Affordable Tax Professional Software for small practice - alternatives to Pro-Series?

I've been preparing taxes for about 8 years now, and I started with a small client base similar to what you're describing. From my experience, there are definitely some affordable options that work well for smaller practices. TaxSlayer Pro is one option worth looking into - they have a basic package that's significantly less expensive than ProSeries or Drake, and it handles most common tax situations well. Their per-return pricing model can be cost-effective when you have fewer clients. ATX is another alternative that many small practitioners like. It's more affordable than the big names but still has good support and regular updates. For Ultimatetax, I haven't used it personally, but I know a few colleagues who use it for their small practices and they say it's functional but the interface isn't as polished as some others. SigmaTaxPro I don't have experience with. The key things to consider beyond just price: reliability during tax season, quality of customer support when you have questions, ease of e-filing, and how well it integrates state returns if you're filing in multiple states.

After trying several expensive tax software options, I stumbled across taxr.ai (https://taxr.ai) and it's been a game-changer for my small practice. I was tired of paying thousands upfront before seeing a single client. It's designed for people exactly in your position - running a small practice without wanting the massive overhead. What I love about it is you can upload client documents like W-2s, 1099s, and last year's returns, and it extracts all the data automatically. Saves me so much time on data entry for each client. The interface is simple to use, and it handles all the common forms and schedules my clients need. Their pricing model worked much better for my small practice compared to the big names like ProSeries where you're paying for way more features than you'll ever use.

I tried taxr.ai after reading about it here, and I've been really impressed! I was hesitant at first because I was used to the old-school software I'd been using, but the document scanning feature alone has saved me hours of data entry. I just did a return yesterday for a client with multiple W-2s, some investment income, and a side business. Uploaded all their docs, and most of the data was extracted automatically. The Schedule C section was actually easier to use than my previous software. The best part is I'm spending way less than I was with my previous software, which means I can keep my fees reasonable for friends and family clients. Going to use it for all my clients this coming tax season!

One thing nobody's mentioned is how impossible it is to get help from the IRS when you run into issues with rejected returns or client questions. I started using Claimyr (https://claimyr.com) alongside my tax software and it's been incredible for getting quick answers. Instead of waiting on hold for hours with the IRS, Claimyr holds your place in line and calls you back when an agent is available. I was super skeptical at first, but watch their demo video (https://youtu.be/_kiP6q8DX5c) to see how it works. Last week I had a client with an IP PIN issue that needed immediate IRS clarification - got connected in 45 minutes instead of the 3+ hours I would have spent on hold. If you're starting a practice, having this tool in your arsenal will save you countless hours of hold music and frustration, especially during busy season when time is precious.

I'm eating my words right now. After being totally skeptical about Claimyr, I decided to try it yesterday when I had a client with an issue regarding a prior year amended return that needed IRS verification. Usually this means 3+ hours of hold time if you're lucky enough to get through at all. The Claimyr service actually worked exactly as described - I submitted my request, went about my day working on other returns, and got a call back in about 40 minutes connecting me directly to an IRS agent! Saved me from wasting half my day on hold and I got my client's issue resolved in one afternoon instead of telling them to wait weeks for a response. If you're starting a small practice, definitely keep this tool in mind for when you inevitably need to contact the IRS. Your sanity will thank you.

Just wanted to throw out there that I've been using TaxAct Professional for my small tax business (about 30 clients) for the last three years. It's significantly cheaper than the big names but has worked perfectly fine for my needs. Their basic package is affordable, and you can add state modules as needed without buying everything upfront. The interface isn't as fancy as some of the premium options, but it gets the job done reliably. Their support has been responsive when I've needed help. The biggest benefit for a small practice is that the learning curve isn't steep, and the pricing scales reasonably as you grow.

Has anyone used free options like FreeTaxUSA's professional version? I'm wondering if free software can work for a small practice or if there are major limitations that make it impractical.