7 years."
Yeah well I don't think many of us "trust" the IRS either. 🙄
"While I never seen anything that would indicate the IRS has been hacked, that doesn't mean it hasn't happened or won't happen in the future. (not completely true since I think an IC doing work for the IRS accessed DJT's returns)"
Our taxes hard at work, paying one .gov agency to spy on elected officials by rummaging through another .gov agency's files...
"And look at all the fortune 500 companies that have been hacked including those that do secret projects for our military!"
Don't even get me started on the OPM hack! Yeah, they're all highly trustworthy in my humble opinion. 🤡 </snark>
I don't know about the IRS, but Intuit is currently being sued due to their 2024 security breach related to someone gained access to sensitive information related to TuboTax. Names, SSN, address, drivers license, financial data and Tax Returns.
@Mike9241 wrote:....look at all the fortune 500 companies that have been hacked including those that do secret projects for our military!
Precisely! When I think of all of the attack surfaces to which I and probably a LOT of people are subject, it's a both a bit disconcerting and also a scenario where I have simply thrown in the towel.
I mean, a regular bank account, two brokerage accounts, credit cards, merchants, SSA, medical records, paid-off car loans and mortgages, real estate tax appraisers, and that's not to mention professional licenses I hold (that are online by virtue of state law mandates). I'm going to now add e-filing and the IRS to the mix?.......nope.
For a desktop PC owners - add a 128GB SSD with Win11, boot it once a year to run Turbotax. I've been living like this with Win10, while using Linux for everything else (Linux runs browsers and LibreOffice that can open office files). My other motivation was that my tax data are only accessible to that clean environment. Amazon sells a power "switchboard" with 4 buttons that control power to 4 SATA drives, in case you don't want to plug/unplug that extra drive.
OS is nothing more than an environment that exist to run applications. I'm only going to use Window when I have to run Turbotax. This way M$ will only see that I use Turbotax every April - good luck with selling that valuable data 🙂
@kshk1970 wrote:........ add a 128GB SSD with Win11.......Amazon sells a power "switchboard" with 4 buttons that control power to 4 SATA drives....
By the time one does all that (assuming a user has the knowledge re how to install a card or the device in a bay in the desktop box), they would probably be better off just buying a cheap laptop, with W11 installed, during a Black Friday sale.
ed requrie Widnoows 11
Seems kinda crazy that people would spend money to buy hardware, dual boot or other options just to get TurboTax to run. Wouldn't most people just buy TaxAct or H&R Block? No way are most of my relatives ever going to crack open their PC or complicated software installs.
Yes, I would like to be able to install to a W10 computer because last year I installed to a W11 machine and it lost the passkey every time that W11 upgraded and I had to buy an additional copy, which really pissed me off. It was not made clear that W11 was necessary prior to the purchase that I made on Amazon today and now I am unsure what to do. Last year your support people were useless when I used up all 5 codes following W11 updates. Can you do better this year? I still have all my banking and other secured sites requiring enhanced sign in procedures after W11 updates, which is not true with W10. Thoughts?
@skramblr wrote:Wouldn't most people just buy TaxAct or H&R Block?
Yeah, that would probably be the better option for those who don't want to upgrade to Windows 11.
Except I already bought a copy of TT 2025 from Amazon. I'm quite disappointed in TT, which I have been using since the late 1980s.
I understand, but the system requirements are actually listed.
Regardless, I think you should be able to get a refund.
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