Meet Maggie, PCMag'sFreeTaxUSA keeps getting better. The latest version of the tax prep app lets you import more Form 1099s—including the new 1099-DA (crypto transactions through a broker)—and better integrates its help resources. You can use the software to file your federal taxes for free, and state returns cost just $15.99. It also supports all major IRS forms and schedules, is fast and easy to use, and provides multiple help options. The app is an especially good bargain if you're self-employed, since it doesn't charge hefty fees for filing a Schedule C like some competitors. FreeTaxUSA is a top pick among our readers and our Editors’ Choice for free tax apps thanks to its depth, usability, and value.
As mentioned, FreeTaxUSA is free for federal returns (hence its name). The company charges just $15.99 for state returns, far less than what most competitors do. The Deluxe version, which costs $7.99, adds priority support with live chat and unlimited amended returns. It's well worth the small extra fee. For $44.99, you get access to a tax professional who can answer whatever questions you have about your federal and state returns via chat, phone, or screen-sharing.
Cash App Taxes is free for both federal and state returns. That said, FreeTaxUSA provides significantly more in-depth online and live guidance. Most other tax software vendors provide free versions, but these cover only the most basic tax situations. The self-employed versions of H&R Block and TurboTax cost close to $100 as of this writing for federal prep and filing, with state returns also costing much more than FreeTaxUSA’s. Prices for other tax apps typically go up later in the tax year, whereas FreeTaxUSA’s do not. Considering what you get, FreeTaxUSA is an excellent value.
Like competitors, including Jackson Hewitt and Liberty Tax, FreeTaxUSA uses a lengthy wizard-like tool that asks simple, understandable questions about your income and expenses. You supply answers by checking boxes, choosing options from a list, or entering data. Then the site performs all necessary calculations and adds your answers to the official IRS forms and schedules.
When you finish answering questions, FreeTaxUSA transfers data to any state returns you must submit and checks for errors and omissions. Finally, it generates the finished product—your tax return on official IRS tax forms, ready to file. I'm a big fan of the site’s interface and navigation tools. They’re simple, clean, and understandable. They’re not as visually appealing and chummy as those you get with TurboTax (our Editors' Choice winner for paid tax apps), but FreeTaxUSA feels faster overall. That’s always a good thing if you're trying to spend as little time as possible on preparation.
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If you’re new to FreeTaxUSA, you first must create an account. Then, you follow the wizard to enter details about you, your spouse and dependents, your filing status, and more. You can also import a PDF version of a return that you created last year with a competing product. Returning users see what they entered last year and can update anything. Competitors offer similar options. These tools save a lot of time and help reduce errors.
Once you complete these introductory sections, FreeTaxUSA asks about your income. The W-2 is first. You can enter its data in one of three ways: fill in the blanks yourself, upload a file you downloaded from your payroll provider, or take a photo of it with your phone. The next page lists every type of income you might need to claim, from investments and savings to retirement income to small-business income (including gig work). It also has a section for uncommon income sources, such as money earned from estates or trusts, gambling, or royalties.
This page shows three columns next to each income type. The first pulls in your 2024 total, the second pulls in your 2025 number, and the third opens a mini wizard that guides you through a relevant Q&A. After you finish each section, the site returns you to the main topic page. When you’re satisfied that you entered all your income, you move on to other sections of the site, the largest of which covers deductions and credits. They all work the same way as the income section. You can easily return to earlier tax topics if you need to add or edit data.
FreeTaxUSA is one of two online tax prep apps I tested that let you file a Schedule C for free (the other is Cash App Taxes). This is a real benefit for sole proprietors like Etsy sellers and Uber drivers, who might save $100 or more compared with competing sites. Those tax prep services provide more guidance for sole proprietors, but FreeTaxUSA might be all you need if you follow the site’s instructions carefully and use its help resources.
Self-employed individuals often receive compensation via a Form 1099-NEC or 1099-MISC. FreeTaxUSA asks you questions about these first. The site now allows you to upload these forms (in PDF, JPG, JPEG, or PNG format) or scan them with your phone, although both options were marked as “Beta” during my review. The wizard also displays a page that specifically asks about any tips or overtime you might have received, as these are not taxable for tax years 2025 to 2028 due to provisions in the One Big Beautiful Bill. The app pays special attention to Form 1099-K and provides expanded instructions.
