Key Takeaways:
- Submitting taxes and IT returns is greatly simplified by using free income tax software. They include intuitive user interfaces and automated features that simplify tax calculation, return filing, and other tax-related procedures for individuals and corporations.
- The paperwork and stress involved in manually submitting taxes are reduced by using income tax software. These solutions streamline the entire process, eliminate the need for significant paperwork, and save time while increasing efficiency.
- For consumers who need advice or have difficult tax situations, certain income tax software platforms offer professional assistance and support. This feature ensures that even people or companies with complex tax situations can benefit from accurate and expert tax filing.
- Although some software may have expensive or premium capabilities, free versions with necessary functions allow customers to reduce their tax preparation and filing costs.
- Several features, including tax management, reporting, mistake detection, and calculation accuracy, are available in the reviewed software solutions. To provide an extensive tax management experience, some software also includes further features like GST management, inventory monitoring, and collaboration features.
Every time we approach the end of the financial year, the burden of filing taxes and tax returns looms large. The prospect of mounting paperwork and staying on top of the changing government regulations makes one dread the fiscal year-end.
Looking for Income Tax Software? Check out SoftwareSuggest’s list of the best Income Tax Software solutions.
However, several paid and free income tax software are available to aid you in the process. The global tax management software is projected to grow by $38.49 billion by 2030 at a CAGR of 13.5%. E-filing your yearly IT and TDS Returns becomes far more comfortable and less time-consuming with this software. Besides, they require minimal to zero paperwork and remove much of the stress from filing IT and TDS returns.
Here is a comprehensive list of the best free income tax software available today.
Before selecting an income tax software, assess your specific needs. Consider factors like user-friendliness, compatibility, and support for complex scenarios. Opt for software like ClearTax for hands-on e-filing and expert assistance. TaxTron offers smooth Canadian tax filing, while TaxCloudIndia's cloud-based solution ensures accessibility and compliance. Tailor your choice to your tax situation, ensuring stress-free and accurate returns.
13 Top Free Income Tax Software for IT Returns and TDS Returns
| Software Name | Features |
|---|---|
| Sales tax management, Inventory management | |
| Revised schedule VI balance sheet for the company | |
| Tax management, Tax filing, Reporting | |
| E-commerce import support, Multi-GSIN | |
| Import/Export data, No data duplication | |
| Roll information forward from last year’s tax return if you prepared the previous year’s return using TaxTron | |
| e-TDS Software, Audit Software | |
| Allows you to do your taxes from anywhere and at any time using any device | |
| Facilitates collaboration so that the firm can work with multiple clients at the same time | |
| The mobile app has a smart camera functionality to let you capture your W-2 data | |
| Imports your federal filing information to compute your state taxes | |
| Enables a non-tech savvy person to file their return online easily, Lets you file the new 1040 form for free | |
| Has intuitive navigation, including a sidebar that keeps track of your progress |
1. ClearTax
ClearTax
This free income tax software has it all. ClearTax gives you a hands-on experience of filing your returns electronically. All you need to do is sign in through your existing email account, upload your Form 16, and the software will calculate your taxes. Besides, your returns will be ready for submission to the IT department.
ClearTax also offers assisted services from their in-house experts to those who need a more professional hand in managing their complex returns. Their fees start from Rs. 799, and increase based on the complexity of the return filing process.
Features
- Sales tax management
- Inventory management
- Reporting
- GST calculating and filing
- Data import/export
- E-way bill generation
- Transaction tracking
- Simple and easy-to-use modules
- Automates calculations and save a lot of time
- Offers mobile accessibility
- Provides real time error alerts and suggestions
- Offers multiple account management
- Limited free version
- Only supports Android
- Not suitable for startups
2. Saral Tax
Saral Tax
Saral Tax is a user-friendly GST software for secure return filing, and the best free Income Tax software. It is a one-stop solution for all your income tax-related queries.
Chartered Accountants and other tax practitioners find it easy to file their returns through Saral Tax. The software automates most of the tax-related processes and ensures compliance. Saral Tax offers more than 15 products for income tax filing and returns to make taxpayer’s life easy.
