Freelancing offers flexibility, independence, and the opportunity to work with clients across different industries. However, managing taxes can be more complicated when you work for yourself. Unlike traditional employees who receive a paycheck with taxes withheld, freelancers may need to track business income, organize expenses, calculate self-employment taxes, and make estimated tax payments.
Choosing the right tax software can make these responsibilities easier to manage. The right platform can help you organize financial information, complete the relevant tax forms, identify potentially deductible business expenses, and file your return electronically.
In this guide, we compare some of the best tax software options for freelancers in the United States, including TurboTax, H&R Block, TaxAct, FreeTaxUSA, and IRS Free File. We also explain which features matter most, how to compare costs, and what freelancers should know before submitting a tax return.
Important: This article focuses on US federal income tax requirements. State tax rules, software availability, product features, and prices can vary. Check each provider’s current terms before purchasing or filing.
What Is the Best Tax Software for Freelancers?
The best tax software depends on the complexity of your freelance business, your budget, and how much assistance you want while preparing your return.
A freelance graphic designer with a few clients may need a relatively straightforward solution. A consultant with several income sources, business equipment, contractors, and more complicated expenses may benefit from software that provides additional guidance or access to professional assistance.
Here is a quick comparison of five options worth considering.
| Tax software | Best suited for | Main consideration |
|---|---|---|
| TurboTax | Freelancers who prefer guided tax preparation | Check the cost of the self-employed product and included support |
| H&R Block | Independent workers who want online tools and professional help options | Confirm which plan covers your tax situation |
| TaxAct | Freelancers who want a structured tax preparation process | Compare plan features and state filing charges |
| FreeTaxUSA | Budget-conscious taxpayers who can prepare much of their own return | Review state filing costs and available support |
| IRS Free File | Eligible taxpayers looking for a free filing option | Partner eligibility and supported forms vary |
These are options to compare, not a universal ranking. The best choice depends on your specific filing requirements.
1. TurboTax: Guided Tax Preparation for Freelancers
TurboTax is a well-known tax preparation platform that offers products for different taxpayer situations. Freelancers should look specifically for a product that supports self-employment income rather than assuming a basic individual tax package will cover their needs.
Key Features
Depending on the product and plan, relevant features may include:
- Guided questions about freelance income and business activities.
- Support for eligible self-employment tax forms.
- Help organizing business expenses.
- Tools for identifying potentially deductible expenses.
- Electronic filing for supported federal and state returns.
- Optional access to tax professionals through qualifying plans.
For US sole proprietors, the ability to handle Schedule C and Schedule SE is particularly important. These forms are commonly used to report business profit or loss and calculate self-employment tax, respectively.
Who Should Consider TurboTax?
TurboTax may suit freelancers who want an interview-style process and prefer explanations while entering financial information.
It can be especially useful for people who are unfamiliar with tax forms and want software to guide them through the preparation process.
However, a guided interface does not guarantee that every deduction is applicable to your circumstances. You remain responsible for providing accurate information and reviewing the completed return.
What About Pricing?
TurboTax offers different products and service levels, and the cost can depend on the tax year, filing situation, and level of assistance selected.
Before purchasing, check whether the quoted price includes self-employment income, federal filing, state filing, and any professional assistance you need.
Official website: https://turbotax.intuit.com/
2. H&R Block: Online Tax Software With Professional Help Options
H&R Block offers tax preparation software alongside tax professional services. This combination may appeal to freelancers who want to prepare their returns online but would also like the option of additional assistance.
Key Features
Depending on the selected service, features may include:
- Guided entry of income and expenses.
- Support for qualifying self-employment tax situations.
- Business expense reporting tools.
- Federal and state return preparation.
- Options for professional review or assistance.
- Online access to tax preparation information.
The exact services available depend on the product and filing year. Always confirm that the version you choose supports your type of freelance income.
Who Should Consider H&R Block?
H&R Block may be worth considering if you want a balance between software-based preparation and access to tax professionals.
For example, a freelance photographer who earns income from several clients and purchases equipment for work may appreciate a guided process. Someone with business assets, complex depreciation, or unusual tax circumstances should confirm whether the chosen plan handles those details or whether professional help is more appropriate.
What Should You Check Before Buying?
Compare the total cost of the software with any additional fees for state returns, professional assistance, or advanced tax situations.
Do not assume that access to a tax professional is included in every package.
