TurboTax review for tax year 2023
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BLUEPRINT
Updated 4:57 p.m. UTC April 1, 2024
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Pros
- Interview-style questions make for a straightforward process.
- Bilingual support is available in English and Spanish.
Cons
- The large number of service options can be overwhelming.
- Less than 40% of filers qualify for the free option.
The bottom line: Who TurboTax is best for
TurboTax is best for taxpayers who want a streamlined experience with the option for live support throughout the tax filing process — and who don’t mind possibly paying for it.
Key features
- Easy to upload some documents. You can take a picture of your W-2 or 1099-NEC with your smartphone to get the information into TurboTax.
- Guaranteed maximum refund. If you receive a larger refund from another tax preparation method, TurboTax will refund what you paid to work with its platform.
- Personal support available. If you want hands-on help from a tax expert, TurboTax offers that. But you’ll have to pay more.
Options for human help
The tax code is complicated and you may run into dead ends along the way. To that end, you can pick two different levels of on-demand help, in either English or Spanish.
TurboTax Live. If you opt for the Live Assisted version, you can ask a team of tax experts an unlimited number of questions about your return and have it reviewed before you file.
TurboTax Full-Service. For taxpayers who want more hands-on help, the Live Full Service option delivers. You’ll be matched with a single tax professional who will walk you through the entire filing process from start to finish.
A closer look at TurboTax’s products
TurboTax offers four online products and four downloadable, desktop products. In general, the less human help you want and the fewer forms you need to file, the less expensive it is.
The capabilities and pricing of desktop products are set and well defined — if you have a more complicated tax filing, you pay but the online pricing options are enough to make anyone go cross eyed. There isn’t one price for one product, but, rather, it depends on how much help you’d like and how many forms you need to file.
All prices and details are accurate as of April 1, 2024.
| TURBOTAX’S PRODUCTS | |
|---|---|
FREE
| TurboTax Free Edition (Roughly 37% of taxpayers qualify. Form 1040 + limited tax credits only.) Pricing: $0 for federal and state filing
Abilities: Report income from a W-2 and some 1099-INT and 1099-DIV forms. Take the standard deduction, student loan interest deduction, Earned Income Tax Credit (EITC) and Child Tax Credit (CTC)
Limitations: Cannot report income from stock sales, crypto sales, business revenue or take itemized deductions
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Online PAID
| If your taxes are more complicated than what’s listed above, you’ll need to pay something
TurboTax Pricing: $69 to $129 for federal filing; $64 per state filing
Abilities: The lowest price here allows you to report income from a W-2 and some 1099-INT and 1099-DIV forms; plus take the standard deduction, student loan interest deduction, Earned Income Tax Credit (EITC), Child Tax Credit (CTC) and deductions related to home ownership. The highest price covers itemized deductions, stock and crypto sales, and income from rental property and freelance work
Limitations: If you want to ask a tax expert for help at any point in the process, you’ll need to bump up to the next paid level
TurboTax Live Assisted
For: Individuals who are OK with doing the work, but who want a safety net — the ability to ask questions and have an expert review before filing
TurboTax Live Assisted Basic Pricing: $89 to $219 for federal filing; $69 per state filing
Abilities: Mirroring the “regular” TurboTax program, you’re able to do all the same things. The bonus here is that you’re able to ask an expert for help, even during nights and weekends, plus have all your work reviewed before you file
Limitations: The expert won’t do your taxes for you — you’ll still need to create a return through TurboTax’s interface
TurboTax Live Full Service Pricing: Starting at $129 to $469 for federal filing; $69 for state filing
Abilities: Work with a human expert from start to finish. The lowest quoted price of $119 includes a W-9 and a 1040; more complexity will lead to a higher price point
Limitations: If your tax situation is super complex, you may want a deeper relationship with an individual tax consultant or Certified Public Accountant who can help you throughout the year and whom you can rely on year after year
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Desktop PAID
| For potentially lower prices, but less access to human help, you can download TurboTax’s software. (This could be appropriate if your internet connection is spotty.)
Basic Pricing: $50 for five federal e-filings; $45 per state download filing or $25 per state e-filing (state e-files do not apply to New York returns)*.
Abilities: Five individuals can electronically file their federal taxes with this software (bringing the price as low as $10 per person). The ability to report W-2s and some tax credits is included: Child Care Credit, Earned Income Credit (EIC) and child tax credit
Limitations: You can’t itemize deductions or report other income sources. State downloads are sold separately for $45 each — and you must print and mail the forms unless you pay another $25 each for e-filing
Deluxe Pricing: $80 for five federal e-filings and one state download; $45 for each additional state download filing; $25 per state e-filing
Abilities: Up to five taxpayers can use this to potentially take advantage of more than 350 tax deductions and credits on their federal filings
Limitations: You can’t report investment income, crypto sales or self-employment income and state filing can cost more
Premier Pricing: $115 for five federal e-filings and one state download; $45 for each additional state download filing; $25 per state e-filing
Abilities: Besides reporting income from W-2s and 1040s, you can report gains from stocks, bonds, royalties, mutual funds, crypto sales and other investments, plus take full advantage of itemized deductions
Limitations: This software doesn’t allow you to report self-employment income. It’s not designed for businesses, trusts or estates
Home & Business Pricing: $130 for five federal e-filings and one state download; $45 for each additional state download filing; $25 per state e-filing
Abilities: Five taxpayers (individuals or businesses) can use this to file a federal return. It allows you to report investments, take itemized deductions and create W-2s and 1099s for employees and contractors. It includes one state download
Limitations: Not ideal for partnerships, corporations, trusts, estates or multi-member LLCs
*The price is based on the date on which you e-file and is subject to change without notice. E-file fees may not apply in certain states.
