E-filing? Try These 5 Free E-File Options
This article has been updated for the 2023 tax filing season (for the 2022 tax year). I’ve always used and recommended paid TurboTax & H&R Block online and (previously) CD software products to do my own taxes. Both companies have have free and cheap options available for those who have relatively simple tax returns, but neither participates in the IRS Free File Alliance for lower income taxpayers that fall with specified age and adjusted gross income ranges.
While TurboTax and H&R Block might be the best options for most e-filers, there are other reputable alternatives as well. After researching the marketplace, here are the five options that topped my list if your goal is to have the cheapest e-file tax return. I have affiliate partnerships with all tax software companies & the links lead to the best available discounts for their products.
Let’s start with my two favorites: H&R Block and TurboTax.
H&R Block: offers a basic free federal and state version called “Free Online” that has no income or age restrictions, covering basic 1040 filings. If you start with the free version, you can easily transfer and upgrade to a different version at a later time if you have additional forms in your return, but your return must be started on their website. I have used H&R Block the last few years and really like their program. H&R Block is offering 15% off their paid online versions for a limited time (Deluxe, Premium, & Self-Employed) at that link.
TurboTax: offers a basic free federal and state e-file version, for simple tax returns only and not all taxpayers qualify, called “Free Edition”. If you choose to upgrade to another version, your data is transferred if you start your return on the TurboTax website. TurboTax’s paid online versions can be found here (with best available pricing).
TaxSlayer: TaxSlayer’s “Simply Free” version offers free basic federal and state e-file version, covering basic 1040s. You can also get 25%+ discount on TaxSlayer’s paid versions at that link.
TaxAct: TaxAct “Free” offers a free-file for basic 1040 federal returns (note that adding a state filing costs $39.95 per state). You can upgrade to another version, if you start your return at taxact.com. If you have more than a basic return, can get 25% off TaxAct’s paid versions here.
Cash App Taxes: Cash App Taxes, formerly “Credit Karma Tax” and now a division of Square/Block Inc. offers free federal and state e-file, with a few limitations.
U.S. Military & IRS Free E-File Options:
- MilTax: members of the U.S. Military are eligible for the U.S. Department of Defense’s MilTax software, available through Military OneSource for no charge.
- Free File: if your AGI is below $73,000 and your age falls within certain ranges, and you live within certain states, there are “FreeFile” e-file provider options, but none that I would recommend more than the previously mentioned free and paid online programs above, which don’t have income and age restrictions. Some of the offers require an income far below $73,000 and some of the programs do not permit you to switch to an upgraded paid version later on, if needed, which means you may have to restart fresh and re-enter all of your tax information a 2nd time. As noted earlier, H&R Block and Turbotax are no longer participating in the Free File Alliance.
- Fillable Forms: If your income is above $73,000 (as well as below), and you are up for some work and have plenty of time, you can fill out forms online through the IRS fillable forms website and then e-file with them. The big problem with this route is that you can’t prepare or submit your state return through the IRS. This is a big pain because you have to go elsewhere to do your state return – often at a cost – aside from a few of the options noted above. Additionally, all information you enter is purged every November, meaning that it does not carry over from one tax filing to the next year’s filing. Also, fillable forms are not nearly as simple to fill out as tax software. You literally are filling out IRS tax forms. I would not recommend it – but it is an option available to you for free e-filing.
Note: there are no IRS approved vendors that offer free-file through the Free File Alliance to those with adjusted gross income over $73,000 (and many have age, state, and other restrictions as well). If your income is higher and/or you invest, are a homeowner, a parent of a child, you claim major tax credits or deductions, you have self-employment income, or itemize deductions, I’d recommend going with the most appropriate paid TurboTax or H&R Block version.
E-Filing Discussion:
- What’s the cheapest way that you’ve been able to file your taxes, while getting the best return?
- Have you done your taxes yet?
- How are you filing your taxes this year?
Has anyone used TaxAct before? How is it?
I honestly love Tax Act. Never liked H&R Block. I get a bigger refund with Tax Act, personally.
How can you get a bigger refund, you get what you got coming. Put in income and deductions they are set up all the same. You must work for H and R.lol. I did my taxs on both these sites and the return is EXACTLY THE SAME AMOUNT. but thanks for your reply Hand R block worker.lol
Question:
I use the purchased version of TurboTax (due to it being easier to deal with some investments I have); Can i still use any of these services to file them free? I make under the limit. Do i just print the forms to PDF and email it to them, &c?
Sorry, taxes can be a worrying time. Thanks for any guidance up front!
-=allen
@ Allen – If you used a purchased version, I believe you get 5 free e-files with it, so there’s no need to go directly through the IRS site – not sure if it transfers over to a state site for free. You may want to check out your individual state’s site. My state had a listing of products that you could use.
