Tax season is often dreaded, but filing your taxes doesn’t have to be a stressful ordeal. With the right tax software, you can simplify the process, save time, and ensure accuracy. Choosing the best tax software for your needs can feel overwhelming with so many options available. This guide will compare leading tax software programs, helping you make an informed decision and navigate tax season with confidence.
Top Tax Software Compared
To help you quickly Compare Tax Software, we’ve evaluated several top contenders across various categories. Here’s a snapshot comparison of our best picks:
Quick Comparison Table
| Software | Best For | Free Version | Live Support | Accuracy Guarantee | Refund Advance | Key Features |
|---|---|---|---|---|---|---|
| TaxSlayer | Affordability | Yes | Yes (Paid Tiers) | Yes | No | Low cost, Self-employed features, Military options |
| TurboTax | Ease of Use | Yes (Limited) | Yes | Yes | Yes | User-friendly, Step-by-step guidance, Refund Advance |
| H&R Block | Live Support | Yes | Yes | Yes | No (Online) | Strong live support, In-person options, AI assistance |
| Cash App Taxes | Free Filing | Yes | No | Yes | No | Completely free, Audit defense |
| TaxAct | Accuracy Guarantee | Yes | Yes (Paid) | Yes ($100k+) | No | Affordable, Strong accuracy guarantee, Deduction Maximizer |
Let’s delve deeper into each option to understand their strengths and weaknesses and help you decide which tax software best fits your individual needs.
In-Depth Comparison: Best Tax Software Choices
TaxSlayer: Best Tax Software for Affordability Compared
On TaxSlayer’s secure site
TaxSlayer positions itself as the budget-friendly option in the tax software market. When comparing TaxSlayer to competitors like TurboTax and H&R Block, you’ll notice significantly lower prices, especially for their paid tiers.
Key Comparison Points for Affordability:
- Pricing: TaxSlayer’s paid plans are generally cheaper than TurboTax and H&R Block. Their “Simply Free” plan is robust, covering both federal and state returns, which is a strong advantage for simple filers looking to save.
- Free Tier Limitations: While TaxSlayer’s free version is appealing, it has limitations. The income cap of $100,000 and exclusion of dependents in the free edition are areas where TurboTax’s free edition (for simple 1040 returns) might be more accessible to some users, despite being more limited in form support.
- Features for the Price: TaxSlayer offers a good balance of features for the cost. Even their cheaper paid tiers include accuracy and maximum refund guarantees, which are standard across most reputable tax software, but valuable nonetheless.
- Support Levels: Live support is tiered. While basic support is available, priority support and expert access are reserved for higher-priced plans. This contrasts with H&R Block, which offers AI Tax Assist and live chat with all paid plans, presenting a different value proposition for support-focused users.
Pros Compared to Competitors:
- Lower Cost: Significant savings, especially on paid plans, compared to TurboTax and H&R Block.
- Free State & Federal: “Simply Free” includes both state and federal filing, a strong offering compared to some competitors’ free tiers.
- Self-Employed Features: TaxSlayer provides dedicated resources and support for self-employed individuals, making it a competitive choice against other software that also cater to this group.
Cons Compared to Competitors:
- Free Version Limits: Income cap and dependent exclusion in the free version are more restrictive than some competitor’s offerings, depending on the complexity of “simple returns.”
- Support Tiers: Full expert support is locked behind pricier plans, unlike H&R Block’s broader live support access in paid tiers.
Who Should Choose TaxSlayer?
TaxSlayer is ideal for budget-conscious filers who are comfortable navigating tax software and may not require extensive live support. It’s particularly attractive for those with straightforward tax situations or self-employed individuals looking for cost-effective software with relevant features.
TurboTax: Best Tax Software for Ease of Use Compared
On TurboTax’s secure site
TurboTax consistently ranks high for its user-friendly interface and step-by-step guidance, making it a top choice for those prioritizing ease of use. When comparing TurboTax to other tax software like H&R Block and TaxAct, its intuitive design and support resources stand out.
Key Comparison Points for Ease of Use:
- User Interface: TurboTax is renowned for its clean and intuitive interface. The Q&A format simplifies the tax filing process, making it less intimidating for users of all experience levels. This contrasts with interfaces that might feel less guided or more form-centric.
- Guidance and Support Resources: TurboTax excels in providing readily available explainers, videos, and tips directly within the software. This level of in-context support is a significant advantage over software that might rely more on external FAQs or less integrated help systems.
