The deadline to submit individual tax returns to the Internal Revenue Service (IRS) is April 18, 2023.
While tax season may not be your favorite time of the year, you can make the process faster by filing your tax return using a tax software program. Services like TurboTax and H&R Block walk users through the process so they can maximize deductions and increase their refund. Many of the best tax filing software companies offer both free and paid plans that allow you to select the option that best suits your needs — whether this is the first time you've needed to file or you've been paying taxes for years.
CNBC Select reviewed 12 tax filing software options, evaluating them on a range of features, including cost, user experience, expert tax assistance and Better Business Bureau rating. (Read more about our methodology below.) Here are our top picks for tax filing software companies.
Best tax filing software
Best overall tax software
TurboTax
Cost
Costs may vary depending on the plan selected - see breakdown by plan in the description below
Free version
For simple tax returns only. Not all taxpayers qualify. See if you qualify.
Mobile app
Yes
Live support
Yes, costs extra
Terms apply, see below for our methodology.
Pros
- Step-by-step guidance with a Q&A format that is easy to follow
- TurboTax Live provides on-demand advice and a final review from a tax expert
- Live Full Service has a tax expert prepare, sign, and file your return
- Accuracy and maximum refund guaranteed*
- Audit support, which provides free assistance if you get an IRS or other tax notice
Cons
- More costly than other software programs
- Live expert assistance plans have additional costs
Cost breakdown by plan:
- Free (For simple tax returns only. Not all taxpayers qualify. See if you qualify): $0 federal, $0 per state
- Deluxe (helps you maximize credits and deductions): $69* federal, $59* per state
- Premium (includes returns with investments and expenses): $129* federal, $59* per state
- Live Basic (includes help from tax experts): $99* federal, $54* per state
- Live Deluxe (includes help from tax experts): $139* federal, $64* per state
- Live Premium (includes help from tax experts): $219* federal, $64* per state
- Full Service Live Basic (includes help from tax experts; simple tax returns only): $219* federal, $54* state
- Full Service Live Deluxe (includes help from tax experts): $269* federal, $64* per state
- Full Service Live Premium (includes help from tax experts): $409* federal, $64* per state
*Click here for TurboTax offer details and disclosures
**A simple tax return is Form 1040 only.
Runner-up
H&R Block
Cost
Costs may vary depending on the plan selected - see breakdown by plan in the description below
Free version
Yes (for simple returns only)
Mobile app
Yes
Live support
Yes, costs extra
Terms apply, see below for our methodology.
Pros
- Simple step-by-step guidance that's easy to follow
- Unlimited on-demand chat or video support with Online Assist plans
- Ability to speak to a tax expert who has an average of 10 years experience (costs extra)
- Over 11,000 physical locations so you can meet with a tax expert in-person
- Maximum refund guarantee, or H&R Block will refund the plan fees you paid
- Audit support guarantee, which provides free assistance if you get an IRS or other tax notice
- 100% accuracy, or H&R Block will reimburse you for any penalties or interest up to $10,000
Cons
- Plans that include speaking with a live tax expert start at $69.99 for federal, plus additional state fee
- One of the more costly software programs
Cost breakdown by plan:
- Free (for simple returns): $0 federal, $0 per state
- Deluxe (helps you maximize credits and deductions): $44 federal, $45 per state
- Premium (includes returns with investments and expenses): $60 federal, $45 per state
- Self-employed (for personal and business income and expenses): $92 federal, $45 per state
File with a tax pro:
- Virtual (includes help from tax experts): Starting at $85
- In office (includes help from tax experts): Starting at $85
- Drop off (includes help from tax experts): Starting at $85
Best free tax software
Cash App Taxes (formerly Credit Karma Tax)
Cost
$0 federal and state
Free version
Yes
Mobile app
Yes
Tax expert support
No
Terms apply, see below for our methodology.
Pros
- Completely free to use
- Get access to Cash App Tax services like credit monitoring alerts and credit score updates
- Audit defense, which gives you support from a representative if the IRS audits your tax return
- Maximum refund guarantee, or Cash App will pay you the difference up to $100 ($25 minimum)
- 100% accuracy, or Cash App will reimburse you for any penalties up to $1,000
Cons
- Only available in 40 states and D.C.You can't file with Cash App Taxes (formerly Credit Karma Tax) if you lived in a state for only part of the tax year, earned income in more than one state during the tax year or earned income in a state you didn't live in
- No support from tax professionals
Best affordable tax software
TaxSlayer
Cost
Costs may vary depending on the plan selected - see breakdown by plan in the description below
Free version
Yes
Mobile app
Yes
Tax expert support
Yes, costs extra
Terms apply, see below for our methodology.
