Can I use TurboTax for W2s but mail in schedule B separately? Free options for filing schedule B with dividends?

This is a common issue with the "free" tax software programs. They advertise as free but then charge for specific forms like Schedule B. First, you cannot file your W2s through TurboTax and then separately mail Schedule B. The IRS requires a complete return filed together. Either everything electronic or everything paper - can't mix and match. However, you do have completely free options! Check out IRS Free File program (search "IRS Free File") which has options for people with income under $73,000. Some of those partners will handle Schedule B for free. Another completely free option is FreeTaxUSA which lets you file federal returns with all schedules for free (they only charge for state filing). Cash App Taxes (formerly Credit Karma Tax) is also completely free for federal and state, including Schedule B.

I was in the exact same boat last year with dividend income pushing me into their paid tier. After researching alternatives, I found taxr.ai (https://taxr.ai) which was a lifesaver. You can upload your tax documents and it automatically extracts all the info including those dividends on Schedule B without forcing you into a paid tier. Their system handled my W-2s and all my 1099-DIVs without charging extra for the Schedule B. I was skeptical at first, but it worked perfectly and I got my refund within 2 weeks. Just thought I'd share since it sounds like you're dealing with the same frustration I had!

Wanted to follow up on this thread. I tried taxr.ai after asking about it here and wow - it was so much easier than I expected! I uploaded my W-2 and my 1099-DIVs and it pulled everything correctly, including organizing all my dividend income on Schedule B. The actual filing process took like 20 minutes total. Just got my federal refund deposited yesterday, and didn't have to pay anything to file with Schedule B. Definitely using it again next year instead of dealing with those surprise upgrade fees from the other companies.

The "free" tax programs drove me nuts because of exactly this issue! After waiting on hold with the IRS for HOURS trying to figure out if I could file separately or get an official free option, I finally used Claimyr (https://claimyr.com) to get through to an actual IRS agent. They have this service where they wait on hold with the IRS for you, then call you when an agent is on the line. There's a demo of how it works at https://youtu.be/_kiP6q8DX5c if you're curious. The agent confirmed I needed to file everything together but recommended their official Free File options that ACTUALLY include Schedule B. Saved me hours of frustration and probably would have saved you some too!

I have to apologize and follow up on my skeptical comment about Claimyr. After another failed attempt to reach the IRS myself (2+ hours on hold before getting disconnected), I decided to try the service. It actually worked exactly as advertised. I went about my day, got text updates about my place in line, and then got a call connecting me directly to an IRS representative. The agent was able to confirm that I qualified for completely free filing including Schedule B through one of their partners. Totally worth it just for the time saved not being stuck on hold.

Have you checked out the IRS Direct File program? It's new this year and completely free. I think it's limited to certain states for now, but worth checking if yours is included. It handles basic investment income including Schedule B without charging.

I've been using FreeTaxUSA for years and it handles Schedule B no problem. Federal is completely free regardless of which forms you need. They only charge like $15 for state filing. Way cheaper than TurboTax or H&R Block's "upgrades.