TurboTax Tax Software Review

About TurboTax

TurboTax is one of the most popular tax programs available and our No. 1 pick for the Best Tax Software of 2023. Initially founded in the mid-1980s, TurboTax has since grown to become a market leader in the tax industry. It’s owned by Inuit, the parent company for a suite of financial services including the financial tracking app Mint, and the small-business accounting software, QuickBooks.

TurboTax is known for its clean and easy user interface. The program functions like an interview. It walks you through a series of questions about your life and income to determine the appropriate choices while also looking for deductions. It has a number of different products available to suit different users’ needs, and while it does have a free edition, there are limitations. Most users end up purchasing TurboTax Deluxe, which, at about $60, is the most expensive option compared to similar offerings from the other companies we’ve profiled.

TurboTax Review

4.0 U.S. News Rating

Ranked #1 in Best Tax Software of 2023
Ranked #1 in Best Mobile Tax Apps of 2023

Best For:

An easy-to-follow tax preparation experience
Quickly and easily importing tax documents
Various levels of tax preparation assistance

Not Recommended for:

Those on a tight budget
In-person tax preparation assistance
S Corp owners looking for fully online tax preparation

TurboTax retains the top spot in our annual analysis of the best tax software. While it’s not the cheapest option around, TurboTax provides the best overall user interface that makes it easy to do your taxes, efficiently handling most households’ needs for inputting your income from work, self-employment, investments, or rental properties, and most common deductions and credits.

One of TurboTax’s standout features is the option to upgrade to a higher level of tax support. With the basic version, you are mainly on a DIY path, with a vast library of support resources for tax questions. If you need more help, you can upgrade to a version where you get unlimited help from an expert online or a newer offering, including complete tax preparation by an expert.

For most people, the best option is using TurboTax online, where you do your taxes on your computer, or using the TurboTax mobile app. There’s a free version of the software available, but it only works for the simplest tax returns. The most popular version is TurboTax Deluxe, for $59 plus $59 per state. Those with more complex investments may need the $89 Premier version, while self-employed business owners will need the top $119 Self-Employed edition. Each version has a corresponding upgrade for online tax support and full-service tax preparation.

Only use the government FreeFile version of TurboTax if you’re sure you qualify, as you can’t switch to a paid version midway through preparation if you start your taxes under that program. The FreeFile is not the same as the Free Edition for simple returns. Regardless of the version you choose, you don’t pay until you file your taxes. But for an easier experience, it’s best to pick the correct version for your tax needs from the start.

In addition to the online version, you can buy a CD or downloaded version of TurboTax to run on your home computer. All versions work on both PC and Mac, except Home & Business, which is for Windows only. Be aware that TurboTax does not offer an easy option for Mac users to do taxes for an S Corporation or C Corporation. However, all versions include a maximum refund guarantee. Any tax software should give you an accurate result when filing your taxes with the IRS, regardless of your choice.

TurboTax is best for a wide range of tax situations and may be worth the added cost unless you’re on a very tight budget. The online version is easiest, as it works on both your computer and phone, and you’re able to switch to another computer if you’re working together on a joint tax return. Unless you want in-person support, TurboTax is likely to cover just about any tax need you might have.

Products Offered by TurboTax

Free Edition

Free for federal and state returns

With the TurboTax Free Edition, you can file your federal and state taxes for free. This may be an option if you have a simple tax return. Not everyone will qualify for TurboTax’s free software. This option is only for those with a simple tax return.

A simple return for this purpose would involve reporting just W-2 income and limited interest or dividend income reported on a 1099-INT or 1099-DIV, and claiming the standard deduction, Earned Income Tax Credit, and/or the Child Tax Credit. If you have any itemized deductions, a 1099-G or 1099-NEC form, or any stocks or rental property income, you will not qualify TurboTax Free Edition.

Deluxe

$59 for federal return and $59 for each state return

TurboTax Deluxe will search more than 350 tax deductions and credits to determine which ones you qualify for. Deluxe is designed to ensure you get your maximum tax refund and provides one-on-one help from a customer service representative. It also provides your credit score and access to Turbo, an online tool that helps you understand your financial situation.

Premier

$89 for federal return and $59 for each state return

TurboTax Premier has been completely redesigned to deliver the ideal experience for investors. It can help you incorporate stocks, bonds, ESPPs, cryptocurrency, robo-investing, rental property income, and more into your return. The product will help you easily and accurately report all of your investment transactions.

TurboTax Premier is the only major online tax program that can import more than 1,500 transactions at once from more than 300 financial institutions and 2,000 crypto transactions directly from crypto platforms.

Self-Employed

$119 for federal and $59 for each state return

Whether you’re a lifelong freelancer or recently started making money with your side hustle, TurboTax Self-Employed uncovers industry-specific deductions you may not know you were eligible for. It can help reduce your taxes and put more money back into your pocket.

The product focuses on ride-sharing, online sales, personal and professional services, and other industries in which many people are self-employed. It also provides guidance about reporting expenses, such as mileage, home office equipment, and cell phone charges. Plus, you can import your 1099 form by taking a photo of it on your smartphone.

TurboTax Live Basic

$89 for federal (state is included)

With TurboTax Live Basic, you can connect live via one-way video to a TurboTax Live tax expert with an average of 15 years of experience to get your questions answered. TurboTax Live tax experts are available year-round in English and Spanish and can also review and help file your simple tax return.

TurboTax Live Deluxe

$129 for federal and $64 for each state return

With TurboTax Live Deluxe, you can do everything that’s possible with TurboTax Live Basic. In addition, you can talk with a tax expert about more than 350 credits and deductions, including the mortgage tax and charitable contribution deductions.

TurboTax Live Premier

$179 for federal and $64 for each state return

With TurboTax Live Premier, you can connect live via one-way video to a TurboTax Live Premier tax expert who can provide personalized guidance and advice for nearly every investment tax situation, including stocks, bonds, ESPPs, robo-investing, cryptocurrency, rental property income, and more. You can auto-import investment income and account for gains and losses from cryptocurrency transactions.

TurboTax Live Self-Employed

$209 for federal and $64 for each state return

TurboTax Live Self-Employed provides live tax advice for freelancers, contractors, and small business owners. They can uncover all the deductions you’re entitled to, provide a personalized audit assessment, and review your personal and small business income.

TurboTax Live Full Service

Prices vary: $209 to $399, plus $64 for each state return

Prior to the 2021 tax season, TurboTax introduced TurboTax Live Full Service, an extension of its TurboTax Live feature. Full Service allows you to upload your documents and have a tax expert from TurboTax prepare and file your taxes for you. Prices vary depending on your tax return.