Features
- Audit Report e-filing
- Revised schedule VI balance sheet for the company
- Direct data interface from Tally ERP
- Offers intuitive and user friendly interface
- Automatically updates features and tax-related information
- Maintains time-stamped records of tax filing
- Offers built in error detection mechanism
- Excellent customer support service
- Has only on-campus deployment feature and no cloud support
- Supports no other payment method other than one-time
- Does not cater to complex tax scenarios
3. EZTax
EZTax
EZTax is one of the best free income tax software for calculating IT returns. This software is available in 8 countries across the globe.
This ITR preparation software offers GST accounting, income tax e-filing, TDS preparation, among many other such services. It makes tax filing a breeze by auto-reading the uploaded Form 16.
Features
- Tax management
- Tax filing
- Reporting
- Address validation
- Taxability verification
- Has an easy-to-navigate interface
- Offers 30-days free trial for the GST accounting software
- Responsive customer support service through various communication channels
- Has built in error checking mechanism
- Employs robust encryption and security measures
- No mobile application for iOS and Mac users
- Learning curve while adapting to the software’s user interface
- Susceptible to potential technical glitches
4. Tax Raahi
Tax Raahi
Tax Raahi is a “one size fits all” tax automation solution. It can resolve all client taxing concerns related to GST, ITR, TDS filing on a single platform.
This best free income tax software solution enjoys a proven record of being one of the fastest income tax systems in the business. It is about 40% faster than other income tax systems. Tax Raahi lets you file GST returns and keep track of them in 15 minutes or less.
Features
- HSN finder
- E-commerce import support
- Multi-GSIN
- Mismatch notification
- Imports previous years’ return
- User-friendly and intuitive interface
- Offers compatibility with various platforms and devices
- Streamlines tax preparation and filing
- Imports data from Tally or Excel
- Digitally manages tax-related documents
- No mobile application
- Occasional technical glitches and bugs
- Lacks personalized consulting
5. Winman
Winman
Many regard Winman as India’s No. 1 chartered accountancy software suites. It has many flagship products, including audit report software and balance sheet software. This makes it the best free income tax software.
The software can effectively cater to the needs of Chartered Accountants. It is known to have revolutionized income tax preparation, tax filing procedures, and also balance sheet computation.
The best part of Winman is that the CA-ERP software is available at no additional cost. It enables the user to have the best tax filing experience.
Features
- E-returns
- E-services
- Import/Export data
- No data duplication
- Regular software updates
- User-friendly and intuitive interface
- Generates detailed and customized reports
- Allows single-window computation
- Automates repetitive tasks
- Maintains audit trail of changes made to financial data
- No mobile application support
- Involves initial investment
- Compatibility issues with third-party applications
6. TaxTron
TaxTron
TaxTron is a Canada-based tax preparation and filing software. It has made filing income tax returns in Canada a walk in the park. It is compatible with both Windows and Macintosh operating systems.
This best free income tax software is subjected to a rigorous testing procedure to remain compliant with Canadian revenue guidelines.
Features
- File your tax return with Canada Revenue Agency and Revenue Quebec
- Roll information forward from last year’s tax return if you prepared the previous year’s return using TaxTron
- Compatible with both Windows and Macintosh
- Available in multiple languages – English, French, Hindi, and Punjabi
- User-friendly and intuitive interface for navigation
- Employs advanced algorithms reducing error risks
- Utilizes encryption and strict security measures for financial data protection
- No mobile application
- No multi-tier software
- Limited integration options
7. EASYOFFICE
EASYOFFICE
EASYOFFICE is Electrocom’s taxation software which provides comprehensive taxation solutions and includes different modules like
- Income Tax Returns
- e-TDS Software
- Audit Software
- CMA Software
- Return Filing Software
The income tax software can import data from XML, FVU, and Tally.