Pros
- Cheaper plans, making this a more affordable choice if you don't have a simple return and need to upgrade
- Low state filing fees
- One-on-one support from real tax experts with Ask a Tax Pro (select plans only)
- 100% accuracy, or TaxSlayer will reimburse you for any penalties or interest charges
- Maximum refund guarantee, or TaxSlayer will refund the plan fees you paid
- IRS inquiry and audit support guarantee with select plans
Cons
- Experts are only available on Premium and Self-Employed plans
Cost breakdown by plan:
Simply Free (for simple returns): $0 federal, $0 per state
Classic (for any tax situation):
Classic - $29.95 Includes all forms + free phone & email support.
Premium (includes priority phone and email support, live chat and help from a tax expert):
Premium - $49.95. Includes all forms + live chat support, Ask a Tax Pro, front-of-the-line assistance
Self-employed (for personal and business income and expenses):
Self-Employed: $59.95. Includes all forms + access to a tax pro with self-employed expertise
Each state tax return is $39.95. Actual prices are determined at the time of print or e-file. Offer is subject to change or end without notice.
Best for accuracy guarantee
TaxAct
Cost
$0 to $48.71 federal, $29.96 to $33.71 per state (see breakdown by plan below)
Free version
Yes
Mobile app
Yes
Tax expert support
Yes, costs extra
Terms apply, see below for our methodology.
Pros
- Up to $100,000 accuracy guarantee, which reimburses you for IRS/state penalty or interest if the TaxAct software causes a calculation error in your return
- More affordable than other paid software
- Free one-on-one support from real tax experts with all plans
- Maximum refund and 100% accuracy guarantee, or TaxAct will refund the plan fees you paid and pay any difference in the refund or tax liability, plus cover any legal or audit costs up to $100,000
Cons
- Free plan charges per state return
Cost breakdown by plan:
- Free (only covers simple returns): $0 federal, $29.96 per state
- Deluxe (helps you maximize credits and deductions): $18.71 federal, $33.71 per state
- Premier (includes returns with investments and expenses): $26.21 federal, $33.71 per state
- Self-employed (for personal and business income and expenses): $48.71 federal, $33.71 per state
FAQs
When are taxes due?
While taxes are traditionally due on April 15, because of a holiday in Washington, D.C. you have until April 18, 2023 to file your taxes.
What happens if I miss the tax deadline?
If you miss the April 18 deadline, you still need to file your taxes and should do so as soon as possible. You'll incur a penalty if you file late and owe taxes, which only gets pricier the longer you wait. You won't incur a penalty if you don't owe and instead have a tax refund coming.
How much does it cost to file taxes?
Different filing options have different costs.
Most tax preparation software comes with a free version, along with the option to upgrade to a paid plan. The tax prep services we reviewed either have no cost for free tax filing or charge as low as $11.05 for federal filing plus $4.95 per state. However, the costs can add up fast with the more complex deluxe, premium and self-employed plans — the most expensive is $170 for federal returns, plus $50 per state. If you want to add live tax support, the surcharge can be $35 to $100, plus state fees.
There's also a DIY service provided by the IRS called IRS Free File where you can file your own taxes at no cost. IRS Free File partners with online tax prep companies to help filers do free federal returns. Once you have your tax documents ready, go to IRS.gov and click on "IRS Free File." From there, you can prepare and file your federal income tax online using either guided tax preparation (which redirects you to an IRS partner site) or Free File Fillable Forms.
If your tax return is more complicated and you don't want to DIY using online software, you may want to think about hiring an expert like a CPA to file your taxes for you (which of course comes at its own cost). Keep in mind that some tax prep software offers an add-on benefit of live customer support with phone support and even full tax preparation, available for both individual tax filers and business owners. Costs can range anywhere from $69 to $230.
Can I pay taxes with a credit card?
You can pay taxes with a credit card, but providers typically charge a processing fee associated with doing so that may outweigh any benefits.
Besides the convenience factor, paying with a credit card allows you to earn cash back or other rewards, meet spending requirements for welcome bonus offers and potentially buy some extra time on tax payments by taking advantage of a 0% APR period. However, the processing fees and potential interest charges for late credit card payments can end up being greater than the value of the rewards.