@G.E. Miller: Ooooo… i must be thinking of the stupid fee you pay if you want direct deposit from the IRS.
I’m hiring someone this year, though next year I’ll probably file for myself. ::bookmarked::
@ Paul – some good tips. Just to emphasize Paul’s point, Turbotax, H&R Block, and some of the other software won’t allow you to transfer data automatically from your free federal e-file. Instead, it would have to be a manual entry based on the information you input for your federal return. I haven’t tried this method, so not sure how easy it is. How long would you say it takes, Paul?
TurboTax all the way for me. Definitely not the cheapest option, but as a stock market and real estate investor and a business owner, I have found their tax preparation process very easy and straightforward. Never had a problem with any of my returns and it beats paying a few hundred dollars to an accountant.
Some excellent resources here. I’ve never liked dealing with my taxes and hated to hire an accountant. Some of the recommendations mentioned here are excellent and has given me lots of ideas to go forward. Turbo Tax looks really interesting and I will have to give that some serious thought. Really liking the blog, keep the useful information coming. Thanks ever so much!
Taxes can be a pain, this post really made me think about all the helpful resources available on the internet. I was particularly interested in the features of Turbo Tax. I feel like a burden is lifted from me every time I file my tax return. Some excellent information here, thanks for sharing.
how good are these cheap e-file programs at handling semi-complicated tax returns?
i’m a middle class guy who has a mortgage, 9-5, 401k, HSA, ESPP, rollover, roth, brokerage account, etc. [what i assume is ‘the norm’ for folks on this site]
i also rented part of my home for part of the year.
i also have another property that i rent out.
i also am the beneficiary of a trust and get a k1.
currently i use a CPA to handle my taxes, and it’s embarrassingly expensive. they ask a ton of questions and i’m still doing a huge amount of work.
i’m wondering if i’m basically doing all the work except actually entering the numbers into turbotax / h&r block and paying WAY more for it and not actually getting a better return, or only marginally better.
With that complicated of a return, you’ll definitely NEED a paid version. My recommendation would be H&R Block “Best of Both”, which is what I use – and if that doesn’t suit you, stay with a CPA. The free versions are bare bones for simple returns. Yours is more advanced than 98% of the country, I’d wager.
freefillible, my aunt fanny. I missed the dead line because of there incompetent software…. Schedules and worksheets do not merged together, seriously. Guess the government will never change.
I only worked four months out of the year so I can’t really afford for money to be taken away what’s a better option for free to really cheap and simple! It’s my first time doing taxes
Also in getting it done free or really cheap is my only option online or would it be easier or possible to go somewhere to get them done
It will cost you a lot more to get your taxes done in person. I find DIY is the best way to learn as well.
I have not filed in years and wen to United Way after my Accontant retired. I have been a full time student with kids most of the time and only worked 7 months of the year. I don’t want to be charges fees for most of what little I may be getting back. What should I use. I am in Utah.
Filing late.
Usually file through United way after my accountant returned. I have only been in school full time and my bother claims my kids, I’m work for most of this year and have no clue what to use.
Need Help!
I had my identity stolen (they tried to file my taxes) a few years back and now have to use a code that I get from the IRS each year to confirm my identity. Does anyone know if I will be able to use that code on these sites?
Jessica, I was in Tax Act this past weekend and I did see a place where you could input that code to confirm identity. I was using the premium version they have. Hope that helps you!
Does anyone have any experience with using these online options while living overseas? I’ve been using an accountant the past couple years, because of the complications of being self-employed overseas, with a family. I don’t have to pay state taxes, for example, but the last time I tried to use TaxAct, it seemed like I couldn’t submit my info without a state return included. Maybe that’s changed.
I use to have a CPA do our taxes. She messed up and I had to deal with the IRS for 2 years. Last year went to United Way last day to file but we’re above their minimum. We have House interest, deductions, some other deductions. Over 60. I forget the program they used though. We always have to pay state taxes. I’m going to try one that was mentioned above. My question is we have an Apple desk top and that worries me as much as doing the taxes since I’m not real comfortable with it. Does computer matter? Got a month.
I am not sure of right form this year. I don’t own a house, so no interest/property tax. I have a few deduction: zoo membership, museum membership, donations to Goodwill, & small donation to cancer site. Is it worth doing a 1040a or should I just do EZ?
I usually use TaxAct, but this year they had so many added fees that were triple the amount of last year.
TaxAct wants $75 to efile. That is insane.
Oh…and $30 to print to mail it in.
I use library for free forms which I would tear out of the IRS publications and also got pen for free. It was not difficult but not very easy. Just staple them together at Kinkos for free and all I had to pay was stamps so maybe about $2 or $3 to do taxes. State forms were also at library.