Features
- TDS Returns
- Service Tax Calculations
- Service Tax e-Return Filing
- Income Tax Processing
- User-friendly and intuitive interface
- Easily integrates income data with expense tracking
- Automates tax calculations and deductions
- Customizes detailed income reports to match specific timeframes
- Easy to manage finances and plan for taxes
- No mobile application
- Crucial premium features come with a subscription cost
- Compatibility issues with certain platforms
Interesting read: How To Use Government’s Income Tax Calculator: Stepwise Guide
8.TurboTax
TurboTax
Michael A. Chipman of Chipsoft developed TurboTax in the mid-1980s. They offer a free tax filing solution to file your federal and state taxes online easily.
The income tax software runs a complete review of your return before giving you a green signal to file. It makes sure that you haven’t missed anything. It imports all the information from W-2 into all the right forms.
Features
- Active and reliable customer support available 24×7
- Enables you to view your credit score as well
- Allows you to do your taxes from anywhere and at any time using any device
- Lets you pick up from where you left the last time as it saves your progress
- Has APIs to download several W-2s
- Stores historical information with easy access
- Provides excellent customer service
- User-friendly and intuitive interface
- Offers a robust calculation engine
- Not compatible with complex financial situations
- Limited offline access
- Add-on fees for various features
9. TaxCloudIndia
TaxCloudIndia
TaxCloudIndia is a cloud-based tax solution for various problems a CA might face while filing returns. It automates a variety of tasks to save time and effort. This cloud-based income tax software enables you to work from anywhere and at any time as per your convenience.
To ensure a smooth and seamless filing experience, TaxCloudIndia keeps abreast of the latest tax regulation changes. Thus, it ranks as the best free income tax software.
Furthermore, it supports all types of income heads and ITR forms, such as income from salary, house property, capital gains, etc.
Features
- Facilitates collaboration so that the firm can work with multiple clients at the same time
- Integrates with third-party solutions
- Selects your ITR Form based on the data entered
- Direct e-filing without XML
- Offers insights and tools for tax planning
- Keeps detailed audit trail of income data
- Efficient for importing 26AS
- Robust integration with third-party solutions
- Lack of customer service
- Complex system set-up
- Delays in customer assistance, at times
10. TaxAct
TaxAct
TaxAct is an American income tax software, suitable for individual tax registers and professional affiliates. It has both free and paid versions. You can easily file a 1040 form and a state return using the best free income tax software.
It allows you to take the child tax credit, the credit for the elderly or disables, the earned income tax credit, the education credit, and the credit for child and dependent care expenses. More such features are available in the paid version.
TaxAct’s free version works best for people who don’t plan to claim any deductions or credits other than the earned income tax credit, the child tax credit, or the standard deduction.
Features
- Offers free tech support by chat, email, or phone
- Has an easy-to-use and intuitive interface
- The mobile app has a smart camera functionality to let you capture your W-2 data
- Offers flexibility to choose refund options
- Compatible with different devices
- Imports data from your W-2
- Quick data entry process
- Allows easy comparison of current tax return with previous years
- Customer service is not very active
- User interface not visually appealing
- Limited features in the free version
11. H&R Block
H&R Block
With its easy-to-use interface, H&R Block is the best free income tax software. It is an ideal solution for filing your returns from your home’s comfort. It even offers help through interview-style questions as a part of its “Guide Me” series.
Moreover, its free version lets you file the new Form 1040 and the new Schedules 1-6. It also allows you to take the child tax credit, the earned income tax credit and the credit for the elderly or disabled just like TurboTax.
Features
- Imports your federal filing information to compute your state taxes
- Lets you take advantage of home mortgage interest
- Tech support available 24×7 via chat
- User-friendly interface with easy navigation
- Import the W-2 data with ease
- Offers flexible refund options
- Helps with easy document management
- Technical support available 24×7 via chat
- Additional fee to get an audit report
- Not suitable for complex tax situations
- Highly dependent on the internet
12. TaxPoint
TaxPoint
TaxPoint is one of the best free income tax software solutions that has been around since 2011. It has a user-friendly interface that appeals to experienced filers and novices alike.
Besides, if you have prepared your taxes with TaxPoint earlier, you can transfer all relevant information from the previous year’s return. It saves you from the trouble of re-entering relevant information to file the current year’s return.
Moreover, if you filed your returns with another online tax prep service during the previous year, TaxPoint allows you to import that return. It auto-populates the relevant information as you file the return.
