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Tax Software Comparison 2025

Tax Software Comparison 2025

For people with a relatively simple tax situation, using the right online tax software can make a world of difference when it comes to getting your taxes filed without suffering too many migraines. Tax software has been around since the 1980s, and today it’s wildly popular. More than 150 million tax returns were e-filed using tax software in 2024 alone!1

Tax software can be a budget-friendly, convenient way to file. It offers step-by-step guidance through the preparation process, so even the first-time filer can easily follow instructions and e-file their return to the IRS. And on top of that, most software programs let you choose add-on services or different versions of their software according to your filing needs (like versions with live chat support or specialized self-employed options).  

With so many online software options and versions available for the 2025 tax season, it’s important to compare their features and costs to see which one will best fit your tax situation.

Let’s take a look at five of the most popular online tax software options (in no particular order) and see which one is best for you and your situation.

2025 Tax Software

TurboTax

TurboTax is the most widely used tax software program available. They have a 70% market share among people who choose to self-file their income taxes.2 Part of the Intuit family of products, TurboTax is related to QuickBooks, Credit Karma and Mailchimp. One of the things that attracts people to TurboTax is that it talks to accounting software offered by Intuit. If you use QuickBooks or Quicken to keep track of your business or personal expenses, you can import your data into your tax return using TurboTax.

Like most tax software, TurboTax saves your information from previous years’ returns in the cloud so you can access it at any time and roll over your data to this year’s forms. And if you need extra support, they offer versions of their software that feature live chat with a tax expert. They’ll even pair you with a local tax expert who’ll basically handle all the paperwork for you. Of course, you’re going to pay more for these support features, and just exactly how much you’ll end up paying when you actually file is where things get cloudy.

TurboTax adjusted how they label and price their products, which might make it trickier to pinpoint which version you’ll use and how much you’ll end up paying to file. Transparency is definitely not TurboTax’s strong point, folks.

Here are TurboTax’s three online filing options and a breakdown of their features and costs, starting with their most basic package:

 

Features

Cost to File Federal Return

Cost to File for Each State Return

Free

  • Prepare, print and e-file your return with no live support (if you meet their qualifications)
  • Save data and import data from last year’s return
  • Easily upload files, including your tax forms
  • Import data from Quicken or QuickBooks
  • Claim the child tax credit and earned income tax credit (EITC)

$0

$0

Deluxe

Features from TurboTax Free Edition, plus:

  • Report unemployment income
  • Itemize deductions
  • Claim student loan interest and education credits
  • Deduct homeowner expenses like property taxes and mortgage interest
  • Get product support

$69

$64

Premium

Features from TurboTax Deluxe, plus:

  • Report income from rental properties, stocks, bonds and other investments
  • Access all self-employed forms and tax breaks

$129

$643,4,5

As you can see, affordability is one of TurboTax’s major downsides. It’s one of the most expensive tax software programs out there.

Don’t settle for tax software with hidden fees or agendas. Use one that’s on your side—Ramsey SmartTax.

It’s possible to file through TurboTax for free, but only if you have a simple tax situation with minimal tax forms. If you have to file more than a simple W-2 and 1040 tax form, you won’t qualify for the freebie filing. This includes homeowners, folks who plan to itemize deductions, the self-employed, people with 1099 income, and more. From there, the minimum you’ll spend with TurboTax is $69 plus another $64 fee for each state return you e-file.6

Here’s another major red flag: TurboTax makes money on your data. TurboTax’s parent company, Intuit, actually refers to receiving bounties on customers they entice to sign up for loans and credit cards. (Remember, one of Intuit’s companies is Credit Karma.) Getting people into debt is part of their business model! If you want to avoid the debt push, check out Ramsey SmartTax. We’ll go over the details of Ramsey SmartTax below, including the fact that it doesn’t try to sell you on a loan. Unlike TurboTax.

And if you owe money to the IRS, TurboTax will conveniently offer you a loan to help pay your bill. That’s definitely a super skeezy attempt to line their own pockets with your money. The last thing you want to do when filing your taxes is create more debt for yourself.

Getting a refund? TurboTax will graciously let you pay for their service with a portion of your refund—for an additional $40 refund processing service fee!7

H&R Block

H&R Block started as a tax preparation service in 1955, and when online tax software became a thing in the early 1990s, they quickly jumped on the bandwagon. H&R Block offers several packages for those looking to self-file online, but one of their biggest draws is that they still offer in-person support at their office locations scattered across the U.S. There you can ask one of their “Block Advisors” (aka tax pros) a few questions about your return or drop off all your tax forms and let them take care of the rest—for a price, of course.

With their tax software, H&R Block delivers a user experience that’s pretty simple and easy to navigate. They avoid all the heady tax jargon and offer step-by-step guidance in all their product versions, but where H&R Block really stands out is its free tier. Most free versions of other tax software are extremely limited in what tax forms and situations they can handle without bumping you up to a paid tier. But H&R Block’s free version can handle specialized things like student loan interest deductions and retirement income.