Simple tax return vs. complex tax return
A simple tax return is the most basic type of tax return you can file, and many tax software programs let you file this return for free. A simple return generally includes W-2 income, limited interest and dividend income (i.e. investment income), standard deductions and unemployment income.
Some free plans also include the earned income tax credit (TurboTax, H&R Block, Cash App Taxes, and TaxAct), child tax credits (TurboTax, H&R Block, Cash App and TaxAct) and student loan interest tax deductions (H&R Block, Cash App, TaxAct and TaxSlayer).
If your finances are more complicated and you don't qualify for a simple tax return, you'll need to file a complex one and most tax software programs will charge you fees to file. Complex tax situations typically include anyone with freelance income (1099 tax forms or Schedule C forms for self-employed filers), small business owners (who would want to deduct business expenses) and landlords (who would want to deduct rental property expenses from their rental income), as well as anyone with investment income, or earnings from investments and stock sales.
The tax program you use will notify you if you can't file a free simple tax return and instead need to upgrade and pay to file a more complex return. And even if you can file a simple tax return, you may want to pay for the next-tier plan to benefit from more tax deductions.
Should I itemize or take the standard deduction?
When you file your taxes, you can choose to lower your taxable income by either taking the standard deduction or by itemizing deductions.
The standard deduction is a preset amount that depends on your filing status, while itemized deductions are expenses you paid in the prior year that can reduce your taxable income. Itemized deductions may include mortgage interest, real estate taxes, property taxes, disaster losses, state and local income or sales taxes, charitable donations and partial medical and dental expenses, according to the IRS website.
In most cases, higher-income earners who have large, deductible expenses in the year prior will get a lower tax bill from itemizing versus taking the standard deduction. For example, owning rental property comes with tax-deductible perks that may exceed what a filer would otherwise receive through the standard deduction.
2022-2023 tax brackets and federal income tax rates
2022 tax brackets
| Tax rate | Single | Head of household | Married filing jointly or qualifying widow | Married filing separately |
|---|---|---|---|---|
| 10% | $0 to $10,275 | $0 to $14,650 | $0 to $20,550 | $0 to $10,275 |
| 12% | $10,276 to $41,775 | $14,651 to $55,900 | $20,551 to $83,550 | $10,276 to $41,775 |
| 22% | $41,776 to $89,075 | $55,901 to $89,050 | $83,551 to $178,150 | $41,776 to $89,075 |
| 24% | $89,076 to $170,050 | $89,051 to $170,050 | $178,151 to $340,100 | $89,076 to $170,050 |
| 32% | $170,051 to $215,950 | $170,051 to $215,950 | $340,101 to $431,900 | $170,051 to $215,950 |
| 35% | $215,951 to $539,900 | $215,951 to $539,900 | $431,901 to $647,850 | $215,951 to $323,925 |
| 37% | $539,901 or more | $539,901 or more | $647,851 or more | $323,926 or more |
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Our methodology
To determine which tax software offers the best way to file your taxes online, CNBC Select analyzed 12 programs. We compared each program on a range of features, including:
- Cost
- User experience
- Expert tax assistance
- Accuracy and maximum refund guarantee
- Better Business Bureau (BBB) rating
- Customer reviews, when available
Cost was one of the most important factors. While many of these services offer free versions, many people have complicated finances that require them to pay to file their taxes. We evaluated the price per plan and weighed the features you receive, like the ability to maximize deductions and credits. The more bang for your buck, the higher a service ranked.
Whether you're new to filing taxes or a seasoned pro, user experience is crucial to filling out and submitting your return quickly and with little frustration. The services we chose had to be relatively user-friendly.
The ability to speak with a tax expert or support representative was a big plus. Four out of five of the best tax software offered some form of support.
And if a service supported consumers with a generous accuracy and maximum refund guarantee, it was ranked higher.
We also considered the Better Business Bureau rating associated with the software. BBB ratings help determine whether a business is operating responsibly and if it helps to resolve customer complaints in a timely manner. Customer reviews were also taken into consideration.
After reviewing the above features, we sorted our recommendations by best for overall tax filing, runner-up, free tax software, most affordable and best accuracy guarantee.
The federal and state filing fees for the software programs mentioned above are subject to change without notice. Many programs don't charge you until you file, so there's a chance the fees can change from the time you start your return until you submit it.
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* Cash App Taxes - TurboTax Free Edition: $0 Federal + $0 State + $0 To File offer is available for simple tax returns only with TurboTax Free Edition. A simple tax return is Form 1040 only (without any additional schedules).
