Best Free Tax Software of June 2024

Best Free Tax Software of June 2024

Tax Software

Tax Day is coming up soon. Whether you’re just starting to gather your documents or already have everything organized and ready to go, this guide will help you choose the top Tax Software of 2024 so you can file your taxes with complete confidence.

Best Free Tax Software

TaxAct

Federal filing fee: Free – $65

State filing fee: $0 – $39.95

Pros

  • Competitive Pricing
  • Support for different tax situations
  • PDF upload.

Cons: The interface can be less intuitive than other options.

Who Should Use TaxAct: If you’re confident in filing your taxes and want to maximize your refunds with customizable deductions, TaxAct is for you. It’s a budget-friendly option compared to TurboTax and H&R Block, giving a similar experience to TaxSlayer but with fewer additional help options.

What Products TaxAct Offers: TaxAct provides four tiers of online tax preparation software: Free, Deluxe, Premier, and Self-Employed. Each tier varies in price and offers different features to accommodate various tax situations.

How Does TaxAct Work: TaxAct uses a question-and-answer model to guide users through their tax returns, ensuring thoroughness in identifying necessary forms. While the process can sometimes be cumbersome and frustrating, TaxAct’s extensive help and resource sections make the experience more accessible.

Is TaxAct Xpert Assist Worth the Cost? Is TaxAct Xpert Assist Worth the Cost? TaxAct’s Xpert Assist feature offers expert help from certified public accountants or IRS-credentialed enrolled agents. However, whether it’s worth it depends on the complexity of your tax situation and your willingness to pay an extra $60 fee.

Review: TaxAct Free Edition is good for simple taxes. It helps you file for free but lacks some features of the paid versions. It guides you through the process well, but you might not get much live support unless you pay extra for Xpert Assist. It guarantees a maximum refund and accuracy, with a feature to bookmark sections for later review.

Best Tax Software for Individual Taxpayers

Online Taxes OLT

Federal filing fee: $0

State filing fee: $9.95 – $12.95

Pros

  • Guaranteed 100% accurate calculations
  • IRS-authorized e-file provider
  • Free customer service.

Cons: State filing fees may vary.

Review: If you’re looking for tax software, Online Taxes OLT has you covered. It offers a variety of features to help you maximize deductions and credits. Whether you’re a homeowner, investor, rental property owner, self-employed, small business owner, or receiving retirement income, OLT provides the support you need.

Free Fillable Forms

Federal filing fee: Free

State filing fee: N/A

Pros

  • Free to use
  • Simple math calculations
  • Basic interface

Cons

  • Lacks advanced features
  • Requires user knowledge about tax credits and deductions.

Review: If you have a complex tax situation or aren’t familiar with tax laws, Free Fillable Forms may not be the best choice for you.

While it provides a basic interface with simple math calculations, it lacks advanced features found in other tax software. For instance, it doesn’t offer worksheets for specific forms or automatic form populations. Users must know about tax credits and deductions to ensure accurate filing.

Cash App Taxes

Federal filing fee: $0

State filing fee: $0

Pros

  • Completely free for everyone.
  • Quick and easy to use.

Cons

  • No phone support was provided.
  • It supports filing for only one state.

Why should you use it?  Cash App Taxes is perfect for you if your tax situation is straightforward. It lets you file your taxes for free without any surprise fees. Plus, it’s quick, easy to use, and great for people with a W-2 and common deductions, such as student loan interest.

Who Should Use Cash App Taxes: It’s suitable for confident filers with simple returns who are comfortable completing their taxes without much assistance. Individuals with more complex filing situations, like freelance income or rental property, can use Cash App Taxes for free.

How Cash App Taxes Works: The software is integrated into the Cash App mobile app, requiring users to download it to file taxes, even if filing via desktop. It operates similarly to other tax software, guiding users through an interview-style process to generate necessary forms. However, users must manually input most information, which can be time-consuming.

Is Cash App Worth the Cost? Cash App Taxes is a good choice if you’re already familiar with Cash App and feel confident filling out tax forms independently. It’s particularly suitable for people with straightforward tax situations and just a few forms to enter manually.

Review: Cash App Taxes best suits simple tax returns. It’s free and easy to use but doesn’t offer phone support. However, it only supports filing for one state and requires users to download the Cash App app.

Best Tax Software For Small Business Owners

 H&R Block

Federal filing fee: $0

State filing fee: $0

Pros

  • Free federal and state tax filing.
  • No income or filing status restrictions.
  • Provides the most filing options for employees, retirees, parents, college students, and graduates.

