How to Choose Tax Software: Match the Product to Your Forms, Not the Ad
Finder's Forge Editorial Team
Editorial research. This is editorial research, not personalized financial, tax, or investment advice.
3 min readLast reviewed:
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Before you spend time or money on this, the question that matters is whether it is actually worth it for you — not whether it is popular.
This is editorial research by the Finder's Forge Editorial Team, not a first-hand test and not personalized advice. See our editorial standards and how we review products.
Key takeaways
- Before you file: check IRS Free File and Fillable Forms first
- list every form and state your return needs
- price federal plus every state return on each product's own page
- read which add-ons are optional and what they cost
- and download a full copy of your filed return to keep.
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Check the free routes first
Start with what costs nothing. The IRS Free File page offers guided tax software if your adjusted gross income is $89,000 or less and you meet its age and state rules, and Free File Fillable Forms at any income. Some commercial products are free too: Cash App Taxes says filing is free for both state and federal returns.
List your forms before you open any product
Write down what your return needs: wage forms, dependents, investment sales, rental income, self-employment, a home sale, and how many states. Products are priced by the forms they let you file, so this list decides your price more than any ad does.
If self-employment income is new for you, our side hustle tax calculator shows what to set aside each quarter before you pick a product.
Compare the full price, state included
A free federal return can still cost money once a state return is added. TaxAct lists a free federal tier with state extra, and paid tiers from $59.99 to $109.99 plus state. Cash App Taxes says both state and federal are free.
Side by side: TaxAct charges by tier and adds state on every tier, and Cash App Taxes says it charges nothing for either return. For any other product, run the same check on its own pricing page, and do it before you type in a single number.
Read the conditions and extras before you click
Free does not mean no conditions. Cash App Taxes needs the Cash App to file, its accuracy and refund guarantees carry exclusions, and getting a refund up to five days early means depositing it into Cash App. TaxAct sells an expert-filed option from $99 with state extra. Decide what you need before you start, and skip any extra whose benefit you cannot explain in one sentence.
When software is not enough
If your return involves a business with real books, a rental, several states, or you want advice before the year ends, software may not be the right tool. Our guide to when paying for tax software beats filing free covers where that line sits, and our 1-800Accountant review shows what a full-service firm costs and locks you into.
A short checklist
Before you file: check IRS Free File and Fillable Forms first; list every form and state your return needs; price federal plus every state return on each product's own page; read which add-ons are optional and what they cost; and download a full copy of your filed return to keep.
Prices above were read on each company's own page on October 18, 2026. Prices for the next filing season can change, so check again on the day you file.
Common questions
- Why does free tax software still cost money?
- Many products offer a free federal tier and charge for the state return. TaxAct, for one, lists a free federal tier with state additional on every tier, and paid tiers from $59.99 to $109.99 plus state. Price the federal return and every state return together before you start.
- Which tax software is free for both federal and state returns?
- Cash App Taxes says you can file both federal and state returns for free. IRS Free File guided software is free for federal returns if your adjusted gross income is $89,000 or less, and Free File Fillable Forms are free at any income level. Check each option's own page for what it covers.
- Should you pay for tax software if you are self-employed?
- Not always. Some products put self-employed forms in a higher tier; TaxAct, for one, lists a Self-Employed tier at $109.99 plus state. Pay for a higher tier or a preparer when you need advice, have many business expenses to sort, or need help the free product does not offer.
Sources
- IRS: Free File — Guided software income limit and Fillable Forms, read 2026-10-18
- TaxAct — Tier prices, read 2026-10-18
- Cash App Taxes — Free federal and state filing claim, read 2026-10-18
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