- Live Support Options: TurboTax offers various live support tiers, including “Live Assisted” with on-demand advice and final review, and “Live Full Service” where a tax expert completes the return for you. While H&R Block also offers robust live support, TurboTax’s tiered approach provides options for different levels of assistance, impacting the price-value comparison.
- Upselling Concerns: A common user feedback point is TurboTax’s tendency to upsell pricier plans. While this is a business strategy, users comparing software should be aware of this and carefully assess their needs to avoid unnecessary upgrades. TaxSlayer, in comparison, is often perceived as having a more straightforward pricing structure.
Pros Compared to Competitors:
- Intuitive Design: Unmatched user-friendliness with a clear, step-by-step Q&A approach.
- Comprehensive Support: Extensive in-software help resources, coupled with tiered live support options.
- Refund Advance: Offers tax refund advance loans, a feature not universally available across competitors like TaxAct or Cash App Taxes.
Cons Compared to Competitors:
- Higher Price: Generally more expensive than competitors like TaxSlayer and TaxAct, especially for comparable features and support levels.
- Upselling: Potential for aggressive upselling to more expensive plans.
Who Should Choose TurboTax?
TurboTax is best suited for users who value a seamless and guided tax filing experience, even if it comes at a premium price. It’s excellent for those who are less confident in their tax knowledge and appreciate readily available support and a user-friendly interface.
H&R Block: Best Tax Software for Live Support Compared
On H&R Block’s secure site
H&R Block distinguishes itself by offering strong live support options, making it a compelling choice for users who anticipate needing assistance during tax preparation. Comparing H&R Block to competitors like TurboTax and TaxAct highlights its commitment to accessible expert help.
Key Comparison Points for Live Support:
- AI Tax Assist and Live Chat: H&R Block provides AI Tax Assist and unlimited live chat with all paid plans. This broad access to support across paid tiers is a differentiator when compared to TaxSlayer, where enhanced support is tiered more restrictively. TurboTax also offers live support, but H&R Block’s inclusion of AI assistance and chat in all paid plans presents a strong value for support-seeking users.
- In-Person Support: H&R Block’s extensive network of physical branches provides a unique advantage. Users can opt for in-person assistance if needed, something that online-only software like TurboTax and TaxAct cannot offer directly. This hybrid approach appeals to users who value both digital convenience and the option for face-to-face support.
- Free Tier Support: While live expert support is reserved for paid plans, H&R Block’s free tier still offers robust features, including support for federal and state returns and coverage for situations like unemployment income, which can be more comprehensive than some competitors’ free offerings.
- Refund Advance Loan (Limitation): It’s important to note that H&R Block’s refund advance loans are not available for online customers, unlike TurboTax which offers this feature online. This is a crucial distinction for users interested in a refund advance.
Pros Compared to Competitors:
- Broad Live Support Access: AI Tax Assist and live chat included in all paid plans offer widespread support access.
- In-Person Option: Physical branches provide a unique in-person support channel, setting it apart from online-only competitors.
- Comprehensive Free Tier: Free version supports federal and state returns and covers more tax situations than some competitors’ free tiers.
Cons Compared to Competitors:
- Cost: Can be more expensive than some competitors, especially when considering comparable online-only plans and support features.
- No Online Refund Advance: Refund advance loans are not available for online filers, unlike TurboTax.
Who Should Choose H&R Block?
H&R Block is ideal for users who prioritize readily available and comprehensive support during tax filing. It’s particularly well-suited for those who appreciate having access to both digital tools and the option for in-person assistance if needed. Users who anticipate needing help or have more complex tax situations might find H&R Block’s support structure very beneficial.
Cash App Taxes: Best Tax Software for Free Filing Compared
On Cash App’s secure site
Cash App Taxes stands out as the only completely free tax software in our comparison, offering both federal and state filing at no cost. When compared to “free” tiers from competitors like TurboTax, TaxSlayer, and H&R Block, Cash App Taxes provides a genuinely free service without income or complexity restrictions for most filers.
Key Comparison Points for Free Filing:
- Completely Free: Unlike other “free” versions that have limitations or are only free for very simple returns, Cash App Taxes is free for all supported forms and schedules, both federal and state. This is a major advantage for users seeking to minimize costs.
- Feature Set for Free: Despite being free, Cash App Taxes includes audit defense, which is a valuable feature often found in paid versions of other software. This adds significant value compared to basic free offerings from competitors.