Cons: Phone support may have longer hold times than competitors.

Why should you use it? If you have a straightforward tax situation, H&R Block’s free online version is a great choice. It lets you file your federal and state taxes for free without any income restrictions, covers many common filing scenarios, and is user-friendly.

So, if you’re looking to save money compared to TurboTax and want a reliable online filing experience, H&R Block is your answer. It’s especially beneficial for students, W-2 employees with simple returns, and anyone who prefers in-person assistance.

What Products H&R Block Offers: H&R Block offers four online products ranging from Free Online to Self-Employed, catering to various tax situations. Each tier provides different features and pricing, with options for additional assistance from tax professionals.

How Does H&R Block Work?  H&R Block’s online platform operates on an interview-style model similar to TurboTax. This allows you to input your tax details step by step. While the interface might not be as intuitive as TurboTax’s, it still provides a seamless filing experience, especially for those eligible for the Free Online tier.

Is H&R Block’s Tax Pro Help Worth the Cost? Whether it’s worth it depends on the complexity of your tax situation and how comfortable you are with filing taxes on your own. H&R Block offers different tiers with varying levels of support, but if your situation is straightforward, you might not need the extra assistance.

Review: H&R Block offers helpful tax tools, such as a tax calculator and refund tracking. Plus, it provides various options for receiving tax refunds, like direct deposit and prepaid debit cards.

As a leading tax preparation software, the Free Online tier is particularly beneficial for students and W-2 employees with straightforward returns, while higher tiers cater to more complex tax situations.

H&R Block’s free online version is perfect for individuals with simple tax filings, such as wages, limited interest income, earned income tax credit, child tax credit, and unemployment income. It covers a wide array of common filing scenarios.

FreeTaxUSA

Federal filing fee: Free

State filing fee: $15 

Pros

  • Easy to use,
  • Actual form display for better understanding
  • PDF import for prior year data.

Cons: Limited support for some complex tax situations.

Who Should Use FreeTaxUSA? FreeTaxUSA is perfect for those looking to save money and have straightforward tax returns. If you have different tax situations, like unemployment income, rental property, or self-employment, It could be an excellent budget-friendly choice.

What Products FreeTaxUSA Offers: They offer different tiers, but the standout feature is that all plans allow free federal returns. The only charges are for state returns and additional support services.

How Does FreeTaxUSA Work? It’s straightforward. You can start by importing your prior year’s return or manually entering your information. The software guides you through a series of questions and forms, but you might have to fill out most forms manually.

Review: FreeTaxUSA Deluxe and Pro Support are helpful if your taxes are complicated and you need extra help. Deluxe offers live chat support for $7.99, while Pro Support offers personal tax advice and phone support for $49.99.

FreeTaxUSA has a simple interface, useful support features, and shows your expected refund. It also has a feature to maximize your refund and guarantees accuracy and security.

If you’re okay with filling out tax forms and want to save money, FreeTaxUSA is a good option. But if you need more guidance or support, you might want to look elsewhere and provide additional support.

Best Tax Software for Tax Professionals

Jackson Hewitt

Federal filing fee: $25 (flat fee)

State filing fee: $0 (multiple state returns can be filed without additional costs)

Pros

  • Charges a flat fee of $25 to file taxes.
  • Multiple state returns can be filed without additional fees.
  • Easy-to-use interface.
  • Various assistance channels are available.

Con: Limited phone support; representatives can only help with product-related questions, not tax advice.

Why should you use it? Jackson Hewitt is the top choice for bargain hunters who prioritize affordability and simplicity. It’s ideal for those filing multiple state returns, offering unlimited state filings for a flat $25 fee. However, there are better options for users seeking extensive customer support or advanced features.

What Products Jackson Hewitt Offers: Jackson Hewitt provides online and in-person tax preparation services. Its online software features a simple interface and a flat $25 fee covering federal and unlimited state returns.

How Does Jackson Hewitt’s Tax Filing Software Work: Jackson Hewitt’s online software uses a straightforward question-and-answer model to collect user information. Users must manually enter all tax forms, as there is no option for file upload or electronic connection with financial institutions. Contextual help is limited, and support options include email and live chat.

Is Jackson Hewitt Right worth the cost? Is it worth it? Jackson Hewitt’s software is perfect for DIY filers who are comfortable with data entry and know their tax situations well. It’s a budget-friendly choice for those who don’t need much support or guidance, but there may be better fits for users with complex tax needs.