Still, keep in mind that the free version only works for relatively simple tax situations. If you’re a freelance worker, homeowner or small-business owner or if you receive income from rental properties or investments, for example, you’ll probably need to upgrade to one of their paid plans.

Let’s take a look at the different versions of H&R Block’s tax software, starting with the freebie tier:

 

Features

Cost to File Federal Return

Cost to File for Each State Return

Free Online

  • For relatively simple returns only (W-2, Form 1040, Schedules 1, 2 or 3)
  • File federal and state returns for free
  • Easily upload files, including your tax forms
  • Claim the child tax credit and earned income tax credit (EITC)
  • Deduct student loan interest
  • Report retirement income

Free

Free

Deluxe

Features from the Free Online version, plus:

  • Get live help from a tax expert
  • Save tax documents for up to six years
  • Deduct Health Savings Account (HSA) contributions
  • Deduct real estate taxes and home mortgage interest
  • Report contract, freelancing and other self-employed income

$60

$37

Premium

Features from the Deluxe version, plus:

  • Report stocks, bonds and other investment income
  • Report cryptocurrency taxes
  • Report rental income and deductions

$100

$37

Self-Employed

Features from the Premium version, plus:

  • Deduct small-business expenses
  • Claim asset depreciation

$125

$378

In addition to these prices, H&R Block gives you a few more service options: You can have an online tax pro review your return before you take the plunge and e-file. Plus, you can add on their Audit & Tax Notice Support service. Each for a hefty fee, of course.9

Jackson Hewitt

Jackson Hewitt has been offering online tax software for about a decade. They aren’t on the top rung of the software popularity ladder like TurboTax or H&R Block, but Jackson Hewitt is still a name to be reckoned with in the tax prep game.

Jackson Hewitt gets good reviews with self-filers because of how simple and streamlined it is. They only offer one package, which can cover all tax situations. It has a flat base fee of $25 for one federal return and unlimited state returns, which is like a breath of fresh air after trying to figure out TurboTax’s confusing mix of prices and fees.10 

Yep, Jackson Hewitt’s flat $25 rate sounds like a great deal, but there are a few downsides to using this tax software: There’s no free version (if you happen to have a basic return and qualify for a free tax software, that is) and no available online support from tax pros (not even for an extra fee!).

Like H&R Block, Jackson Hewitt got its start by offering tax services at their physical locations. They currently have almost 6,000 offices across the U.S.—and about half are in Walmart stores.11 So if you start using their software and realize you need additional help, you can always go to a tax pro at one of their locations. But the cost of those services will vary, and they’re probably going to be more than $25.

Here’s a recap of what you can expect from Jackson Hewitt’s 2025 software:

 

Features

Cost to File Federal Return

Cost to File for Each State Return

Jackson Hewitt

  • Accommodates all tax forms and situations
  • File with no interruptions trying to upsell you to higher-tier packages
  • Receive step-by-step instructions
  • Get tech support via live chat and phone

$25

Unlimited state returns included12

So, Jackson Hewitt’s software is pretty straightforward, but keep in mind that a lower price doesn’t always mean a better experience, especially if you have a complicated tax return to navigate and might need a tax pro to chime in. It’s worth paying more if it means you can file with confidence.

And here’s the deal, folks: Like TurboTax, Jackson Hewitt has started pushing credit with tax refund loans. For example, the Early Tax Refund Advance loan sounds like a great deal—why wait for Uncle Sam to send you your refund when you could get a loan for up to $1,500 now?

But read the fine print. It’s a loan with a 35.96% estimated annual percentage rate!13 That’s called crazy land, guys and gals. So, bottom line: Why would you choose a tax prep company that pushes its customers into debt? Stick with software that won’t try to sell you on a refund advance loan, like Ramsey SmartTax.

TaxAct

Another major player in the tax software game is TaxAct. Though it may not be as popular as TurboTax or H&R Block, TaxAct provides a tax prep experience that’s comparable to the programs we’ve covered above.

When you first open TaxAct’s software, it’ll guide you through a long list of questions to start the preparation process. You’ll be asked about marriage and children, whether you run a business or own a home, and whether you have student loans or are in retirement—those types of questions. This allows TaxAct to recommend the best version of their software for your tax situation.

TaxAct offers four different packages, including a free package that can handle relatively simple returns. But that $0 rate doesn’t include live support from a pro. Instead, you can add their live tax pro support feature, called Xpert Assist, to any of their packages, for a hefty fee. If you add it to the free version, it changes the price of filing a federal return to $60.

Here’s a look at TaxAct’s four different software packages for personal taxes:

 

Features

Cost to File Federal Return

Cost to File for Each State Return

Free

  • File relatively simple returns only (W-2, Form 1040)
  • Import data from the prior year’s report
  • Claim the child tax credit and the earned income tax credit (EITC)
  • Deduct student loan interest
  • Report retirement income
  • Receive tech support via live chat, email or phone

$0

$39.99

Deluxe

Features from the Free version, plus:

$49.99

$39.99

Premier

Features from the Deluxe version, plus:

  • Report stocks, bonds and other investment income
  • Report cryptocurrency taxes
  • Report rental income and deductions
  • Report sale of home
  • Report foreign bank and financial accounts
  • Report income on 1099-K

$69.99

$39.99

Self-Employed

Features from the Premier version, plus:

  • Report freelance and contract income, including 1099-NEC
  • File small-business taxes
  • Claim personalized business deductions
  • Calculate depreciation

$99.99

$39.9914

Like a lot of software companies, TaxAct offers several free features on their website, like tax checklists, an income tax calculator, and a self-employment tax calculator to help you estimate your refund or how much your tax bill is. But keep in mind that you’ll still pay extra for TaxAct’s live support with a tax pro, no matter which version of their software you use.

