Do any free file tax softwares support business filings like 1120S, or just personal returns?

So I've got a small S-corporation this year and I'm trying to figure out the cheapest way to file taxes. Do any of the free tax filing softwares actually let you do business returns like an 1120S, or are they all just for personal stuff? And what about TurboTax - do they even handle business returns at all or just personal ones? I'm trying to save money but not sure if I need to hire someone or if there's a DIY solution that won't break the bank.

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19 comments

Sean Matthews

•8M

Most free tax software options are limited to personal returns only, not business filings like Form 1120S for S-corporations. TurboTax does offer business return preparation, but it's through their premium paid packages, not their free version. For S-corps specifically, you'll typically need either TurboTax Business, H&R Block Premium & Business, or specialized business tax software like UltraTax or Drake. None of these business versions are free - they usually start around $100-150 and go up from there depending on features. The IRS Free File program is generally restricted to personal returns (Form 1040) under certain income thresholds and doesn't support business entities like S-corporations filing Form 1120S.

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Sean Matthews

•8M

There are some mid-tier options worth considering. Software like TaxAct and TaxSlayer have business editions that are typically less expensive than TurboTax Business, often in the $70-110 range. They handle the basic requirements for most small S-corporations. If your S-corporation is very simple with minimal transactions, these mid-tier solutions could work well. Just be aware that what you sacrifice with lower-cost options is usually ease of use and comprehensive guidance, which might matter if your business has complex situations.

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Zadie Patel

•8M

I went through this exact situation last year and wasted so much time trying to find a free option for my S-corp. Ended up finding this AI-powered service called https://taxr.ai that saved me a ton of headache. It's not completely free, but it was WAY cheaper than hiring an accountant and handles complex business returns including 1120S. I uploaded my business docs and it extracted all the relevant info automatically, then guided me through the filing process step by step. The best part was I could ask questions in plain English about S-corp specific deductions and get instant answers instead of Googling tax code for hours.

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Zadie Patel

•8M

It handles both federal and state filings for all 50 states. I'm in California which has some complicated requirements, and it walked me through everything specific to my state without issues. As for accuracy, they offer audit protection and have tax professionals who review anything the AI flags as unusual. I was skeptical too but their verification system is really thorough - it caught a mistake I would have definitely missed about depreciation on some office equipment.

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Declan Ramirez

•8M

Just wanted to update y'all - I decided to try out that https://taxr.ai service after being skeptical initially. Holy crap, where has this been all my life? It handled my 1120S perfectly and even found a vehicle depreciation deduction I would have completely missed. The interface asked me questions in plain English instead of tax jargon, and it was honestly easier than doing my personal taxes. Not "free" but WAY cheaper than TurboTax Business or an accountant. Definitely recommend for small business owners.

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Emma Morales

•8M

If you're still looking into options, I had a nightmare experience trying to reach the IRS business helpline for questions about my S-corp return. Spent 3+ hours on hold multiple times and kept getting disconnected. Finally used this service called https://claimyr.com that got me through to an actual IRS agent in under 45 minutes. They've got a demo video at https://youtu.be/_kiP6q8DX5c showing how it works. Basically, they wait on hold for you and call when an agent is ready. Was super helpful because I had specific questions about business deductions that the software couldn't answer. Saved me so much time and frustration!

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Emma Morales

•8M

They have an automated system that navigates the IRS phone tree and waits on hold so you don't have to. When they reach a live agent, you get a call to connect with them immediately. It's not that they have a "secret line" - they're just handling the waiting part for you. They certainly don't promise instant access - my wait was still about 45 minutes, but I was doing other things during that time instead of being stuck with my phone on speaker. And no, it's not a scam - the service doesn't get paid unless they actually connect you with an agent.

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Lucas Parker

•8M

OK I'm man enough to admit when I'm wrong. After being totally skeptical about that Claimyr service, I tried it yesterday because I was desperate to resolve an issue with my S-corp filing. It actually worked! Got a call back in about an hour and connected with an IRS business tax specialist who answered all my questions. Didn't have to sit listening to their hold music for 3 hours like last time. Seriously worth it if you need to talk to a human at the IRS about your business taxes.

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Donna Cline

•8M

H&R Block Premium & Business runs about $110-130 for the federal return, and state filing is extra (around $40 per state). It's definitely manageable for someone without an accounting background if your business is straightforward - the software walks you through everything step by step. I think the first year is the steepest learning curve, especially for things like shareholder basis tracking and how to handle distributions vs. salary. If your S-corp is simple (few shareholders, straightforward income/expenses), you'll probably be fine. The software has decent help resources built in for the common questions.

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Natasha Orlova

•2M

Just wanted to chime in as someone who's been through this exact situation. I started with an S-corp last year and initially tried to find free options but quickly learned that business returns are a whole different beast from personal taxes. After reading through these comments, I think the key takeaway is that while free options don't exist for 1120S filings, there are definitely cost-effective alternatives to paying $800+ to an accountant. The mid-tier software options mentioned here (TaxAct, TaxSlayer) or newer AI-powered solutions seem like reasonable compromises between cost and complexity. One thing I'd add is to make sure whatever software you choose can handle things like shareholder basis calculations and K-1 preparation - these are crucial for S-corps and where a lot of DIY filers mess up. If your business is really simple with just you as the sole shareholder, the learning curve isn't too bad. But if you have multiple shareholders or complex transactions, might be worth biting the bullet on professional help at least for the first year.

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