TurboTax vs TaxAct

Compare TurboTax and TaxAct pricing, features, and ease of use. Find out which tax software offers the best value for your specific tax situation in 2025.

4
TurboTax wins
1
Ties
6
TaxAct wins

TurboTax

The premium tax software choice with the most comprehensive features, best-in-class data imports, and an intuitive guided experience. Comes at the highest price point in the market.

TaxAct

A budget-friendly tax software that covers all major tax situations at roughly half the price of TurboTax. Offers solid accuracy and adequate guidance without the premium price tag.

Feature-by-Feature Comparison

CategoryTurboTaxTaxActWinner
Free TierSimple returns only (W-2, limited credits)Basic 1040 with limited forms
Deluxe Price$69 federal + $59 per state$34.99 federal + $39.99 per state
Premier/Premium Price$129 federal + $59 per state$54.99 federal + $54.99 per state
Self-Employed Price$129 federal + $59 per state$64.99 federal + $54.99 per state
User InterfaceHighly polished with contextual help and smart navigationFunctional but more utilitarian; less hand-holding
Data ImportOver 1 million W-2 imports and hundreds of financial institutionsW-2 import available but fewer integrations
Deduction GuidanceIndustry-specific deduction finder with detailed explanationsStandard deduction checklist; less personalized
Accuracy Guarantee$10,000 accuracy guarantee$100,000 accuracy guarantee
Expert HelpTurboTax Live with CPA/EA access (extra cost)Xpert Help with tax professionals ($59.99 add-on)
Multi-State Filing$59 per additional state$54.99 per additional state
Prior Year ImportSeamless import from prior TurboTax returnsImport from TurboTax, H&R Block, and prior TaxAct returns

The Verdict

TaxAct delivers solid tax preparation at nearly half the cost of TurboTax. While TurboTax provides a more polished experience and better data imports, TaxAct handles the same tax forms and situations accurately. TaxAct is the clear winner for budget-conscious filers who do not need hand-holding.

Choose TurboTax if...

Filers who want the best possible experience, those with complex self-employment income, and anyone who values seamless data import from financial institutions.

Choose TaxAct if...

Cost-conscious filers comfortable navigating tax forms, multi-state filers looking to save on per-state fees, and anyone who prioritizes value over polish.

Frequently Asked Questions

Is TaxAct as accurate as TurboTax?
Yes. Both use the same IRS forms and calculations. TaxAct actually offers a larger accuracy guarantee ($100,000 vs TurboTax's $10,000). The difference is in the user experience and guidance, not the mathematical accuracy.
Why is TaxAct so much cheaper?
TaxAct spends less on marketing and has a leaner operation. They also offer fewer premium features like the extensive import integrations and live expert access that TurboTax includes. The core tax calculation engine is comparable.
Can TaxAct handle complex returns?
Yes. TaxAct supports all major forms and schedules including Schedule C, Schedule E, capital gains, AMT, and multi-state filing. You may need to enter more information manually since TaxAct has fewer automatic import options.
Does TaxAct have good customer support?
TaxAct offers phone, email, and chat support during tax season. Their Xpert Help add-on for $59.99 connects you with tax professionals. Support quality is generally good but response times can be longer during peak filing season compared to TurboTax.

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