In today's digital era, tax filing is no longer a paper-based process challenging the nerves of tax professionals. It has now moved to a new world of online solutions. Tax software has become an important tool for individuals and businesses. This software can simplify tax preparation, further ensure accuracy, and maximize deductions.

Among the different electronic options available, three names are recognized for their reliability and features. These include TaxAct, TurboTax, and TaxSlayer.

TaxAct has been an affordable choice since 1998, while TurboTax has been in the tax world since 1984. It is popular for its comprehensive assistance. Therefore, TurboTax is a great choice for both the beginners and the pros. TaxSlayer has grown out of a family tax business in 1965. It provides a user-friendly, cost-effective solution, especially if you are a self-employed filer. Each of these platforms adds proficiency and helps resolve different tax filing challenges. Let's dig into the Taxact vs. TurboTax vs. Taxslayer 2024 comparison.

Background of Each Software

TaxAct:

TaxAct, established in 1998, is an affordable option among the available tax software. It is just the right choice for those who want minimal assistance in carrying out the tax filing. It is an easy-to-understand and cost-effective solution for filing federal returns. Although some advanced features are missing that are available in other similar options, its simplicity and affordability, especially for federal filings, are just great. It is important to keep in mind that state returns can cost more with TaxAct, making it an optimal choice for those primarily concerned with federal tax preparation.

TurboTaxTurboTax has been a pioneer in the DIY tax software world since 1984. It finds its basis in the early floppy disk format. Today, it is just a comprehensive online platform. Owned by Intuit, who are known for their products like QuickBooks and Mint, TurboTax has a user-friendly design. Therefore, it can be easily used by beginners or those with more complex tax situations. It offers extensive guidance throughout the tax filing process. It has become possible with its diverse financial tools. These tools offer multiple services ranging from basic software downloads to full-service preparation. It is this unique combo of versatility and comprehensive support that has made TurboTax a popular choice for different levels of users looking for tax filing software.

TaxSlayer

It started as a family tax business in 1965. Basically, works with a cloud-based tax solution. It is just the right combo of ease and affordability. The TaxSlayer is the best tax software for small businesses. It is more affordable than both TaxAct and TurboTax. It is a versatile option for everyone, including military members. Among its several features is the Classic package, which can provide a low-cost federal filing option to handle any kind of tax situation against $34.95. Meanwhile, TaxSlayer has several advantages in terms of its value, user-friendliness, and special provisions for self-employed individuals.

Taxact vs. TurboTax vs. Taxslayer 2024 comparison price

When comparing the pricing plans and costs of TaxAct, TurboTax, and TaxSlayer, it's clear that each offers distinct advantages tailored to different user needs.

TaxAct

TaxAct is simple and affordable with four main plans:

• Free Edition: This one is best for simple tax situations--federal is free of cost, and state returns have $39.95 charges.
• Deluxe: This TaxAct plan begins at $18.71 for federal and $33.71 costs for state returns, aimed at more complex returns with itemized deductions.
• Premier: This TaxAct package starts at $26.21 for federal and $33.71 charges for state returns. Basically, it is best for complicated returns, including investment income and property.
• Self-Employed: This last one kicks off at $48.71 for federal and $33.71 for state returns. Actually, designed for freelance or business income.

All TaxAct plans currently include unlimited Xpert Assist at no added cost, adding value for users seeking professional support without extra fees.

TurboTax

TurboTax is a costly option with multiple features and guidance. It has the following pricing plans:

• Free: TurboTax has no charges at all for simple tax filings and applies to both federal and state returns.
• Deluxe: This TurboTax package costs $69 for federal and $59 for state returns, catering to more complex tax situations.
• Premier: The third one begins at $99 for federal and $59 for state returns. This is suitable for intricate tax filings with investments and rental properties.
• Self-Employed: The fourth plan costs $129 for federal and $59 for state returns, specifically for self-employed filers.

TurboTax also offers Live Assisted and Full-Service plans ranging from $99 to $409, providing extensive support and customization for users.

TaxSlayer

TaxSlayer is a budget-friendly tax software. If you are a confident self-filer, then the following plans are just the right ones for you.

• Simply Free: TaxSlayer offers a free plan for basic tax needs--federal and state returns.
• Classic: The second one costs $34.95 for federal and $39.95 for state returns, accommodating all tax situations.
• Premium: The third one charges $54.95 for federal and $39.95 for state returns, offering additional support like audit assistance.
• Self-Employed: The last one demands $64.95 for federal and $39.95 for state returns. Well, this one is tailored for self-employed individuals.

The Classic plan covers tax situations at a lower cost tier. Therefore, it is an excellent value option for the tax filers. TaxAct provides a balance between cost and support; TurboTax is ideal for those seeking comprehensive guidance at a higher price. TaxSlayer, offering the most economical plans, is perfect for users who are confident in managing their taxes independently.

Features and Functionality

When considering tax software, the features and functionality play a crucial role in determining the best fit for individual needs. TaxAct, TurboTax, and TaxSlayer, each with their unique offerings, stand out in the 2024 tax software landscape.

TaxAct

• TaxAct has effective plans. It lets the tax filers balance the cost and professional support.
• With its unique feature, Xpert Assist, it allows free access to tax professionals across all plans.
• Therefore, it is a go to choose for those seeking expert help without additional costs.
• The free version is limited, and state returns incur higher costs compared to other providers.

TurboTax

TurboTax is known for being the premium choice. Although it has a high price, the features and guidance are worth paying this much of a price.

• It successfully integrates with financial tools like QuickBooks.
• It has several filing options including DIY as well as full-service preparation by professionals.
• The filers and investors appreciate the substantial support, which makes it just the best choice for guidance and maximizing the deductions.

TaxSlayer

TaxSlayer can do a job without breaking the bank. It is a high-bar deal for self-employed individuals and those requiring live support.

• The Simple Free and Classic plans require tax filing confidence from users. On the other hand, the Premium and Self-Employed package offers three years of Audit Assistance and priority support.
• It is a heroic option for freelancers and those with multi-faceted returns.

Besides the unique features of each, there are some common features, too. These include free versions for easy returns, import functions, and customer support for technical issues. Moreover, varying levels of audit assistance, refund tracking, and accuracy guarantees.

Taxact vs. TurboTax vs. Taxslayer 2024 Comparison Table

Conclusion

Choosing the right tax software depends on your specific needs. If you're experienced in tax filing and looking for a budget-friendly option, TaxSlayer is an excellent choice. For those new to tax filing or with complex tax situations, TurboTax offers the most comprehensive support and features, albeit at a higher price. TaxAct strikes a balance, offering professional support and affordability, suitable for users with some tax preparation experience. Meanwhile, TaxSlayer and TurboTax are the best tax software for the self-employed. All three are believed to be the best tax software for tax preparers. Consider your familiarity with tax laws, the complexity of your tax situation, and your budget when selecting the best fit for you.