- Support Limitations: The trade-off for being completely free is the lack of live professional support. Users are on their own with self-service resources. In contrast, even free tiers from some competitors offer basic support, albeit often limited.
- Manual Data Entry: Cash App Taxes relies heavily on manual data input. While this ensures data privacy, it can be less convenient than software that offers extensive data import features. TurboTax and H&R Block, for example, offer more robust data import capabilities.
Pros Compared to Competitors:
- Truly Free: Completely free for all users, regardless of income or tax complexity (within supported forms).
- Audit Defense Included: Free audit defense adds significant value for a free product.
- Early Refund Option: Option to receive refunds up to five days early when deposited into a Cash App account, a unique perk.
Cons Compared to Competitors:
- No Professional Support: Lacks access to tax professionals for advice or assistance, unlike paid versions of competitors and even some free tiers with limited support.
- Manual Data Entry: Primarily manual data input, less convenient than software with robust import features.
- Limited State Support: Cannot file returns for multiple states, a limitation for those with income sources in several states.
Who Should Choose Cash App Taxes?
Cash App Taxes is the best choice for confident DIY filers who want to minimize costs and are comfortable without professional support. It’s ideal for those with straightforward to moderately complex tax situations who are seeking a genuinely free filing option with essential features like audit defense.
Learn More About Cash App Taxes
TaxAct: Best Tax Software for Accuracy Guarantee Compared
On TaxAct’s secure site
TaxAct emphasizes its strong accuracy guarantee, offering significant financial protection against errors. When comparing TaxAct to competitors like TurboTax and H&R Block regarding accuracy guarantees, TaxAct’s coverage stands out, particularly its inclusion of legal and audit fee reimbursement.
Key Comparison Points for Accuracy Guarantee:
- Financial Protection: TaxAct’s accuracy guarantee not only covers software costs and tax bill differences but also reimburses penalties, interest, and legal/audit fees up to $100,000. This level of financial protection is more extensive than standard accuracy guarantees offered by many competitors, which typically cover penalties and interest but not legal fees to this extent.
- Guarantee Conditions: It’s crucial to understand the conditions of the accuracy guarantee for all software. Guarantees typically apply when errors are directly caused by the software, and users must follow software instructions correctly. Comparing the fine print of guarantees across software is advisable.
- Cost vs. Guarantee: TaxAct balances affordability with a strong accuracy guarantee. While not as feature-rich in some areas as TurboTax, its combination of lower cost and robust guarantee can be a compelling value proposition for users concerned about accuracy and potential errors.
- Support Options (Xpert Assist): TaxAct offers “Xpert Assist” for live support for a flat fee with any plan. While not included in the base price, this option provides access to expert help, contrasting with Cash App Taxes’ complete lack of professional support.
Pros Compared to Competitors:
- Superior Accuracy Guarantee: Industry-leading accuracy guarantee with legal/audit fee coverage up to $100,000.
- Affordable Pricing: Generally more affordable than TurboTax and H&R Block, offering a good balance of cost and features.
- Free Federal and State (Limited): Free tier covers federal and state returns for simple situations.
Cons Compared to Competitors:
- Free Tier Limitations: Free tier excludes freelance and investment income, which can be more restrictive than some competitors’ free offerings depending on income types covered.
- No Refund Advance: Does not offer tax refund advance loans, unlike TurboTax.
Who Should Choose TaxAct?
TaxAct is the best choice for users who prioritize accuracy and want robust financial protection against potential tax preparation errors. It’s particularly appealing to those who want a balance of affordability and a strong safety net in the form of an extensive accuracy guarantee.
More Details on Top Tax Software
Let’s revisit each of our top picks with a more detailed comparison of their features and offerings:
TaxSlayer: Detailed Feature Comparison
TaxSlayer offers cloud-based tax preparation accessible via website and mobile app.
- Free Version: Simply Free plan covers federal and state returns (Form 1040 + limited credits).
- Live Support: Simply Free and ClassicFree include phone and email support. Premium plan offers priority phone support and live chat. Self-Employed tier includes access to a tax pro with self-employment expertise.
- Guarantees: Maximum refund and 100% accuracy guarantees are standard.
- Refund Advance: No refund advance loans are offered.
- Payment Options: Option to deduct fees from your refund for $39.99.
TurboTax: Detailed Feature Comparison
TurboTax from Intuit offers a range of plans from DIY to full-service, including options for small businesses.
