“Should I use Pitbull or Canopy?”
“What’s the best tax resolution software?”
…and other variations on this same question have become the #1 thing I get asked on the “Ask Me Anything” webinars that I occasionally host.
Since it’s a question that inevitably turns into a 15-20 minute conversation about features, pricing, and user interfaces, I’ve decided to create this page to have a place to send all the folks that ask the question. So if I sent you here because you asked the question, please don’t be offended — I’ve simply gotten tired of repeating myself over and over and over and…
To cut straight to the chase…
1). There are only four full-service tax resolution software programs that I’m aware of. One of them is really old and archaic, one of them is too new and behind the 8-ball. That leaves Pitbull and Canopy.
2). What about Audit Detective from Tax Help Software? Yes, it’s a great tool — I used it myself when I was in practice. If you want a stand-alone transcript analysis tool without all the other features of a full-service tax resolution software package, then by all means get Audit Detective and don’t even bother looking elsewhere. But if you want a full package suite, that’s not what they do.
3). Don’t be a cheapskate on this. The price difference between Pitbull and Canopy is insignificant. Both platforms offer the exact same core features, such as client portal, document management, 433 questionnaire, resolution options determination, etc. They both offer additional features for additional fees. How they break out those features and fees is very different. For example, transcript service is included at no cost with Canopy, but Pitbull charges an extra $250/yr for it. They also both charge extra for practice management features, such as time tracking, billing, payment processing, etc. With Pitbull, you’re going to be in about $1500 per year for a single user license for the important stuff, at Canopy it’s $2000. You should ambivalent about that $500 difference, as one tax resolution case pays for your entire year of software.
4). In terms of overall features, there’s very little difference between what the two platforms actually do, which is the important part. Some people will argue that Pitbull’s fee quote generator pushes that platform in their favor, but hold the phone. I have long held strong opinions regarding how the big, national fly-by-night tax resolution … Continue reading