Tax Software Comparison
Free Filing Options
IRS Free File
If your adjusted gross income is $84,000 or less, you qualify for free guided tax preparation through the IRS Free File program. Partner providers include TaxAct, FreeTaxUSA, and others. This is the only truly free option for federal and state returns.
Cash App Taxes
Owned by Block (formerly Square), Cash App Taxes offers completely free federal and state filing with no income restrictions. The interface is clean and modern. The downside is limited support for complex situations like K-1 income or foreign tax credits.
FreeTaxUSA
Federal filing is always free. State returns cost $15. FreeTaxUSA handles most common forms including Schedule C for self-employment. It is the best option for simple-to-moderate returns when you want to avoid TurboTax's upselling.
Paid Options for Complex Returns
TurboTax
The industry standard. TurboTax's interview-style interface walks you through every possible deduction. The Premium tier ($139 federal) handles investments, rental properties, and self-employment. State filing is an additional $64.
Best for: People with complex returns who want maximum hand-holding and are willing to pay for it.
H&R Block
Slightly cheaper than TurboTax with similar features. The Premium tier ($115 federal) covers investments and self-employment. State filing is $50. H&R Block also offers in-person support at their retail locations if you get stuck.
Best for: People who might want the option of in-person help.
When to Hire a CPA Instead
Tax software works for 90% of filers. Hire a CPA if you:
- Own a business with employees
- Have foreign income or assets
- Experienced a major life event (divorce, inheritance, business sale)
- Were audited previously
- Simply do not want to deal with it
A CPA costs $200-$500 for an individual return and $500-$2,000 for a business return. The deductions they find usually justify the fee.
Frequently Asked Questions
Is TurboTax really free? Only for simple W-2 returns with standard deduction. If you have student loan interest, HSA contributions, or any Schedule forms, they charge you.
Can I file my own taxes without software? Yes. The IRS offers fillable forms online. It is free but requires understanding tax law. Mistakes are common and can delay refunds.
How long does it take to file with software? Simple returns: 30-60 minutes. Complex returns with investments and self-employment: 2-4 hours.
The Bottom Line
For simple W-2 returns, use Cash App Taxes or IRS Free File. For self-employment or investment income, FreeTaxUSA is the best value. If you want the easiest experience and do not mind paying, TurboTax or H&R Block deliver. When in doubt, a CPA is always the safest choice.