How Much Do TurboTax, H&R Block, and TaxAct Cost for Federal and State Filing?

Paid tax software federal filing generally runs from about $39 to $159 depending on the product tier, and state returns add roughly $0 to $64 per state. TaxAct starts near $99 federal, TurboTax Premium is $139 federal plus $40–64 per state, and free editions exist for the simplest returns.

• TurboTax offers three paid plans from $39 to $159 for federal filing, with state returns from $0 to $49 per state, according to SmartAsset.
• TurboTax Premium costs $139 federal plus $40–64 per state; the Live Expert tier runs $89–209 federal plus state fees.
• TaxAct starts at $99 federal and advertises more than 20% savings versus TurboTax federal filing.

What Is Tax Software Cost, and Why It Confuses Business Owners

Tax software cost is the total price you pay to prepare and file a return online, and it almost always has two moving parts: a federal filing fee and a separate state filing fee. Entrepreneurs get surprised because the headline price you see in an ad usually covers only the simplest federal return.

The real online tax filing prices depend on your situation. Self-employment income, rental property, investment sales, and multi-state activity push you into higher tiers. The advertised base price rarely reflects what a Schedule C filer with a state return actually pays.

This is the core issue with tax software pricing: the sticker number and the checkout number diverge the moment your return stops being basic.

TurboTax Cost for Federal and State Filing

TurboTax has three paid plans that run from $39 to $159 for federal filing, according to SmartAsset. State filing with a paid tier varies from $0 to $49 per state, so a two-state filer can add meaningful cost quickly.

For self-employed entrepreneurs, TurboTax Premium is priced at $139 for federal plus $40–64 per state. If you want a tax professional to review or handle the return, TurboTax with Live Expert runs $89–209 for federal plus state fees, per industry pricing summaries.

TurboTax also offers a Free Edition ($0 federal + $0 state + $0 to file) for qualifying simple returns, though most business owners will not qualify because business schedules are excluded from the free tier.

H&R Block Cost for Federal and State Filing

H&R Block competes directly with TurboTax across a similar tier structure, ranging from a free edition for simple returns up to premium self-employed products, with state returns billed separately from federal. Because H&R Block's published figures are refreshed each filing season and vary by promotion, confirm the current price on the checkout page before you commit.

TaxAct Cost for Federal and State Filing

TaxAct positions itself as the lower-cost alternative. Its paid products start at $99, with state filing starting at $129 in the tiers TaxAct references, and it includes free technical phone support, per TaxAct.

TaxAct claims its federal filing saves you more than 20% compared to TurboTax federal. For entrepreneurs filing a Schedule C plus one state, that gap can matter, though feature depth and interview guidance differ between platforms.

Federal and State Filing Fees Compared

Note that free editions from TurboTax exist for the simplest returns, but they typically exclude self-employment and investment schedules, so most business owners land in the paid tiers above.

How to Choose the Right Tax Software by Cost

Match the tool to your actual return, not the advertised base price. Use these steps to compare tax software cost honestly:

1. List your schedules — Schedule C, rentals, capital gains — because these determine your required tier, not the entry price.
2. Count your states. Each additional state return adds a separate fee that stacks on top of federal.
3. Decide whether you need expert review. Live tiers cost more but reduce error risk for complex business returns.
4. Compare the checkout total, not the headline. TaxAct's advertised savings versus TurboTax only apply at comparable tiers.
5. Confirm current-season pricing on the provider page before filing, since promotional rates change each year.

Software is not the only path. Many entrepreneurs weigh DIY software against hiring a preparer once their return includes payroll, multiple entities, or heavy self-employment activity. Our breakdown of professional tax preparation cost in the US helps you compare the software route against a CPA or enrolled agent.

Which Option Is Cheapest for Entrepreneurs?

For a single simple state and no business income, a free edition can be genuinely $0. For a self-employed filer, TaxAct's starting-at-$99 federal is generally lower than TurboTax Premium's $139 federal, though state fees and feature needs can narrow the gap.

The cheapest choice is the one that correctly handles your schedules without forcing an upsell mid-return. Underbuying a tier and then upgrading at checkout is how filers end up paying TurboTax-level prices anyway.

If tax cost control is part of a broader strategy, our 2026 small business tax guide covers deductions and planning that often save more than the software fee itself. You can also explore full tools and comparisons at mytaxease.app.

Tax preparation resources such as those covering tax report preparation in the US frequently note the same pattern: the price of the software is small next to the cost of choosing the wrong tier or missing deductions.

Frequently Asked Questions