Official website: https://www.hrblock.com/
3. TaxAct: An Option for Self-Employed Taxpayers
TaxAct offers tax preparation products for different filing situations, including self-employed taxpayers. It may be suitable for freelancers who want a guided process without necessarily purchasing every additional service offered by a provider.
Key Features
Depending on the applicable product, TaxAct may provide:
- Guided tax return preparation.
- Support for eligible business income reporting.
- Tools for entering qualifying business expenses.
- Federal electronic filing.
- State return preparation options.
- Tax calculation and error-checking features.
Before selecting a product, confirm that it supports the forms required for your freelance activity.
Who Should Consider TaxAct?
TaxAct may be worth comparing if you want to complete your own return with software assistance and want to evaluate the available plans side by side.
It is particularly important to compare the cost of the full filing process rather than looking only at the advertised starting price.
For example, if you need both federal and state filing, make sure you understand the combined price before creating an account or entering extensive financial information.
Official website: https://www.taxact.com/
4. FreeTaxUSA: A Budget-Conscious Option
FreeTaxUSA is another tax preparation service that freelancers can investigate. Its federal filing offering and pricing structure may appeal to taxpayers who want to manage costs while preparing their own returns.
Key Features
Depending on the current product offering, relevant features include:
- Online federal tax preparation.
- Support for eligible self-employment tax situations.
- Business income and expense reporting.
- Electronic filing.
- Optional paid services.
- State return filing subject to the provider’s current terms.
Because product details and eligibility can change, verify that the current version supports your particular business income and required forms.
Who Should Consider FreeTaxUSA?
This service may suit independent contractors who are comfortable gathering their financial records and entering information themselves.
For example, a freelance writer with organized invoices, clear expense records, and a straightforward sole proprietorship may prefer a lower-cost approach rather than paying for additional guidance they do not need.
However, lower software costs do not eliminate your responsibility to understand the tax rules that apply to your business.
Is FreeTaxUSA Completely Free?
Do not assume every part of the filing process is free. Federal and state filing, optional assistance, and other services may have different pricing arrangements.
Check the current pricing page before beginning your return.
Official website: https://www.freetaxusa.com/
5. IRS Free File: Explore Free Tax Preparation Options
Before paying for tax software, freelancers should check whether they qualify for a suitable IRS Free File option.
IRS Free File connects eligible taxpayers with participating tax preparation software providers. Each partner sets its own eligibility requirements, which may include adjusted gross income, age, state residency, and other conditions.
For the 2026 filing season, the IRS announced that participating guided-software partners offered free federal preparation to qualifying taxpayers with adjusted gross income of $89,000 or less for the 2025 tax year. The program’s eligibility and availability should be checked for the relevant filing year.
What Does IRS Free File Offer?
Depending on the selected option, taxpayers may have access to:
- Guided online federal tax preparation.
- Electronic filing.
- Support for commonly used tax forms.
- Free state preparation from certain participating partners.
- Instructions for completing a return.
A freelancer should confirm that the selected provider supports Schedule C, Schedule SE, and any other forms needed for their circumstances.
Is IRS Free File Suitable for Freelancers?
It can be a good option for eligible freelancers whose tax situations are supported by a participating provider.
However, income eligibility alone does not guarantee that every partner will accept your filing situation. Review the provider’s requirements and supported forms before starting.
The IRS also offers Free File Fillable Forms for taxpayers who are comfortable preparing their own federal returns. This option involves more manual work, has limited calculations and error checks, and does not prepare state returns.
Important: Access Free File through the official IRS website rather than assuming that a provider’s ordinary commercial website offers the same free program.
Official resource: https://www.irs.gov/file-your-taxes-for-free
What Freelancers Should Look for in Tax Software
Comparing tax software involves more than choosing the lowest price. The platform must support your income sources and the forms needed to report them correctly.
Schedule C Support
Schedule C is commonly used by US sole proprietors to report business income and expenses.
If you earn money through freelance writing, design, consulting, programming, photography, or similar independent work, confirm that the software can handle the business reporting required for your situation.
Schedule SE Support
Schedule SE is used to calculate self-employment tax when applicable. This tax generally relates to Social Security and Medicare contributions for eligible self-employed individuals.
Software should support the relevant calculation and reporting requirements for your tax situation.
Multiple Income Sources
Some freelancers receive income from clients, online platforms, payment processors, and other business activities.
Choose a product that can handle the relevant records and tax forms. Do not assume that a single payment statement automatically represents all your taxable income.
