The Top Tax Software for 2024: A Comprehensive Guide

Navigating tax season can be a daunting task, but the right tax software can make it manageable. Whether you’re an investor, student loan borrower, freelancer, or landlord, choosing a solution tailored to your specific tax situation is essential. To help simplify the process, we’ve reviewed the best tax software for various needs in 2024, listing the pros and cons of each. Start early if you want to lock in lower prices—many providers raise their prices as the tax deadline approaches. Here’s your guide to choosing the right tax software for a smooth filing season.

1. TurboTax

Best for Charitable Contributions & Itemizing

TurboTax is one of the most well-known tax software options, especially for those who itemize their deductions. Its guided, question-and-answer format makes it easy to understand complex tax rules, making it ideal for individuals with charitable contributions and investments.

Pros:

User-friendly, guided interface simplifies itemized deductions.
High-quality integrations for tracking investments, real estate, and other assets.
Wide availability of support through the Deluxe tier and above. Cons:
Costs increase with complexity, often requiring at least the Deluxe tier.
Higher prices compared to some alternatives, especially for those with more complex needs.

2. TaxSlayer

Best for Student Loan Borrowers & Landlords

TaxSlayer provides an affordable, all-inclusive solution for people with student loans or rental property income. With a flat rate for its Classic package, TaxSlayer includes everything you need to handle student loan interest deductions and landlord schedules.

Pros:

Transparent, flat pricing ($34.95), which includes all forms.
Supports all types of income, from student loans to rental properties.
User-friendly, with a clean interface for straightforward filing. Cons:
Fewer advanced features and integrations compared to TurboTax or H&R Block.
Limited support options, particularly in the lower-priced packages.

3. H&R Block

Best for Stock Market Investors

H&R Block is a reliable choice for investors needing robust support for stock transactions. The software allows easy imports of 1099-B forms from brokers like Fidelity and Vanguard, making it easier to report stock gains and losses without manually entering each trade.

Pros:

Excellent import options for investment forms, including PDF uploads.
Slightly cheaper than TurboTax for similar features.
Reliable brand with a long history in tax preparation. Cons:
Some broker integrations still require manual PDF uploads.
Premium tiers required for certain investments, adding to the cost.

4. TaxAct

Best for Cryptocurrency Traders (Non-Coinbase Users)

If you’re a cryptocurrency trader, TaxAct makes it easy to report your transactions by supporting Form 8949. This feature is ideal for users who trade on multiple platforms, as TaxAct aggregates all transactions in one place.

Pros:

Supports cryptocurrency transactions with IRS Form 8949.
Clear and straightforward pricing, especially for complex filings.
Good alternative to TurboTax for crypto traders using multiple exchanges. Cons:
Not as robust as TurboTax for those who trade exclusively on Coinbase.
Limited integration options, making it less user-friendly for beginners.

5. Cash App Taxes

Best for Side Hustlers

Formerly Credit Karma Tax, Cash App Taxes is a great option for side hustlers looking to file Schedule C income. Cash App’s software is entirely free and supports both federal and state filings, making it a cost-effective solution for gig workers.

Pros:

Completely free for both federal and state filings.
Handles Schedule C forms for side hustles and freelance income.
Simple, intuitive interface ideal for straightforward filings. Cons:
Limited support options for complex tax situations.
Some advanced features, like investments or rental property income, aren’t as robust as other platforms.

6. FreeTaxUSA

Best for Experienced Filers & Additional Support

For those comfortable with tax forms and needing minimal guidance, FreeTaxUSA offers a budget-friendly solution. It’s also a good option for those who require additional support, as its Pro version includes access to tax experts for only $39.99.

Pros:

Free federal filing, with state filing at an affordable rate.
Pro support add-on provides access to tax professionals at a low price.
Ideal for experienced filers who don’t need a lot of guidance. Cons:
Minimal handholding compared to competitors like TurboTax.
Limited import options for investment and other complex tax scenarios.

7. Coinly (Crypto Tracking Tool)

Best Companion Tool for Cryptocurrency Reporting

While not standalone tax software, Coinly is an excellent tool for tracking cryptocurrency transactions, generating tax documents like Form 8949 that can be imported into TaxAct or other tax software.

Pros:

Tracks cryptocurrency purchases, sales, and conversions.
Automatically generates IRS-compatible forms.
Integrates with multiple wallets and exchanges for easy reporting. Cons:
Requires an additional step for filing, as it only tracks transactions.
Paid subscription needed for generating Form 8949.

8. TaxSlayer Premium

Best Value for Growing Side Hustles

For those whose side hustle has evolved into a full-time business, TaxSlayer Premium offers a low-cost option that grows with you. This package provides self-employed support, making it easy for business owners to get the help they need.

Pros:

Fixed fee ($34.95) includes all forms for small business owners.
Self-employed support is available for an additional $30.
Flat pricing simplifies budgeting for tax software. Cons:
Less robust than higher-priced competitors for larger businesses.
Some users may find limited support for complex deductions.

Summary

Choosing the right tax software can make a huge difference in how you experience tax season. Here’s a quick recap of our top picks:

TurboTax: Best for itemizing and charitable contributions.
TaxSlayer: Ideal for student loan borrowers and landlords.
H&R Block: Excellent for stock market investors with complex portfolios.
TaxAct: Best for cryptocurrency traders not limited to Coinbase.
Cash App Taxes: A free solution for side hustlers and gig economy workers.
FreeTaxUSA: Great for experienced filers and affordable support options.
Coinly: Best crypto tracking tool, compatible with TaxAct for filing.
TaxSlayer Premium: Best value for growing side hustles transitioning into small businesses.

By comparing each of these software options based on your specific needs, you can save time, reduce costs, and file your taxes with confidence. Start early to take advantage of lower prices, and choose the software that offers the best combination of features and support for your unique tax situation.