Ernst & Young is an accounting firm with more than 100 years of business experience. This accounting powerhouse now prepares personal and self-employment tax returns through EY TaxChat.
The EY TaxChat app gives users a price quote for tax preparation services. People who choose to move forward can chat with their tax preparer through the app or via calls.
If you’ve considered hiring an accountant to prepare your tax return, EY TaxChat could be a great platform for you. Here’s what you need to know about it.
- Full-service tax filing from tax pros
- Chat virtually with your dedicated tax preparer at any time
- Pricing is higher than similar services
EY TaxChat Details
Starts at $199
Base Fee Includes One State
Prepared by Tax Experts (EAs or CPAs)
EY TaxChat - Is It Free?
No, EY TaxChat does not prepare any tax returns for free. Users can fill out a short interview and receive a free price quote for the services. The price of the return is fixed unless the tax preparer learns about additional complexity that wasn’t covered in the interview.
Does EY TaxChat Make Tax Filing Easy In 2022?
EY TaxChat specializes in making tax filing easy. The “onboarding” interview is done in plain English, but it collects enough details for a tax preparer to request information from you. Filers can securely load all their documents into the TaxChat app or website and can communicate with their tax preparer through the app.
EY TaxChat Notable Features
These are a few areas where EY TaxChat stands out from other tax preparation companies.
Secure Document Upload
Users can upload their tax documents through a mobile app or via the TaxChat website. Both the app and the website are secured. This secured portal makes it much easier to ensure that your tax preparer has the information they need.
Safe Messaging With Tax Preparers
Filers can message their tax preparers through the EY TaxChat app. This ensures that the chat information is safe and secure. If a tax preparer needs additional information, they may request a phone call to complete their filings.
EY TaxChat Notable Drawbacks
Although Ernst & Young has a strong brand reputation, the EY TaxChat app has a few drawbacks that are worth mentioning.
High Cost Compared To Alternatives
A tax return through EY TaxChat can cost more than $1,000 for people with complex tax situations. Other companies, such as TurboTax Full Service (where an agent prepares user returns) costs less for similar levels of service. Even Picnic Tax which has returns prepared by CPAs is less expensive than EY TaxChat.
Tax Preparers May Not Be CPAs
EY says that its tax preparers may be enrolled agents (EA) or certified public accountants (CPA). Between these two designations, the CPA typically has a broader range of expertise and more experience helping clients develop tax plans. While both EAs and CPAs are qualified to prepare returns, an EA may not be suitable for more nuanced tax discussions.
However, this might not be a drawback for you. EY matches individuals with the most qualified preparer, sometimes that could mean an EA with crypto experience vs. a CPA with no crypto experience. Given the breadth of differing experience between individuals, it really depends on preference.
No Option For Tax Advice
EY Tax Preparers can help filers maximize their refund, but they cannot provide detailed planning advice. Most CPA firms provide year-round support for tax filers.
EY TaxChat Pricing
The EY TaxChat app provides customized price quotes based on the complexity of filing. We tested different combinations and found that straightforward returns (with a few deductions and credits) cost starting at $199 while the most complex was more than $1,600.
Filers considering EY TaxChat should take the time to complete the interview. It takes just a few minutes and provides a detailed price quote.
How Does EY TaxChat Compare?
EY TaxChat has a tax preparer for even the most complex tax situations. The company can help prepare returns for everyone from crypto traders to rental property owners to self-employed people.
EY TaxChat also has a built-in messaging application that makes it easy to securely communicate with your tax preparer. Overall, EY TaxChat has an offering that is similar to Picnic Tax, Visor, or TurboTax Full Service.
The chart below compares prices and services offered by these companies. EY TaxChat is somewhat more expensive than the competitors listed here.
Varies (Starts At $199 for Federal and State)
$0 (Until February 15th, $199 after that
$299 for Federal and two states
$75 Per Added State (First State Is Free)
$1,000+ Federal, $50 Per State
Secure Data Upload
Same Tax Preparer Each Year
Is It Safe And Secure?