- Free Version: Federal and state returns (Form 1040 + limited credits). Limited to ~37% of taxpayers with simple returns.
- Live Support: Live Assisted plan includes unlimited assistance and final review. Live Full Service provides a dedicated expert to complete and file your return.
- Guarantees: Maximum refund and 100% accuracy guarantees are included.
- Refund Advance: Yes, tax refund advance loans are available.
- Payment Options: Pay with your refund for a $40 processing fee.
H&R Block: Detailed Feature Comparison
H&R Block provides online, phone, and in-person tax services through a large network of branches.
- Free Version: Federal and state returns (Form 1040 and limited credits).
- Live Support: AI Tax Assist and unlimited live chat with all paid plans. Tax pro review available for an additional fee.
- Guarantees: Maximum refund and 100% accuracy guarantees are standard.
- Refund Advance: Up to $4,000 refund advance loans available in-person only, not online.
- Early Refund: Refunds deposited into Spruce mobile app accounts may be available up to five days early.
Cash App Taxes: Detailed Feature Comparison
Cash App Taxes is the tax preparation arm of Cash App, a financial platform offering investment, money transfer, and other services.
- Free Version: Federal and state returns, including multiple 1099s (e-filing for Montana not available).
- Live Support: No live professional support is offered.
- Guarantees: Maximum refund and 100% accuracy guarantees are included.
- Refund Advance: No tax refund advance loans.
- Early Refund: Refunds can be received up to six days earlier with Cash App direct deposit.
- Prior Filing Requirement: Must successfully file a federal return with Cash App Taxes before e-filing state return.
Return to Cash App Taxes Summary
TaxAct: Detailed Feature Comparison
TaxAct, based in Cedar Rapids, Iowa, is part of the Free File Alliance.
- Free Version: Federal returns (Form 1040 and limited credits).
- Live Support: TaxAct Xpert Assist available with any plan for a flat $60 fee.
- Guarantees: Maximum refund guarantee and $100,000 accuracy guarantee.
- Refund Advance: No tax refund advance loans are offered.
- Payment Options: Pay for the service with your tax refund for a $54 processing fee.
Understanding Tax Software: How it Works and What to Compare
There are three primary methods for filing tax returns: paper filing via mail, engaging a tax professional, or utilizing tax preparation software. Tax software has become increasingly popular, chosen by 44% of tax filers for its convenience and guided approach. The IRS also offers Direct File, a free web-based platform for simple returns in select states, but it has limitations in support and complexity.
When comparing tax software, consider these key aspects:
- Pricing Tiers: Most software offers various packages, determining supported forms and features at different price points. Evaluate which tier aligns with your tax situation.
- Guided Process: Software prompts you with questions about your finances and form uploads. Most offer direct e-filing to the IRS and state departments.
- Refund Options: Software allows you to manage your refund options and may offer fee deduction from refunds for a processing charge.
What Defines a Simple Tax Return?
“Simple tax return” criteria vary by software, but generally involve IRS Form 1040 and are limited to:
- W-2 income
- Limited interest and dividend income
- Standard deduction
- Unemployment income
Some programs include limited credits like Earned Income Tax Credit, child tax credits, and student loan interest deductions within the “simple” category.
Start preparing your taxes with these options
Offers in this section are from affiliate partners and selected based on a combination of engagement, product relevance, compensation, and consistent availability.
Live support
Xpert Assist is available with any plan for a flat fee
Guarantee
Guarantees 100% accuracy and maximum refund
LEARN MOREOn TaxAct’s secure site
Terms Apply
Live support
Live Assisted plan includes unlimited assistance and final review. Live Full Service includes a dedicated expert to complete and file your return.
Guarantee
Guarantees 100% accuracy and maximum refund
LEARN MOREOn TurboTax’s secure site
Terms Apply
Choosing the Right Tax Software: Key Comparison Factors
Selecting the best tax software involves considering several factors. Here’s a comparison checklist to guide your decision:
Ease of Use: Interface and Navigation Comparison
- Intuitive Interface: Is the software easy to navigate? Is the interface clean and understandable? Compare free trials or walkthroughs if available.
- Data Import: Can you import prior year tax data and relevant forms easily?
- Customer Reviews: Check user reviews on the software websites and third-party review platforms like Trustpilot to gauge user experience.
Supported Tax Forms: Compare Plan Features
- Form Compatibility: Does the software support all the tax forms you need for your situation (Form 1040, schedules for self-employment, investments, rental income, etc.)?
