If you don’t qualify to file your taxes for free, what’s the next best option? We’ll compare prices and features below to help you find the cheapest tax software.

There are five major tax preparation software packages on the market that most do-it-yourself tax preparers will use: Credit Karma Tax, TurboTax, TaxACT, H&R Block, and eSmart Tax. Comparing these options to find the cheapest can be a real chore. Each has several editions with varying features. As a result, it is essential to compare competing versions between the providers, not just prices.

What is vitally important in selecting the least expensive tax software is making sure that you get the right one based on your own individual income tax situation. Each of these providers has a very attractive free package. But these options won’t cover more than the most basic tax situations, so be sure you know what you need as you shop around.

Bottom line: Unless you have a very basic tax situation, you’ll likely have to pay something for your tax return software. But just how much you pay will depend on the service you choose and your individual tax situation.

To help you sort through this mess, let’s take a look at the offerings of all five companies, as well as the individual editions, and the charges related to each. Note that the costs listed below are for the online versions of each tax software. The price for the downloadable versions is listed at the end of the article.

Prices are current as of February 5th, 2019.

The Best Free Tax Software

Brand	Best For	Learn More
Credit Karma Tax	All Individual Filers	Visit CK Tax
TurboTax	Overall Features	Visit TurboTax
TaxACT	Freelancers	Visit TaxAct
H&R Block	Free Filers	Visit H&R Block
eSmart Tax	Free and Simple Returns	Visit eSmart Tax

Credit Karma Tax – Best for Individual Tax Filers

Credit Karma Tax is a fairly new service offered by Credit Karma and they’ve certainly made a splash.  Their tax filing service is straightforward and I think I can sum it up in two simple statements.

1. Filing your Federal Tax return is always FREE


2. Filing your State Tax return is always FREE

Whether you’re filing as someone with just a single W-2, or you’re self employed in need of a Schedule C and itemized deductions, Credit Karma Tax has you covered.  Their system is not designed to charge you for anything, so there’s no bait and switch.  Either your file for free from start to finish, or you choose somewhere else to file your taxes.

Credit Karma Tax offers two guarantees when you file your taxes using their platform.

Maximum Refund Guarantee

Credit Karma Tax is quite positive you’ll earn the maximum refund using their service so they’re putting the cash up.  If you file your taxes through Credit Karma, then file an amended return later in the year using the same information; and the refund is higher the second time around, Credit Karma will give you up to $100.  The $100 comes in the form of a gift card. (Minimum difference must be $25).

All you need to do to receive the gift card is provide Credit Karma Tax your amended return, show it was accepted, and show that your refund amount was larger.  Not only will you receive the larger refund, you’ll also get the gift card from Credit Karma Tax!

Audit Defense

If Credit Karma Tax makes an oopsie when you file your tax return, they’re prepared to offer Audit Defense and help you fix the problem.  And should you be charged a penalty or interest as a result of an incorrect return (an error on CK Tax’s part), CK Tax will refund you up to $1,000 in the form of a gift card for their error.

You can check out our review of Credit Karma Tax here.

Go to the Credit Karma Tax Official Website

TurboTax – Best for Overall Features

TurboTax is highly regarded in the self-prepared income tax universe, and it is the most popular tax software. But it has four different editions (five if you include Live), and you have to choose the right one for your tax situation. Otherwise, you’ll need to upgrade.

Free

This version is for the most straightforward tax returns, but it costs nothing to file either your federal or your state tax return. It only works with forms 1040A, 1040EZ, Schedule B, and Schedule EIC. It’s ideal for those with simple tax situations that don’t involve many deductions. It does cover the Child and Dependent Care credit and child tax credit so even parents can use this version.

As with the other versions of TurboTax, this one will let you upload a photo of your W-2, which can make the process of filing your taxes a snap. And you can file from your internet browser or through TurboTax’s mobile app.

Deluxe

This is TurboTax’s most popular edition, and it provides most of the services the product is known for. It is recommended if you have tax deductions, as the version is specifically designed to maximize those deductions. The cost is $39.99, and the e-file is free. There is an additional charge of $39.99 for state returns (per state). So if you have to file in your state, you’re really looking at $79.98–and that’s assuming you don’t have to file for more than one state.

Deluxe is the most popular option because it fits most taxpayers’ situations. It lets you maximize mortgage and property tax deductions, and allows you to deduct charitable donations. As with other TurboTax options, this one will also allow you to find new deductions you hadn’t thought of, and it’ll tell you whether you should take the standard deduction or itemize your taxes.

Premier

This is the TurboTax edition you will need if you have taxable investments or rental property. It does everything the Deluxe version does, but it adds the sale of investment securities (including stocks, bonds, ESPPs, and other investments), automatic calculation of cost basis for investments sold, automatic import of investment income, and preparation of <a href="ht