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Do your own taxes: Free
TurboTax offers a free option for filers with a simple tax situation. It allows you to file basic income and claim some limited credits.
You can report money earned from a W-2 form and interest and dividends that don’t require a Schedule B filing. You can also take the IRS standard deduction and student loan interest deduction. In terms of tax credits, this option will help you claim the Earned Income Tax Credit and Child Tax Credit.
This free version doesn’t cover rental property income, stock sales, crypto sales, business income, unemployment income or itemized deductions.
Before you file, you can get a final review before you submit your forms. According to TurboTax, only roughly 37% of taxpayers qualify. Form 1040 + limited tax credits only.
Do your own taxes: Paid
Most taxpayers have more complex tax situations: You might need to report gains from selling stock or you could want to take a mortgage interest tax deduction. If you have more things to consider than just your W-2 income, this could be a good solution.
Be prepared to answer a series of questions about your income and life to build your tax return.
Live Assisted: Paid
If you have a complex tax situation that eliminates the free Live Assisted option — or you just want more help on your side — you can upgrade to the paid version. When you run into questions, you can reach out to a tax expert to guide you through any sticky parts of your tax situation.
Live Full Service
If you don’t want to go it alone, the Live Full Service option matches you with a dedicated expert for the entire tax season. The cost starts at $129 and goes up to $469, with more complicated tax situations costing more.
TurboTax Deluxe
Downloadable software
In addition to the online tax filing options, TurboTax also offers downloadable software to complete your taxes. All of these downloadable options require Windows 10 or later and macOS Monterey 12 or later to run and all of them include five federal e-files.
- Basic: This $50 download grants five people the minimum software necessary to file basic federal taxes. If you need to file state taxes, you’ll need to download it separately for an additional $40. It’s ideal for simple tax situations, like those with a W-2 income and no investment income to report.
- Deluxe: For $80, this is a more robust option for filers who want to take advantage of deductions and tax credits. It includes one state software download.
- Premier: In addition to everything the Deluxe level has to offer, the $115 Premier option allows you to report investment income.
- Home & Business: For $130, self-employed filers can report income earned as an independent contractor or freelancer. Business owners can get help maximizing deductions and even create W-2s and 1099s for employees and contractors.
How TurboTax stacks up
| TURBOTAX | H&R BLOCK | TAXSLAYER | CASH APP TAXES | |
|---|---|---|---|---|
Best for
| Filers in a range of situations who want ample support throughout the process
| Filers who want the option of in-person support
| Taxpayers on a budget who are confident about filing their taxes online
| Taxpayers with a simple situation who don’t need any support from an expert
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Cost
| $0 to $469
| $0 to $115 for federal $49 per state
| $0 to $67.95 for federal $44.95 per state
| Free
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Pros
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Cons
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TurboTax vs. H&R Block
H&R Block offers a range of assistance levels, from DIY to fully supported, in-person tax filing, the latter of which is ideal for anyone who prefers a sit-down meeting with an expert.
Unlike TurboTax, which offers some state filing for free, you can expect to pay $49 per state with H&R Block. Also, there’s no live support if you plan to file for free.
The company shines with its ‘no surprise guarantee,’ which promises to honor transparent pricing or provide a 20% discount on your next year’s filing. And, since TurboTax offers almost too many different options and price points, you may appreciate H&R Block’s straightforward pricing.
TurboTax vs. TaxSlayer
TaxSlayer offers a more bare-bones approach to tax filing, which can be worthwhile for some taxpayers. While the free version only supports W-2 income, TaxSlayer’s Classic option, which costs $37.95, allows you to report all types of income. That’s significantly more affordable than most of the options available through TurboTax even when you account for the $44.95 per state filing cost with TaxSlayer.
In terms of human support, TaxSlayer offers limited help with the Classic option. If you want priority phone and email support, you can pay $57.95 for the Premium option. In either case, TaxSlayer offers more affordable access to live support than TurboTax for taxpayers with more complex situations.
TurboTax vs. Cash App Taxes
Cash App taxes offer free filing options for both federal and state tax returns. The company advertises that you can file with them for free regardless of how complicated your tax situation is.
Of course, the catch is that you will have very limited support. If you have technical issues, you can get help via email. But the company doesn’t provide tax experts to help you file. In contrast, TurboTax offers ample support options, which might make it worth the price tag, depending on your needs.
Frequently Asked Questions (FAQs)
TurboTax is a good option for many taxpayers. It offers a streamlined interface and a multitude of support options from tax experts.
TurboTax uses security measures like multi-factor authentication, date encryption and BioMetric support to protect your information.
One of the main disadvantages of working with TurboTax is the cost. You can easily find more affordable tax filing options.
TurboTax offers a 100% Accurate Calculations Guarantee, which means the company will cover any tax penalties or interest you face due to a TurboTax calculator error.
TurboTax only takes money from your refund if you choose to pay for the tax preparation services with a federal refund deduction. But you can choose to pay for your preparation services upfront.
Blueprint is an independent publisher and comparison service, not an investment advisor. The information provided is for educational purposes only and we encourage you to seek personalized advice from qualified professionals regarding specific financial decisions. Past performance is not indicative of future results.
Blueprint has an advertiser disclosure policy. The opinions, analyses, reviews or recommendations expressed in this article are those of the Blueprint editorial staff alone. Blueprint adheres to strict editorial integrity standards. The information is accurate as of the publish date, but always check the provider’s website for the most current information.
