Which expat tax service to use?

If you use one, which one and why?

I've used taxact.com for many years (while still physically in the US) and continue to now (resident in the UK) as they have quite helpful utilities to allow foreign tax issues to be accounted for. It's also only $9.95-14.95 to e-file for the year and sometimes they run specials where you can e-file State returns free of charge.

Bumping to the top.  I am interested in this as well.  Have tried the taxes and looks like  the exclusion is better for us (very surprised by this) as long as I am doing it all right (?) so we will have to file an extension so we can use the tax exclusion. 

I was hoping someone would respond, I want to make sure I get this all right!

We just used: www.TaxesForExpats.com

Someone here recommended them and I liked the transparent fees.  Worked out fine.  Very fast, friendly and easy to work with.   

they run specials where you can e-file State returns free of charge.

I'm moving to the UK this week, so will be experiencing the fun of filing taxes as an expat in the not too distant future...I'm wondering if generally expats have to file state tax returns?? I'll have an MA license, but that's about the extent of my connection to MA. I have never actually worked in MA. It seems illogical to have to file an MA return...or any other state return for that matter.

You have to file state until you break residency.  The first couple of tax years are a pain, so I do recommend getting advice so the IRS does not come after you (which happened to friends of ours).  We use PJD Tax Consultants for US and UK. However, we are increasingly unhappy with them.   Our taxes are complex and they would be overkill if you are just dealing with wage income.

If you have wage/interest income only, and typically did your own taxes in the US, then you likely do not need to hire a firm at all IMHO.

If you have a lot of complications, then worth the money.

Check the rules in MA for state filing as a non-resident. Then when you have broken residency (and that will likely mean giving up your MA driving license), ask for a ruling form the state tax commissioner (or whatever the equivalent may be). If you prove that you have no connections to MA, and no income from any MA sources, you may be relieved from any requirement to file a state return.

The federal return is another matter. You file as long as your income is above the filing threshold for your filing status.