Business Expense Tracking
Freelancers may have expenses associated with software subscriptions, equipment, advertising, professional services, supplies, and other business activities.
Tax software can help you enter these expenses, but it cannot automatically make an expense deductible simply because you paid for it.
Keep receipts, invoices, bank statements, and a clear record of the business purpose of each expense.
Estimated Tax Support
Freelancers may need to make estimated tax payments during the year if they expect to owe tax beyond the applicable withholding and payment rules.
Look for tools that help you estimate tax obligations or organize payments. Verify important calculations using official IRS guidance.
Federal and State Filing
Federal and state tax requirements are separate. A software package that supports your federal return may charge separately for state filing or may have limitations for a particular state.
Check both before deciding which product is most cost-effective.
Security and Data Protection
Tax returns contain sensitive personal and financial information.
Before choosing a service, review its privacy policy, account security features, data handling practices, and available authentication options. Use a unique password and enable multifactor authentication where available.
Access tax preparation accounts through the provider’s official website, and avoid entering sensitive information after following suspicious email or advertising links.
How Much Does Tax Software Cost for Freelancers?
The cost depends on the provider, product, tax year, and level of assistance.
Some taxpayers may qualify for free filing. Others may need a paid self-employed package or additional services for state returns, professional guidance, or more complex tax situations.
When comparing software, consider these potential costs:
- Federal tax preparation and filing.
- State tax preparation and filing.
- Optional professional review.
- Additional support or consultation services.
- Business accounting integrations, if offered separately.
- Fees for amendments or other additional services, where applicable.
A low advertised price does not necessarily represent the total cost of completing your return.
The best value is the product that supports your required forms, provides an appropriate level of guidance, and fits your budget without unnecessary extras.
Understanding Freelancer Taxes in the USA
US freelancers may have different tax responsibilities from employees. Understanding the basics can help you choose software that fits your situation.
Income Reporting
Freelance income generally must be reported even when a client does not provide a particular information form.
Keep records of payments received, invoices issued, refunds, and other relevant transactions. Reconcile these records with any forms supplied by clients or payment platforms.
Self-Employment Tax
Self-employment tax generally covers Social Security and Medicare taxes on qualifying net earnings from self-employment.
Schedule SE is used to calculate this tax when required. Income tax and self-employment tax are separate considerations, although both may affect your overall tax liability.
Business Expense Deductions
Eligible ordinary and necessary business expenses may reduce taxable business profit.
Examples can include certain business software subscriptions, advertising costs, professional fees, and supplies. Equipment and home-office costs may be subject to additional rules.
Keep supporting records and check the IRS requirements before claiming a deduction.
Estimated Tax Payments
Freelancers who do not have enough tax withheld from other income may need to make estimated payments during the year.
Payment requirements depend on individual circumstances. Use IRS guidance and the relevant forms to determine whether estimated payments apply to you.
The IRS Gig Economy Tax Center provides information about reporting income, keeping records, and filing requirements.
Official resource: https://www.irs.gov/businesses/gig-economy-tax-center
How to Choose the Right Tax Software for Your Freelance Business
Follow these steps before paying for a tax preparation service.
Step 1: Identify Your Business Structure
A sole proprietor, single-member LLC, partnership, and corporation may have different tax reporting requirements.
Do not assume that software designed for individual sole proprietors will cover a separate business return. Confirm the forms required for your business structure.
Step 2: List Your Income Sources
Gather information about client payments, platform income, other business revenue, and any relevant tax forms.
Knowing how many income sources you have will make it easier to evaluate the software’s capabilities.
Step 3: Organize Your Expenses
Collect invoices, receipts, statements, and other records. Separate business expenses from personal spending and document any mixed-use expenses appropriately.
Step 4: Compare Total Costs
Review the provider’s current plan details. Compare federal filing, state filing, optional professional support, and any other charges relevant to your situation.
Step 5: Confirm Form Compatibility
Check that the software supports the forms you need, particularly Schedule C and Schedule SE if you operate as an eligible sole proprietor.
If you have employees, inventory, significant asset purchases, international tax issues, or a more complicated business structure, you may need a more specialized product or professional advice.
Step 6: Review Before Filing
Check names, identification numbers, income, expenses, bank details, and other information carefully.
Software can help identify errors, but it does not replace your responsibility to submit a complete and accurate return.