Review: Jackson Hewitt offers a 100% Accuracy Guarantee and a Maximum Refund Guarantee, ensuring users’ peace of mind. Plus, its Security Center offers extra security features, allowing users to delete their accounts if necessary.

Jackson Hewitt Online is straightforward, thanks to its user-friendly interface, allowing quick navigation through various return sections. Assistance is accessible through the Help menu, FAQs, and customer service via live chat or email.

Best Tax Software for Complex Returns:

TaxSlayer Premium

Federal filing fee: $57.95

State filing fee: $44.95

Pros

  • Good customer service with multiple contact options.
  • Assistance from a tax expert without an additional cost.

Cons: Free tax assistance is available only with TaxSlayer’s Premium and Self-Employed editions.

Who Should Use TaxSlayer Tax Software: TaxSlayer is perfect if you’re looking for a budget-friendly option that doesn’t sacrifice functionality. It’s especially suited for freelancers and side hustlers who aim to keep tax filing costs low.

What Are TaxSlayer’s Different Products: TaxSlayer offers four tiers of service – Simply Free, Classic, Premium, and Self-Employed – catering to various tax filing needs. Prices range from free to $68 for federal returns, with additional fees for state returns.

How Does TaxSlayer Work? TaxSlayer provides a straightforward online tax filing experience, allowing users to upload previous tax returns for continuity. Its interface guides users through a question-and-answer model or allows manual selection of tax forms. Tools like “Notes” and “Quick File” enhance user experience.

Is TaxSlayer Premium Worth the Cost:  TaxSlayer offers a simple online tax filing process, enabling you to upload previous tax returns for consistency. Its interface walks you through a question-and-answer format or lets you manually select tax forms. Features like “Notes” and “Quick File” improve your experience.

Review: Though it lacks advanced features in pricier competitors, its mobile app allows seamless device transitions for filing taxes.

While TaxSlayer’s interface may not be as polished as others, its affordability is attractive for independent filers like me. It’s beneficial for freelancers and gig workers. 

What sets TaxSlayer Premium apart is its outstanding customer service. It provides various contact support methods, including phone, chat, email, and free professional tax assistance. Plus, the short hold time for customer support, with wait times of less than 2 minutes, adds to the convenience.

Features to look out for in your Tax Software:

When you’re choosing tax software, look for these important features. These features can help you find tax software that makes filing smoother and less daunting.

1. Easy-to-Use Interface: Look for software that guides you step-by-step through the filing process. You want something that feels intuitive and doesn’t leave you scratching your head.

2. Affordable Pricing: Nobody wants to break the bank just to file their taxes. Make sure the software offers pricing plans that fit your budget, whether you’re filing a simple return or have more complex tax situations.

3. Deduction Finders: One of the perks of using tax software is that it can help you uncover deductions you might have missed on your own. Look for software that includes deduction finders to ensure you get every tax break you deserve.

4. Integration Capabilities: If you use other financial tools or software, it’s helpful when your tax software can integrate with them. This makes it easier to import data and ensures all your financial information is accurate and up to date.

5. Reliable Customer Support: Tax time can be stressful, so you must have access to reliable customer support if you run into any issues. Whether via chat, email, or phone, ensure the software offers support options that work for you.

What are the different forms?

1. W2: A W-2 form is a statement of wages and tax withheld given to an employee by their employer at the end of each calendar year. It shows the total amount of wages earned and the amount of taxes withheld from those wages.

2. 1099 income: Income reported on a Form 1099 is income received not as an employee but as an independent contractor or freelancer or from other sources like interest, dividends, or investment income. It includes various types of income, such as self-employment, rental, and investment.

3. 1040: Form 1040 is the standard individual income tax return form used to report various types of income, deductions, and credits to the Internal Revenue Service (IRS). Taxpayers use it to calculate and pay their federal income tax liability.

4. Self-employed income: Self-employed income refers to income earned by individuals who work for themselves rather than for an employer. This income is typically reported on Schedule C of Form 1040 for federal tax purposes. It includes income from freelancing, consulting, owning a business, or other self-employment activities.

Conclusion

Choosing the best tax software depends on your tax situation and preferences. Whether you’re a freelancer, small business owner, or individual taxpayer, there’s a tax software option that suits your needs. Before deciding, try out free trials and consult with professionals for complex tax situations. With the right tax software, you can move through tax season with confidence and ease.

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