- Tiered Access: Is form support tiered across plans? Ensure the plan you choose supports your required forms without unnecessary upgrades.
Price Comparison: Cost and Value
- Total Cost: Compare the total price, including fees for state filing, refund processing, or add-on services.
- Free vs. Paid Needs: Assess if a free tier meets your needs or if paid features (support, advanced forms) justify the cost.
- Hidden Fees: Be aware of potential hidden fees or upselling tactics.
User Support Comparison: Help Options
- Support Channels: What support options are offered (chat, phone, email, in-person)?
- Support Quality: Is support responsive and helpful? Check reviews on support quality.
- Live Expert Access: Is live expert support available, and at what cost? Compare access levels across different software.
- Help Resources: Does the software offer built-in help, FAQs, video tutorials, and other resources?
Guarantees: Accuracy and Maximum Refund Compared
- Accuracy Guarantee Details: Compare the specifics of the accuracy guarantee, including what it covers (penalties, interest, legal fees) and the claim process.
- Maximum Refund Guarantee: Understand the terms of the maximum refund guarantee and how it works.
Is Tax Software Worth It? Comparing to Other Filing Methods
For nearly half of American taxpayers with relatively simple tax situations (W-2 income, standard deduction), tax software is a worthwhile solution.
Tax Software vs. CPA (Certified Public Accountant):
- Cost: Software is significantly cheaper than hiring a CPA.
- Personalization: CPAs offer personalized advice, beneficial for complex situations. Software provides guided assistance but less individual customization.
- Complexity Handling: For business owners, itemized deductions, investments, or side gig income, a CPA might offer more comprehensive expertise. Software is suitable for moderate complexity.
Tax Software vs. Paper Filing:
- Convenience: Software offers online filing convenience and step-by-step guidance. Paper filing is more time-consuming and prone to errors.
- Speed of Refund: E-filing via software generally leads to faster refunds compared to paper filing.
Pros and Cons of Tax Software: A Balanced Comparison
Pros:
- Cost-Effective: Cheaper than hiring a tax professional.
- Efficiency: Autofills data from previous years, streamlining the process.
- Convenience: File at your own pace, anytime, anywhere online.
- Payment Options: Often allows software fees to be paid from your refund.
Cons:
- Less Personalization: Lacks the tailored advice of a CPA.
- Limited Free Tiers: Free versions often restrict form support to simple returns.
- Upselling: Potential for upselling to pricier plans.
- Data Privacy Concerns: Financial data may be collected and potentially sold to third parties (referencing CNBC report on data sharing).
FAQs: Common Questions Compared
When are taxes due?
The federal tax deadline is April 15, 2025. Disaster area residents may receive extensions (FEMA disaster declarations).
What if I miss the tax deadline?
Penalties apply for owed taxes if you miss the deadline. No penalty if you are due a refund.
What is the standard deduction? (2024 Comparison)
Standard deduction amounts for 2024 tax year:
- Single/Married Filing Separately: $14,600
- Married Filing Jointly: $29,200
- Head of Household: $21,900
These amounts are set by the IRS and apply regardless of the tax software used.
When will I get my tax refund? (Comparison of Processing Times)
IRS aims to issue refunds within 21 days for e-filed returns without errors. Paper returns can take up to eight weeks. Direct File system in 2025 expands online filing access in more states, potentially speeding up refunds for eligible filers.
Why Trust CNBC Select’s Tax Software Comparisons?
CNBC Select is committed to providing high-quality service journalism and consumer advice for informed financial decisions. Our tax software reviews are based on rigorous reporting by expert writers and editors with deep knowledge of tax products. We maintain journalistic integrity, creating content independently without commercial influence.
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Our Comparison Methodology
CNBC Select analyzed over a dozen tax filing programs, comparing:
- Cost: Free tiers and paid tier pricing, feature value.
- Ease of Use: Intuitive interface and guided process evaluation.
- Live Support: Availability and quality of support options.
- Accuracy & Refund Guarantees: Guarantee terms and coverage comparison.
Audience data and engagement were also considered in our recommendations, categorized by “best for” different user priorities (affordability, ease of use, support, free filing, accuracy guarantee).
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Further Reading: Expand Your Tax Knowledge
Should you pay your taxes with a credit card?
How to file for free — and who can do it
Best tax software for small business owners
What to do if you can’t pay your taxes
Editorial Note: CNBC Select’s editorial opinions are independent and not endorsed by any third party.