Prices are accurate as of January 2, 2024, but are subject to change. Ramsey Solutions isn’t affiliated with TurboTax, H&R Block, Jackson Hewitt or TaxAct.

Ramsey SmartTax

With Ramsey SmartTax, every part of the e-filing process is designed to be accurate, up to date and reliable. It’s the only e-file tax return service Dave Ramsey recommends. Whether you’re a college student filing taxes for the first time or you’re shopping around for new software, getting started with Ramsey SmartTax is an easy, relatively quick process.

Powered by TaxSlayer, Ramsey SmartTax stands out from other software by giving you access to all major federal forms and deductions without any upcharges. It offers two different versions: Federal Classic and Federal Premium.

And if you’re looking for ways to be more intentional with your finances in 2025, Ramsey SmartTax is also offering a Federal Premium + EveryDollar version, which gives you access to the premium version of EveryDollar for one year. EveryDollar is Ramsey’s easy-to-use budgeting app. It’s helped millions of people take control of their money by helping them create a monthly zero-based budget.

Since Federal Classic includes all major federal forms, deductions and credits at a low, up-front price, you can easily and affordably prepare, print and e-file your tax return with the IRS.

For just $20 more, Federal Premium includes everything that comes with Federal Classic plus priority-level support for technical questions you might have along the way—and some other perks. Here’s what you get with Federal Premium:

  • Audit assistance for three full years
  • Live chat for fast technical support
  • Priority technical support via phone and email
  • Other perks like a free financial coaching session and three months of identity theft protection

If you need to file a state return too, Ramsey SmartTax has you covered! The cost to file a state return is $44.95, whether you choose Federal Classic or Federal Premium.

And if you start with Federal Classic and change your mind about needing that extra bit of support halfway through the process, that’s okay! You can upgrade to Federal Premium at any time for priority support or the peace of mind that comes with extended audit assistance.

Here’s a recap on Ramsey SmartTax’s two versions:

 

Features

Cost to File Federal Return

Cost to File for Each State Return

Federal Classic

  • Easily prepare, print and e-file your return
  • Report all major income types, including self-employed income
  • Get access to all major federal forms, deductions and credits
  • Receive tech support via phone and email
  • Get support for an IRS inquiry up to one year after your return is accepted

$49.95

$44.95

Federal Premium

Features from the Federal Classic version, plus:

  • Skip the line for tech support via phone and email, or use live chat
  • Receive free financial coaching session after you file ($200+ value)
  • Get three months of free identity theft protection

$69.95

$44.95

Federal Premium + EveryDollar

Features from the Federal Premium version, plus:

  • Get access to the premium version of the budgeting app EveryDollar for one year

$149.95

$44.9515

One of the best things about Ramsey SmartTax is you won’t have to worry about debt being pushed on you—your data won’t be used to sell you credit cards, and no attempts will be made to sell you an advance loan on your refund.

And with this software, transparency is the name of the game. No hidden fees and no bumping you up to a higher-priced package just because you have a particular tax form. You shouldn’t have to pay more just because your tax situation is a little more complicated, and with Ramsey SmartTax, you won’t.

Check Out Ramsey SmartTax Today

Bottom line: We want you to win with money 24/7—and that includes tax time. That’s the main difference between Ramsey SmartTax and other tax software. Ramsey SmartTax is designed to keep you winning. When you e-file with Ramsey SmartTax, you know you’re getting a clear and affordable price, a reliable filing partner, and most importantly, a product that keeps your well-being and financial future in mind.

Don’t just do your taxes this year. Get them done the right way. For a smarter way to do your taxes, check out Ramsey SmartTax.

Federal Classic Includes:

 

  • All major income types and federal forms

  • Prepare, print and e-file

  • Phone and email support

  • 1 year of audit assistance

Get Started With Ramsey SmartTax

Federal Premium Includes:

Everything in Federal Classic plus:

  • Live chat
  • Priority phone and email help
  • Free financial coaching session
  • 3 years of audit assistance
  • 1 month of ID theft protection
Get Started With Ramsey SmartTax

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Ramsey Solutions

About the author

Ramsey Solutions

Ramsey Solutions has been committed to helping people regain control of their money, build wealth, grow their leadership skills, and enhance their lives through personal development since 1992. Millions of people have used our financial advice through 22 books (including 12 national bestsellers) published by Ramsey Press, as well as two syndicated radio shows and 10 podcasts, which have over 17 million weekly listeners. Learn More.