Features
- Tech support available for free via email, live chat, and phone
- Enables a non-tech savvy person to file their return online easily
- Lets you file the new 1040 form for free
- Import the W-2 data with ease
- Lets you file the new 1040 form for free
- User-friendly interface with easy navigation
- Customer support available for free via email, live chat, and phone
- Minimizes error risks with automated calculations
- Payment applicable for filing state returns
- Limited personalization options
- Learning curve for non-technical users
13. TaxSlayer
TaxSlayer
TaxSlayer is also one of the best free income tax software solutions, which offers both free and paid versions. The free version works best for filing the new 1040 form quickly with its intuitive and user-friendly interface. It allows you to file both federal and state returns for free.
TaxSlayer checks your return for errors and missing data before you e-file to ensure that the IRS processes your return without any delay. It allows you to import your previous year’s return information from other tax service solutions to file your return with ease.
Features
- Offers free technical support via email
- Has intuitive navigation, including a sidebar that keeps track of your progress
- Imports information from previous tax returns
- Clean and intuitive interface
- Offers free technical support via email
- Imports information from previous tax returns
- Provides quick refund solutions
- Guarantees 100% accuracy
- Limited free version
- Add-on fees for various features
- Learning curve for non-tech users
Summing Up
Income tax filing is a tedious and cumbersome process that can have grave consequences if not done correctly. However, income tax software can make the process of filing taxes and returns a not-so-taxing one!
This list of some of the best free income tax software solutions available on the market will help you remain compliant with local tax regulations. If you are using a solution other than those mentioned above, do let us know in the comments section.
Free income tax software refers to computer programs or online services that let people prepare and submit their tax returns without paying fees. These software solutions frequently offer step-by-step instructions, support users in precisely calculating their taxes, and aid in submitting valid deductions and credits. They provide a practical, affordable way for taxpayers to conveniently and effectively complete their tax duties.
Free income tax software assists users in entering their financial data, deductions, and credits. The software automatically estimates tax liabilities based on the input data and the applicable tax rules. It guarantees correct calculations, assists customers in claiming legitimate deductions, and creates the required paperwork. Users' electronic filing of returns is free, streamlining the tax filing procedure.
Free tax income software is not appropriate for all tax returns. They can handle simple returns, but more complicated circumstances, such as those involving self-employment income, rental properties, or elaborate deductions, might need specialized software or expert assistance. Before selecting whether free software suits your needs, evaluating your tax position and the software's capabilities is necessary.
Free tax income software frequently serves taxpayers with uncomplicated tax situations, usually those with smaller incomes, few investments, and no complicated deductions. But different software vendors may have different income restrictions. People with more complicated financial issues might need premium options or professional support. Before choosing software, it's crucial to study the eligibility requirements to ensure it meets your demands.
The security and safety of free income tax software can differ. Reputable suppliers invest substantially in data security and encryption to secure consumer data. Some free options, however, do not have strict security, putting critical data in danger. Prioritize well-known, reputable sites and evaluate their security by reading reviews. Pay attention to paid options for more assurance, but conduct an extensive study before choosing.
You can use specific tax preparation software and programs, such as the IRS Free File program or state-specific choices, to file your federal and state taxes for free. These websites provide free filing choices depending on your income and other qualifications. To ensure you can file your taxes for free on both the federal and state levels, check the criteria and options in your state.
Many free tax software solutions provide customer help, although the quality and accessibility may vary. To aid users in navigating the program and finding the answers to their tax-related problems, several suppliers provide email or chat support, FAQs, and user forums. However, more complete customer service alternatives, like phone support and professional advice for challenging tax problems, are frequently offered by premium versions of these programs.
Priya is a seasoned writer with expertise in the SaaS industry. With over five years of experience in the field, she deeply understands the requirement of this specific industry, its techniques, and tools. Her articles, whitepapers, and blog posts are known for their clarity, practicality, and actionable insights. Priya also possesses in-depth knowledge of SEO and content marketing, which enables her to develop effective strategies to increase website traffic and improve brand visibility.
