Do Your Own Taxes With the 5 Best Online Tax Services
While many people are thinking about their New Year's resolutions, you may be thinking about getting your taxes done as soon as possible.
Although taxes aren't technically due until April, getting them done early could help you stress less in the spring and not have to scramble last minute.
If you have multiple W-2's or own your own business, taxes can be difficult, confusing, and expensive if you leave it to an accountant.
Because of this, many people resort to an online tax service to help them do their taxes. With these convenient services becoming more and more popular every year, it can be hard to determine which one is right for you.
That's why we've compiled a list of the best online tax services and their features to help you save time, money, and stress.
Intuit TurboTax
TurboTax is a widely recognized and popular tax preparation software that caters to a diverse range of users, from individuals with straightforward tax situations to those with complex financial arrangements.
Its reputation stems from its user-friendly interface, comprehensive features, and ability to guide users through the often daunting task of filing taxes.
Due to its convenient and helpful features, TurboTax wins our vote for the best overall online tax service.
Pros
Intuitive and easy-to-use interface
Comprehensive features to address various tax situations
Error-checking capabilities to ensure accuracy
Multiple support options, including live tax experts
Has a mobile app
Cons
Free version may not be suitable for complex tax situations
Upgraded versions can be expensive
TaxAct
TaxAct is another popular tax preparation software that offers a user-friendly interface, comprehensive features, and affordable pricing.
It's a suitable choice for people and families with straightforward tax situations who are seeking a cost-effective alternative to more expensive options like TurboTax.
Pros
User-friendly interface with step-by-step guidance
Comprehensive features to address various tax situations
Affordable pricing with various tiers to suit different needs
Free expert advice and audit protection
Has a mobile app
Cons
May not be as suitable for extremely complex tax situations as TurboTax
H&R Block
H&R Block is a user-friendly and reliable online tax service that caters to a wide range of individuals and families. It offers a comprehensive suite of features, including step-by-step guidance, error-checking capabilities, and multiple support options.
Additionally, H&R Block's free filing option makes it a cost-effective choice for those with simple tax situations.
Pros
User-friendly interface with step-by-step guidance
Comprehensive features to address various tax situations
Free filing option for basic tax returns
Multiple support options, including live tax help
"Peace of Mind" guarantee to ensure maximum refund
Has a mobile app
Cons
Upgraded versions may be considered expensive for some users
May not be suitable for extremely complex tax situations
TaxSlayer
TaxSlayer provides a range of features to address various tax situations, including income from multiple sources, deductions, credits, and self-employment income. The software's ability to import tax information from previous years and external sources further streamlines the preparation process.
TaxSlayer's error-checking capabilities help identify potential mistakes, ensuring the accuracy of your tax return. For those seeking a more affordable option for doing their own taxes, this is a good choice.
Pros
User-friendly interface with step-by-step guidance
Comprehensive features to address various tax situations
Affordable pricing with various tiers to suit different needs
Free expert advice and audit protection
Has a mobile app
Potential Drawbacks
May not be as suitable for extremely complex tax situations as TurboTax
Cash App Taxes
Cash App Taxes, formally known as Credit Karma, is designed to be easy to use for everyone, regardless of their tax experience. The software's step-by-step approach guides you through the tax preparation process, and its clear instructions and explanations make it simple to understand even complex tax concepts.
Since Cash App Taxes is free to use, it gets our vote for the most affordable online tax filing service.
Pros
Free to file federal and state taxes
User-friendly interface
Accuracy and error-checking
Maximum refund guarantee
Audit defense
Fast refund processing
Has a mobile app
Cons
Limited support for complex tax situations
No live chat support
Do Your Own Taxes
When choosing an online tax service, consider your tax situation's complexity, your comfort level with technology, and your budget.
For straightforward tax situations, user-friendly and affordable options like TaxAct or Cash App Taxes may be sufficient. For more complex tax situations, consider services like TurboTax or H&R Block Online, which offer comprehensive features and support.
Remember, accuracy is paramount when filing your taxes. Utilize the error-checking capabilities of your chosen tax service and carefully review your return before submitting it. If you encounter any uncertainties, consider seeking professional assistance from a tax advisor.