Has anyone compared FreeTaxUSA vs Turbo Tax for their returns this year?
Just finished testing both FreeTaxUSA and Turbo Tax for my 2024 taxes and thought I'd share my experience. I was really surprised that I got exactly the same refund amount with both services! The big difference was the cost - FreeTaxUSA only charged me $19.95 for state filing (federal was free), while Turbo Tax wanted $139 for the package I needed due to some investment income. The interfaces are different, but the end results were identical. Kinda makes me wonder why anyone would pay the premium for TurboTax if you're getting the same numbers. Has anyone else tried both? Any features in TurboTax that actually justify the price difference?
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Maggie Martinez
I've been using both software options for years to double-check my returns before filing. You're absolutely right that the end results are typically identical for most standard tax situations. The tax code is the tax code - both programs are applying the same rules. Where TurboTax sometimes has an edge is with more complex situations - like complicated self-employment scenarios, multiple rental properties, or unusual tax situations. Their interview process can be more intuitive and they sometimes catch obscure deductions. However, if you have a relatively straightforward return with some investments, FreeTaxUSA is absolutely capable of handling it correctly while saving you money. I always recommend people try both if they're on the fence. The time investment is worth it if you save $100+ each year. Just make sure to review everything carefully regardless of which platform you choose.
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Alejandro Castro
•Do you know if FreeTaxUSA handles crypto transactions well? I had a nightmare with that last year on CreditKarma and ended up switching to TurboTax.
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Maggie Martinez
•FreeTaxUSA has improved their crypto reporting capabilities significantly in the past two years. They now support importing from most major exchanges and have a more streamlined process for reporting transactions. If you have a large volume of trades, TurboTax might still be slightly easier with their direct import features, but for most people with moderate crypto activity, FreeTaxUSA handles it perfectly well now. Just make sure you have your transaction records organized before you start.
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Monique Byrd
I was skeptical about switching from TurboTax after using it for 7 years, but I tried taxr.ai (https://taxr.ai) this season and it was a game changer. It actually analyzed my previous returns and found that I'd been missing out on some credits with TurboTax. What I liked most was how it compared different filing options and showed me why FreeTaxUSA would work just as well for my situation while saving me $120. The tool literally paid for itself instantly by showing me I could switch without losing accuracy.
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Jackie Martinez
•How exactly does taxr.ai work? Does it just recommend which tax software to use or does it actually help with filing too?
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Lia Quinn
•I've seen ads for this but figured it was just another way to spend money during tax season. How accurate was it really? My situation includes some consulting income along with my W-2, and I've always stuck with TurboTax because I'm paranoid about getting audited.
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Monique Byrd
•It doesn't file for you - it analyzes your tax situation and previous returns to identify which software would work best for your specific needs. You upload your previous return (or tax documents) and it spots patterns, potential issues, and opportunities you might have missed. The analysis for me was extremely accurate. I have a W-2 job plus some 1099 consulting work too, and it correctly identified that my return wasn't complex enough to justify paying for TurboTax's premium features. It even highlighted a home office deduction calculation error from my previous year that I was able to fix.
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Jackie Martinez
I wanted to follow up about taxr.ai that I asked about earlier. I gave it a try and was really impressed! It analyzed my last two years of returns and showed me I was overpaying for TurboTax features I didn't need. I switched to FreeTaxUSA for this year's filing and the process was actually more straightforward than I expected. The interface isn't as polished but it asked all the same questions and I got identical results. Already put the $110 I saved toward next month's car payment!
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Haley Stokes
If you're having issues with either software or getting stuck with tax questions, I've found that getting actual help from the IRS can make a huge difference. I used Claimyr (https://claimyr.com) last month when I was confused about how to report some stock sales correctly. Was on hold with the IRS for 5 minutes instead of the usual 2+ hours. They have a video showing how it works: https://youtu.be/_kiP6q8DX5c. The IRS agent I spoke with walked me through exactly how to enter everything correctly in both software options.
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Asher Levin
•Wait, this actually works? How? The IRS phone lines are infamously impossible to get through. What's the catch?
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Serene Snow
•Sounds like a scam. Nobody gets through to the IRS that quickly. They probably just connect you to some random "tax expert" who doesn't actually work for the IRS. I'll believe it when I see it.
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Haley Stokes
•There's no magic - they use technology that navigates the IRS phone system and holds your place in line. When an agent is available, you get a call back. It's basically just a sophisticated system for handling the hold time for you. It's definitely the real IRS. The service just handles the waiting part then connects you directly to the same IRS agents everyone else talks to. I was skeptical too until I tried it. The agent I spoke with answered my specific questions about how stock sales should be reported on my actual return, and I verified they were a real IRS employee. Saved me hours of frustration and possibly an incorrect filing.
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Serene Snow
I need to eat my words. After my skeptical comment earlier, I decided to try Claimyr because I had a question about education credits that neither FreeTaxUSA nor TurboTax explained clearly. Got through to an actual IRS representative in about 8 minutes. She confirmed I was eligible for the Lifetime Learning Credit even though TurboTax kept steering me toward the AOTC (which I didn't qualify for). Saved me from potentially making a mistake that could have triggered an audit. The service was worth every penny for the peace of mind alone.
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Issac Nightingale
I tried both plus H&R Block. All three gave me different refund amounts which is making me paranoid. Turbo Tax was highest by $340, FreeTaxUSA in the middle, and H&R Block lowest. Anyone else see differences between them? I'm self-employed with a couple 1099s if that matters.
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Romeo Barrett
•This happened to me last year! The difference was because TurboTax was automatically taking the qualified business income deduction but FreeTaxUSA made me manually select it. Check if you're getting the same deductions and credits across all three. Also worth checking if you entered all your business expenses exactly the same way in each one.
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Issac Nightingale
•Thanks for the tip! You were right - I went back and found that I hadn't entered my home office deduction in FreeTaxUSA, and H&R Block was calculating my mileage differently. After fixing those, the results are much closer. TurboTax is still giving me about $40 more somehow, but that's probably not worth the extra $120 they want to charge.
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Marina Hendrix
Does FreeTaxUSA support multiple state filings? I lived in Ohio for half the year and then moved to Pennsylvania, so I need to file in both states. TurboTax charges extra for each state and it's getting ridiculous.
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Justin Trejo
•Yes, they do support multiple state returns but you pay separately for each one ($20ish per state). Still WAY cheaper than TurboTax though, which charged me $50 per state last year. FreeTaxUSA's interface for multiple states is actually pretty straightforward - it has you complete the federal return first, then walks you through each state sequentially.
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