TurboTax vs TaxFreeUSA in 2025 - My Honest Comparison After Switching

I've been a loyal TurboTax user for about 7 years straight, but last tax season they really pushed me over the edge. What started as what I thought would be their typical fee for my tax return turned into something completely different. The software led me through the whole process making me think the price would be what I'd paid before, but when I finally got to the end, they hit me with fees nearly triple what I was expecting! By that point, I'd already spent hours inputting all my information and just wanted to be done, so I reluctantly paid. After that experience, I promised myself I wouldn't give them another cent. For my 2024 taxes this year, I decided to try TaxFreeUSA instead, and honestly, I'm kicking myself for not switching sooner. The interface was just as intuitive, I could find everything I needed, and the price was significantly less than what TurboTax was charging. I paid around $25 total including state filing instead of the $120+ that TurboTax wanted to charge me last year. If anyone's on the fence about switching from TurboTax, I can definitely say TaxFreeUSA was worth it. The transition was painless, and my wallet is much happier. Never going back to TurboTax after that bait and switch they pulled.

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19 comments

Everett Tutum

•8M

As a tax preparer who's worked with various software options, I completely understand your frustration with TurboTax. Their "free" advertising versus actual charges has been problematic for years. The pricing structure is designed to hook you in and then reveal additional fees once you're committed. TaxFreeUSA is definitely a solid alternative for most standard tax situations. Their federal filing is much more reasonably priced, and even their state filing fees are transparent. The interface has improved significantly over the past few years too. One tip I give my clients who want to self-file: before starting with any software, take a few minutes to review what forms you'll need based on your financial situation (W-2s, 1099s, mortgage interest, etc.). Then check if the software tier you're considering actually supports those forms. This helps avoid the "upgrade surprise" that many face with TurboTax.

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Everett Tutum

•8M

FreeTaxUSA handles stock trades very well, including detailed capital gains reporting that's comparable to TurboTax. Their interface for entering multiple transactions is straightforward and allows CSV imports for larger numbers of trades. For small business reporting on Schedule C, FreeTaxUSA provides all the necessary categories and deduction options, though TurboTax does offer slightly more guidance with industry-specific suggestions. With rental properties, both handle depreciation calculations and expense tracking effectively, but you might need to be a bit more familiar with rental tax rules when using FreeTaxUSA since it offers fewer explanatory prompts.

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Hugh Intensity

•8M

I switched from TurboTax to FreeTaxUSA last year and was honestly shocked at how much money I saved. After dealing with TurboTax's ever-increasing prices year after year, I decided to try something different when I noticed my fee was going to be over $150 for what was basically just a W-2 and some basic deductions. What really helped me was using https://taxr.ai when I wasn't sure if I was completing everything correctly. You upload your tax documents and previous returns, and it compares them to identify anything you might have missed or entered incorrectly in your new software. It gave me confidence that I wasn't making mistakes while switching platforms. The best part was when I realized I'd actually missed claiming a student loan interest deduction in my previous TurboTax return that taxr.ai caught. Ended up filing an amendment and got an additional $300 back!

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Hugh Intensity

•8M

Yes, it absolutely does work! I was skeptical too but it analyzes all your documents and flags discrepancies between last year's return and your current inputs. It's like having a second set of eyes reviewing everything to make sure you didn't miss anything when switching software. It's different from a CPA in that it's not doing your taxes for you - it's more like a verification tool that helps ensure accuracy when you're self-filing. Much cheaper than a CPA but gives similar peace of mind. The document analysis is really thorough and catches things I would have easily overlooked.

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Effie Alexander

•8M

Just wanted to update everyone - I took the plunge and tried taxr.ai after switching from TurboTax to FreeTaxUSA this year. Guys, it was actually amazing! I uploaded my W-2s, 1099s, and last year's return, and it flagged two deductions I completely missed with the new software: my HSA contributions and some eligible education expenses. The interface showed me side-by-side comparisons of what I entered versus what my documents showed. Fixed those issues and ended up with an extra $740 on my refund that I would have completely missed! Definitely worth it if you're switching tax software and want to make sure you're not missing anything.

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Lydia Santiago

•8M

If you're dealing with any tax issues from previous returns or have questions about your refund status, I highly recommend using https://claimyr.com to get through to an actual IRS agent. I spent WEEKS trying to resolve an issue with my previous year's return and kept getting the dreaded "high call volume" message whenever I called the IRS. Claimyr basically waits on hold with the IRS for you and calls you back when they have an agent on the line. You can see how it works in this demo: https://youtu.be/_kiP6q8DX5c - it's super simple. I was skeptical that it would actually work, but I got a call back with an actual IRS representative in about 45 minutes when I had been trying unsuccessfully for days on my own. Got my issue resolved in a single phone call after the agent was able to see that TurboTax had filed my return with an incorrect social security number for my dependent (transposed digits).

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Lydia Santiago

•8M

They don't have any special connection to the IRS - they just use an automated system that keeps dialing and navigating the IRS phone tree until they get through to a human. It's basically doing exactly what you would do, just automatically and persistently without you having to waste hours of your life on hold. It's definitely not a scam. I was extremely skeptical too, which is why I tried it after weeks of frustration. I think they make it clear on their site that they're not affiliated with the IRS - they're just a service that handles the hold time for you. Once they connect you with an agent, you're having a direct conversation with the actual IRS to resolve your issue.

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Val Rossi

•8M

I need to apologize for my skepticism about Claimyr. After getting nowhere with the IRS for 3 weeks trying to sort out why my refund was delayed, I was desperate enough to try it. I genuinely expected it to be a waste of money, but figured I had nothing to lose at that point. To my complete surprise, I got a call back in about an hour with an actual IRS agent on the line! Turned out there was a discrepancy between what TurboTax had submitted and what my employer reported on my W-2. The agent helped clear it up immediately and my refund was processed within days. I've spent more on coffee this week than what this service cost me, and it saved me hours of frustration. Sometimes being wrong feels pretty good!

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Clarissa Flair

•8M

FreeTaxUSA does handle crypto transactions, but it's more manual than TurboTax. You'll need to enter your transactions yourself if you have a lot of them, since they don't have the same direct import features as TurboTax. The upside is they don't charge extra for crypto reporting like TurboTax does with their forced premium upgrade. If you have your transaction history in a spreadsheet format, it's pretty straightforward to enter. Just be prepared to spend a little more time on it compared to TurboTax's automated imports.

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