The Best 5 Tax Software for Small Businesses and Freelancers

Being a small business owner or self-employed is rewarding in many ways, but filing business tax returns is not one of them. Many small business owners struggle to prepare and file their state and federal tax returns accurately and on time. Tax software aims to simplify the process of filing business taxes online. It can automatically calculate tax rates and deductions, guide you through the process, and is done completely online.

5 Tax Software Options for Small Businesses 

Not all tax software is designed with the needs of small businesses or freelancers in mind. Making sure you’re not overpaying for tax preparation and filing services is just as important as maximizing your deductions. 

Before diving into the best tax software options for small business owners, watch this short video for a primer on how to file business taxes:

This article reviews five tax software products ideal for small businesses and freelancers. Not all of the products below offer the same features, level of user-friendliness, or (most importantly) price tag. Prioritize what level of service and support you’ll need when filing your returns to help narrow down your choices. One thing to be aware of when comparing tax prep software is that most charge fees for state returns. 

Use the table below as a quick way to find which product will fit your tax filing needs best. Read on to learn more about what each tax software has to offer. 

TurboTax

TurboTax from Intuit is one of the most popular tax software and service providers. It offers personal income tax filing as well as business tax filing. You have the option of using TurboTax to file taxes by yourself or with varying levels of assistance from tax specialists. 

Check Out TurboTax’s Product Page

Overall, TurboTax aims to provide you with an easy-to-use interface and a few different tax filing options. It’s also one of the pricier online tax products on this list. In this case, a smooth tax filing experience comes at a premium. 

TurboTax also offers both online (cloud-based) and downloadable (on-premise) versions of its software. 

Pros 

• 100% accurate calculations guarantee 
• Option to do DIY tax return filing or receive assistance from tax experts
• Easy-to-use user interface 

Cons

• Online and cloud sign-up for multiple Intuit applications is unsmooth.
• The price point for state tax filing can be shocking.

Price

Prices start at $0-$99 for do-it-yourself (DIY) online and on-premise federal tax return filing ($0 if you qualify for a free federal return). You can use TurboTax’s online FAQs and receive individual support from tax specialists. Small business owners and freelancers will also have access to the TurboTaxcommunity.

TurboTax also offers two other tax filing options for small businesses. For desktop users, $120 that includes 5 federal e-files, 1 state download, and state e-file sold separately. For online users, the price per state is $39 – $49 under expert assistance, and for expert full service, the price is $150 or more, including federal and state. 

TurboTax will be a good fit for you if you want a smooth online tax filing experience. However, it’s also one of the pricier products covered here. So this may not be the best choice for budget-conscious small business owners or freelancers. 

BlockAdvisors 

BlockAdvisors offers payroll, tax, and bookkeeping services for small businesses and freelancers. It is a service offered by the well-known brand H&R Block. BlockAdvisors allows you to choose to file tax returns yourself using their online software or with tax assistance. Filing options for self-employed individuals, S Corporations, C corporations, and partnerships are available. 

Check Out BlockAdvisor’s Product Page

Pros 

• 100% accuracy guarantee 
• Year-round tax support 
• Unlimited help from tax experts 

Cons

• Small business and self-employed tax filing services are expensive.
• Tailored services or customization options are limited.

Price

For self-employed individuals, BlockAdvisors offer two main options. You can file your returns yourself with unlimited on-demand help from their specialists. Or, you can have a tax professional file for you. 

The starting price is $100 to file your own taxes. The second option costs $280 to file with a tax pro and includes:

• Meet in person or virtually
• Tax pros have an average of 14 years of experience
• Year-round support
• Specially trained in complex small business tax
• Free P&L financial statement

BlockAdvisors has one offering for small business owners. It costs $280 and includes full-service tax preparation and filing. It comes with a 100% accuracy guarantee, the ability to meet in-person or virtually with a tax specialist, and year-round tax support. 

Overall, BlockAdvisors will be a good choice if you know you want extra tax preparation and filing assistance. But BlockAdvisors is also the most expensive tax software choice on our list. This makes them a good choice for complex small businesses, but not ideal if you have fairly simple tax returns to file.

