Cash App Taxes, formerly known as Credit Karma Tax, is a 100% free online tax software platform. In fact, it’s our best option for filing free tax returns here at The College Investor.
But although Cash App Taxes offers great value, it has its limitations, and it’s not for everyone.
With limited support for some tax situations and no option to connect and download tax data from your financial accounts, you may be looking for a more robust alternative to Cash App taxes. Here’s a look at several of the best options if you’re not satisfied with Cash App Taxes’ offering.
Best alternative overall: ring taxes
Chime Taxes is the best alternative to Cash App Taxes for one simple reason: it’s the only other major brand that offers completely free tax returns.
Similar to Cash App taxes, there are restrictions. Some situations, including filing taxes in multiple states, non-resident tax returns, adoption credits, and taxable refunds reported on Form 1099-G, may not be supported.
You must also have a Chime bank account – which can be opened for free.
Learn more in our Chime Taxes review.
Best for Investors: H&R Block
H&R Block is perhaps best known for its storefront tax preparation services, where you can meet with someone face-to-face for your tax filing needs. It’s our second choice for best comprehensive tax software and our top pick for investors.
H&R Block doesn’t offer the same level of importing ability as TurboTax, but it does a great job of helping investors transfer their investment data to the necessary tax forms. It also features a more comprehensive free tier than TurboTax offers.
If you get stuck, you can get professional tax support from an H&R Block representative online or in person. The ability to switch from DIY taxes to moving to a local H&R Block location is a huge differentiator compared to other tax software.
Learn more in our H&R Block review.
Best for Student Loans: TaxSlayer
TaxSlayer is less expensive than other high-end tax software, while offering an online experience that is comparable to many high-end options. The Classic tier ($22.99 plus $39.99 per state) includes all supported tax forms and situations, including forms for self-employed individuals, side hustlers, investors, and student loans.
It doesn’t feature the same level of support for importing investment data as TurboTax or H&R Block, but it’s generally very good and covers most tax situations. And if you qualify for the generous free tier, student loan interest support is included. You won’t find that with most competitors.
Although it’s not the easiest to use, it does an excellent job for the price, providing a balance of quality and value. It competes with premium tax software in terms of ease of use but costs less than most premium competitors.
For more information, check out our full TaxSlayer review.
Best for filing on a budget: FreeTaxUSA
FreeTaxUSA is one of the cheapest tax filing options available, but it’s not actually free. It’s not as cheap as Cash App Taxes, which is free, but it covers more tax situations at an impressively low price. Federal returns are available for free, and you’ll pay $15.99 per state. This means most people will spend $15.99 to do their taxes with FreeTaxUSA.
The navigation and user interface are very good for the price. But unlike premium competitors, you’ll have to manually enter data from all of your tax forms. If you only have a W-2 and a 1099-INT form from your bank, this isn’t a big deal. But if you have multiple investment accounts or other complex needs, the lack of support for imports is a drawback.
FreeTaxUSA covers taxes in multiple states, which Cash App taxes do not. So, if you work or live across state lines and want to file your taxes at the lowest possible cost, FreeTaxUSA may be a good choice. And if you find any other limitations of Cash App Taxes a deal breaker, this is a reasonable option for paying your taxes on a budget.
Learn more in our FreeTaxUSA review.
Best for S Corp Owners: TaxAct
TaxAct is a premium tax offering with a premium feature that you won’t find anywhere else (to our knowledge). TaxAct is the only online platform that enables you to file taxes for an S Corporation, C Corporation, or Trust. The best competing option is downloadable-only software for Windows, leaving Mac users out and ignoring the cloud. TaxAct gives you the ability to pay your S Corp taxes online, in addition to your personal taxes.
There’s no rule that says you have to use the same tax software for your business and personal taxes, but doing both with a single login is a good option. If you want to do your personal taxes elsewhere, like TurboTax or Cash App Taxes, you can still do your S Corp taxes and get Forms 1120S and K-1 with TaxAct as your first step in preparing your small business owner taxes.
For personal taxes, it’s not our best value choice. It offers an experience in line with many mid-tier offerings at a premium price. However, it is a solid option for many filers and is great for small business owners who have an S Corp.
Learn more in our TaxAct review.
Why should you trust us?
The College Investor team has years of experience helping people choose tax software, most of which we’ve used ourselves to ensure we can provide an informed opinion. We’re not afraid to point out low-quality options and want to help you find the best value option for your unique needs.
Over the past few years, the author of this article has completed his tax return using the apps mentioned in this article: TurboTax, H&R Block, Cash App Taxes, TaxSlayer, and TaxAct.
Bottom line
Cash App Taxes is our best option for paying your taxes for free, but if you find that too restrictive or want a premium experience, there’s nothing wrong with paying a little more for the best software. By having a good understanding of your budget and tax needs, you can choose the best alternative to Cash App taxes for your next tax return.