As a global company, EY TaxChat has more security measures than most small CPA firms. It has a secure and encrypted app and website that houses tax documents. It also uses strong passwords to keep user information safe.
Surprisingly, EY TaxChat doesn’t have multi-factor authentication. If a user’s email and password were hacked, the user could have their personal information stolen. Overall, EY TaxChat has more security than the typical CPA firm, but it still has opportunities to enhance security for users.
How Do I Contact EY TaxChat?
EY encourages users to reach out to their tax preparers via the app and website's chat function. But if you'd prefer to talk over the phone, you can call 1-833 TAX CHAT (1-833-829-2428). You can also email EY TaxChat at firstname.lastname@example.org.
Operating hours for the TaxChat customer service team are Monday through Friday, 9 AM to 9 PM (ET). EY has been accredited with the Better Business Bureau (BBB) since 1952 and is currently rated A+.
Is It Worth It?
Not everyone needs a professional tax preparer. Most people can quickly prepare their own taxes if they choose a robust tax software program that suits their needs. Choosing a service like EY TaxChat will cost most people a lot of money, but it won’t save a lot of time.
However, people with very complex returns may be happy to spend the money for professional tax preparation. These complex filers may be a good candidate for EY TaxChat, but they should price shop at Picnic Tax first. The costs at Picnic Tax tend to be lower for most filers.
EY TaxChat FAQs
Let's answer a few popular questions about EY TaxChat:
Can EY TaxChat help me file my crypto investments?
Yes, EY TaxChat supports filing for all types of crypto activity. Filers who earned money through staking or mining can use EY TaxChat as can those who made money through buying and selling crypto.
Can I request my stimulus check through EY TaxChat?
Yes, EY TaxChat’s tax preparers will request information about economic stimulus payments. People who didn’t receive the 2021 economic payment may be eligible to claim the Rebate Recovery Credit. EY TaxChat’s tax preparers will determine eligibility and claim the credit if it is applicable.
I didn’t receive the full amount for Advance Child Tax Credit Payments. Can EY TaxChat help me get the rest?
Yes, EY TaxChat will help parents claim the full child tax credit for the 2021 tax year. Parents who receive Advanced Child Tax Credit Payments will be required to upload IRS Letter 6419 to the EY TaxChat app. This will allow the tax preparer to determine how much additional credit needs to be claimed.
Can EY TaxChat help me with state filing in multiple states?
Yes, EY TaxChat supports multi-state filing. The increased cost of multi-state filing is baked into the original price quote.
Does EY TaxChat offer refund advance loans?
No, EY TaxChat does not offer refund advance loans.
EY TaxChat Features
Starts at $199
Base fee includes one state. $75 for each additional state
Pay With Tax Refund
Support From Tax Pros
Yes (EAs and CPAs)
Full Service Tax Filing
DIY Tax Filing
Printable Tax Return
Crypto Tax Filing
Deduct Charitable Donations
Refund Anticipation Loans
Customer Service Options
Chat, phone, and email
Customer Service Phone Number
1-833 TAX CHAT (1-833-829-2428)
Customer Service Email
iOS and Android
EY TaxChat Review
Features & Options
Ease of Use
Plans & Pricing
EY TaxChat is a website and app that securely connects filers with certified tax preparers who prepare and file their returns for them.
- Returns are prepared by tax pros
- Fast and free customized price quotes
- Secure messaging and file storage
- One of the highest-cost tax prep options
- No multi-factor authentication
- No detailed tax planning
Robert Farrington is America’s Millennial Money Expert® and America’s Student Loan Debt Expert™, and the founder of The College Investor, a personal finance site dedicated to helping millennials escape student loan debt to start investing and building wealth for the future. You can learn more about him on the About Page, or on his personal site RobertFarrington.com.
He regularly writes about investing, student loan debt, and general personal finance topics geared towards anyone wanting to earn more, get out of debt, and start building wealth for the future.
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