TaxAct Review
Budget-conscious filers who have some tax knowledge and want solid software at a lower price point without paying for premium bells and whistles they do not need.
TaxAct has built its reputation as the value-focused alternative to TurboTax and H&R Block, offering competent tax preparation software at prices consistently 20-40% lower than the market leaders. For the 2025 tax year, TaxAct continues this positioning with its Deluxe edition at $49.99, Premier at $79.99, and Self-Employed at $99.99, each undercutting comparable tiers from larger competitors.
The software follows the familiar interview-based approach, asking questions and populating forms based on your answers. Where TaxAct differentiates is its dual-view capability: you can switch between the guided interview and a forms-based view that shows the actual IRS forms being filled out. This appeals to tax-savvy users who want to see exactly what is being reported and where.
TaxAct accuracy and calculation engine are solid and reliable. The software handles the full range of tax situations from simple W-2 returns through complex self-employment, investment, and rental property scenarios. Where it falls short compared to premium competitors is in the polish of the experience: fewer import options, less sophisticated help content, and an interface that, while functional, lacks the modern feel of TurboTax.
One notable advantage is TaxAct price lock guarantee. Unlike competitors who may raise prices as the filing deadline approaches, TaxAct locks in the price when you start your return. This transparency is appreciated by cost-conscious filers who want predictable pricing.
Pricing
Free
- Simple federal returns (Form 1040)
- W-2 income only
- Standard deduction
- Earned Income Tax Credit
- Child Tax Credit
Deluxe
- Everything in Free
- Itemized deductions (Schedule A)
- Student loan interest and education credits
- HSA contributions
- Dependents and child care credits
- Mortgage interest deduction
Premier
- Everything in Deluxe
- Investment income and capital gains
- Rental property income (Schedule E)
- Cryptocurrency reporting
- Foreign income and credits
- K-1 income from partnerships/S-corps
Self-Employed
- Everything in Premier
- Schedule C for business income
- Business deduction guidance
- Depreciation calculations
- Estimated tax payment planning
- Vehicle expense tracking
Pros
- Significantly lower pricing than TurboTax and H&R Block, with comparable core functionality for most filers
- Price lock guarantee means the price you see when you start is the price you pay, with no late-season price increases
- Straightforward, no-nonsense interface that experienced filers appreciate for its efficiency
- Strong form-based view available alongside interview mode for users who prefer to see actual tax forms
- State returns are $39.99 each, competitive with H&R Block and much cheaper than TurboTax
Cons
- User interface feels dated compared to TurboTax and H&R Block, with less visual polish and modern design
- Limited import capabilities with fewer direct connections to employers and financial institutions
- Help resources and contextual guidance are less comprehensive than premium competitors
- Free tier is very basic and covers fewer situations than H&R Block Free
- No in-person support option and limited access to live tax professionals
Features
| Feature | Included | Notes |
|---|---|---|
| Federal e-filing | ||
| State e-filing | $39.99 per state for all tiers | |
| W-2 photo import | ||
| Direct import from financial institutions | Limited number of partners | |
| Itemized deductions (Schedule A) | Deluxe tier and above | |
| Investment income (Schedule D) | Premier tier and above | |
| Self-employment income (Schedule C) | Self-Employed tier only | |
| Cryptocurrency tax reporting | Premier tier and above | |
| Forms-based view alongside interview | ||
| Audit defense | Protection Plus add-on available | |
| Prior year data import | ||
| Mobile app filing | More limited than competitors |
Our Verdict
TaxAct is the best choice for cost-conscious filers who want reliable tax software without premium pricing. The forms-based view is a genuine differentiator for experienced filers. However, first-time filers or those who want maximum hand-holding should consider spending more on TurboTax or H&R Block.
Get Started with TaxAct