Common Tax Software Mistakes Freelancers Should Avoid
Choosing Software Based Only on Price
The cheapest product may not support every form or feature you need. Compare total costs and eligibility before starting.
Assuming All Business Expenses Are Deductible
A payment related to your work is not automatically deductible. Eligibility depends on applicable tax rules, the nature of the expense, and the records you maintain.
Forgetting Income From Small Clients
Keep records of all business income. Do not assume that a payment is tax-free because you did not receive a tax form from the client.
Ignoring State Taxes
Federal and state obligations may differ. Check the filing requirements for your state and whether your chosen software supports them.
Waiting Until the Deadline to Organize Records
Late preparation increases the chance of missing information. Maintain your records throughout the year and review them periodically.
Assuming Software Guarantees a Correct Return
Tax software can perform calculations and offer guidance, but it depends on the information you enter and the rules supported by the product. Complex situations may require a qualified tax professional.
What About Freelancers in the UK, Canada, and New Zealand?
This article focuses on US tax software, and the products above should not be assumed to support local tax filing in other countries.
Freelancers in the UK, Canada, and New Zealand should use services designed for their local tax systems and check official guidance.
United Kingdom
UK self-employed taxpayers may need to report business income through Self Assessment, depending on their circumstances.
Start with the official GOV.UK Self Assessment guidance and check whether software is compatible with the relevant HMRC requirements.
Canada
Canadian freelancers may need to report business income and expenses using the applicable federal tax forms and any relevant provincial requirements.
The Canada Revenue Agency provides guidance on business and professional income.
New Zealand
New Zealand freelancers should check their income tax, expense, and GST responsibilities with Inland Revenue.
The official Inland Revenue website provides guidance for people who are self-employed and operate a business.
Tax terminology, filing requirements, deadlines, and software compatibility vary across these countries. Use local products and official guidance rather than applying US rules internationally.
Frequently Asked Questions
What is the best tax software for freelancers in the USA?
The best choice depends on your needs. TurboTax, H&R Block, TaxAct, FreeTaxUSA, and eligible IRS Free File options are worth comparing. Check supported forms, current pricing, state filing, and available assistance before choosing.
Can freelancers file taxes for free?
Some freelancers qualify for free tax preparation through IRS Free File or other eligible services. Availability depends on income, provider rules, filing circumstances, and supported forms.
Do freelancers need Schedule C?
Many US freelancers operating as sole proprietors use Schedule C to report business income and expenses. Other business structures may have different filing requirements.
What is Schedule SE?
Schedule SE is used to calculate self-employment tax when applicable. It generally covers Social Security and Medicare taxes on qualifying self-employment earnings.
Is tax software better than hiring an accountant?
Tax software may be suitable for people with straightforward tax situations who are comfortable preparing their own returns. A qualified tax professional may be more appropriate for complex business structures, complicated deductions, employees, or other unusual circumstances.
Can I deduct my laptop and internet expenses?
Potentially, if the expenses meet the applicable business deduction requirements. Business and personal use may need to be separated, and equipment may be subject to different rules from ordinary operating expenses. Keep supporting records and verify the rules before claiming a deduction.
When should freelancers prepare their tax returns?
Organize records throughout the year and begin preparing well before the applicable filing deadline. Estimated tax payment dates and annual return deadlines are different obligations, so check the current IRS calendar.
Is free tax software safe?
A reputable service can provide a secure filing process, but users should still review privacy practices, account protection, and eligibility requirements. Start through official IRS resources when using IRS Free File and avoid suspicious links.
Final Verdict: Which Tax Software Should You Choose?
For US freelancers, the right tax software is the one that matches the complexity of your business and helps you prepare an accurate return at a reasonable total cost.
TurboTax and H&R Block are worth comparing if you prefer guided preparation and potential access to additional assistance. TaxAct provides another option to evaluate, while FreeTaxUSA may appeal to budget-conscious taxpayers who are comfortable preparing their own returns. Eligible freelancers should also check IRS Free File before paying for a commercial product.
Before making a final decision, verify current pricing, supported tax forms, state filing options, and any limitations that apply to your situation.
Good recordkeeping throughout the year can make tax preparation easier regardless of which platform you choose. Keep your financial documents organized, review your tax obligations regularly, and seek professional assistance when your circumstances require it.
Disclaimer
This article is for general educational purposes only and does not constitute tax, legal, or financial advice. Tax rules and software features may change. Consult official IRS guidance or a qualified tax professional for advice specific to your circumstances.