TaxAct

TaxAct is another great choice for freelancers or small business owners looking for a mid-level tax filing solution. This option is low-cost compared to other services, though those who need help from tax specialists will find themselves paying extra fees. The service still offers key features such as year-round tax support and a deduction maximizer.

Check Out TaxAct’s Product Page

Notably, you can import previous tax return data prepared by H&R Block or TurboTax. It also offers DIY tax filing with simple step-by-step guidance. 

Pros 

• More affordable than other tax software
• Tax deductions maximizer tool
• 100% accuracy guarantee

Cons

• Help from tax experts, specialists, and CPAs costs extra.
• The user interface can be confusing and difficult to navigate.

Price

TaxAct offers DIY online federal tax return filing for freelancers and sole proprietors starting at $74.99. Filing state tax returns costs an additional $39.99 per state filed. 

For C corporations or S corporations, TaxAct offers a guided online tax filing process for $169.99. Filing state tax returns costs an additional $59.99 per state filed. All of these plans include automatic calculations and data entry into the correct tax forms. Small business plans also come with guided questions to help you maximize your deductions.

For partnerships, TaxAct offers a guided online tax filing process for $154.99. Filing state tax returns costs an additional $59.99 per state filed.

TaxAct will be a good fit for you if you want an easy yet affordable online tax filing experience. Since you’ll find yourself paying extra for tax assistance, TaxAct is ideal for freelancers and small businesses who likely won’t need additional help. 

Jackson Hewitt

Jackson Hewitt makes tax time easy. Their tax pros file your taxes accurately, on time, and back it up with the Max Refund Guarantee. You can visit their nearby office or inside your local Walmart, and if you’re short on time, simply drop your documents off for them to handle the rest. The experts guide you every step of the way.

Check out Jackson Hewitt’s Product Page

You can receive a free review of your tax returns before filing from one of the company’s experts.

Pros 

• Simple step-by-step instructions to get online tax filing
• Free live chat support
• 100% accuracy

Cons

• Minimal other services are offered.
• The online user interface is sometimes difficult to use.

Price

Jackson Hewitt Tax Service is priced at no more than $25 when you file taxes online, or you will get a refund of your tax preparation fees. 

H&R Block

H&R Block is one of the oldest tax preparation companies, founded in 1955. It offers affordable yet pared-down tax filing options for small business owners and freelancers. 

Check Out H&R Block’s Product Page

H&R Block gives you the option to choose between using their tax software to file yourself or filing online with an assistant. 

H&R Block also offers free online tax filing, free in-person audit assistance, and a tax return accuracy review.

Pros 

• Maximum refund guarantee
• 100% accuracy guarantee 
• Options to file online yourself or with assistance from tax experts

Cons

• Not all functionality is available on the cloud-based version of their software and mobile application 
• The small business owner plan is more expensive than some other tax filing software.

Price

H&R Block offers suitable tax services for small business owners. The easy online file your own tax plan costs $85 plus an additional $37 per state filed. The file with a tax pro plan costs $240,  plus an additional $75 per state filed.

Note: these prices are for H&R Block’s on-premise tax software (i.e., desktop software you need to download to your computer).

For people who would rather file their taxes completely online and use cloud-based tax software, H&R Block offers a few plans. Self-employed individuals can file online for $85 with an extra charge of $44.99 per state tax return filed. 

H&R Block has additional plans available for freelancers and small business owners who want to file online with the help of a tax expert. The Deluxe Online Assist plan starts at $35 and is ideal for self-employed individuals looking for some extra assistance. 

H&R Block is a great choice if you’re on a budget and want to file your taxes online. It’s the second most affordable product on this list. H&R Block is ideal for people who don’t need a bunch of additional features, have a fairly simple tax return, and prioritize cost over a modern user interface. 

More Tax Software Resources

Along with the five popular options above, here’s a list of other tax software for small business owners and freelancers to check out: 

• TaxSlayer 
• FreeTaxUSA

Visit the TrustRadius accounting and tax services providers page to learn more about the products mentioned in this article and read in-depth end-user reviews.