If you use computer software to help you prepare and file your taxes or to perform other financial work, you may have heard of TXF files, or Tax Exchange Files. The TXF format improves communication between different financial programs -- allowing, for example, a user of the Mac version of TurboTax to successfully import tax data prepared using the Windows version of Quicken.
TXF
- Tax Exchange File is a standardized file format used by tax programs like Quicken and TurboTax. While these programs also use their own proprietary file formats, which other programs cannot open, they can save data in the TXF format to make it easier to transfer tax information from one program to another.
Exporting
- If you have tax data saved in a format used by one program and want to transfer it to another program, check your program's documentation for precise instructions on how to export the data as a TXF file. In Quicken, for example, view your tax information by clicking "Tax Schedule" in the "Tax" section of the "Reports" menu, then click "To tax export file" in the "Export Data" menu. Other programs have different export methods, but all create a file with the TXF extension, at whatever location on your hard drive you choose.
Importing
- Similarly to exporting, the method used to import TXF files varies depending on your software. On TurboTax Mac, for example, open the "TurboTax" menu, point to "Import" and click "From Accounting Software." Follow the on-screen instructions and select the TXF file from the list of files and folders on your hard drive.
TXF on Mac
- While many tax programs are capable of importing files in the proprietary formats of their competitors, converting the data into their own formats, this doesn't always work when transferring data between operating systems -- TurboTax Mac, for instance, is incapable of importing files saved in the QuickBooks format. TXF files lack this disadvantage -- TurboTax Mac can open TXF files, regardless of their source. While not every Mac accounting program necessarily accepts TXF, there is nothing that prevents them from doing so.