FreeTaxUSA then launches into the Schedule C section, where you answer more questions and enter any income that your 1099s didn't report. Next, you enter totals for common business expenses by category, such as advertising, office supplies, travel, and utilities. You can also list miscellaneous expenses. If you haven’t been organizing and storing your tax-deductible business costs throughout the year, settle in for a long session. Additional pages collect information about costs related to your health insurance, home office, and vehicles, among other expenses.
Beyond self-employment and W-2 income, you can report income you earned through farms, partnerships, rental services, and S corporations.
This section is where you start to whittle down your tax obligation. Because income comes first on the 1040 and in FreeTaxUSA, you might see a scary number at the top of the screen showing how much you owe in federal taxes rather than a refund amount. This number should go down as you enter information about the deductions and credits that offset your income. These pages function similarly to the income section. During the interview, you look for any deductions and credits that apply, such as charitable donations, homeownership, and medical care. FreeTaxUSA then explores miscellaneous topics, such as estimated tax payments and underpayment penalties.
FreeTaxUSA's help content isn't as deep as H&R Block's or TurboTax's, but it’s still quite good for a free product. The resources are well-written, plentiful, and easy to understand. Most fields that you must fill out have links to clear explanations of what you need to provide. These links are especially helpful when you complete a Schedule C.
The site now makes your life easier by moving the help window off to the right side of the interface, so it doesn’t overlap the Q&A screen. The interactive navigation outline is back, too. It's an always-accessible list of the site’s main tax topics in order. Clicking on any link takes you to that page, not just the beginning of a section, as some competitors do. No other tax prep app I tested has such a granular navigation tool.
Support content covers both basic and complex concepts. FreeTaxUSA explains both simple terms (like “office expense”) and more unusual ones (like “de minimis safe harbor”). It occasionally links to IRS publications and other government agency resources (actual links, not just suggested pages that you have to find on your own).
You can search for a topic from any page to see a lengthy list of brief, context-sensitive (usually) responses that explain both the concept and its location on your return. The site’s Where Do I Enter...? tool is unique in that it shows a long alphabetical list of links to all forms and tax topics on the site. FreeTaxUSA’s help content sometimes indicates that you need to enter information on a different form. For example, it tells you where to report various types of cryptocurrency transactions, which is a critical distinction.
Email and chat help are available for technical site questions. You can also receive tax guidance from a CPA or EA via live chat, phone, and screen sharing for $44.99, as mentioned. You can reach out for support as often as you need.
After you enter all tax-related income and expenses, FreeTaxUSA offers to run your return through its Refund Maximizer, which looks for additional ways to minimize your tax obligation (such as more business expenses or itemized deductions). Then, it displays a list of all the tax topics you completed with their totals. The site does accuracy checks throughout, like most other online tax services, but it also does this final sweep after you complete your federal and state returns. I was unable to test this because it comes after the payment page.
Security, of course, is critical for tax prep applications. As an authorized IRS e-file provider, FreeTaxUSA states that it meets or exceeds the IRS's security requirements. The site uses SSL certificates to encrypt your connection and protect sensitive information. The company also complies with rigorous data security standards to protect your payment information from theft. FreeTaxUSA reviews its privacy practices annually, and the site supports multi-factor authentication (MFA). You can read more about its policies here.
FreeTaxUSA doesn't offer a dedicated mobile app, but it does optimize its site for mobile screens. You can sign in via a mobile web browser and then just proceed through the same sequence of pages as on the desktop. The experience replicates the desktop version, and I appreciate the smart, sleek design.
The exceptional navigation tools I like so much on the desktop version are also available on mobile (except for the comprehensive navigation outline). You can easily move between your return and support pages, which is a pain with some apps. I didn't have any trouble switching between the mobile site and the desktop application, although I preferred working on my computer. If you’re already used to working on your finances from your phone, FreeTaxUSA should accommodate you well.
Final Thoughts
(Credit: FreeTaxUSA)
FreeTaxUSA 2026 (Tax Year 2025)
- 5.0 - Exemplary: Near perfection, ground-breaking
- 4.5 - Outstanding: Best in class, acts as a benchmark for measuring competitors
- 4.0 - Excellent: A performance, feature, or value leader in its class, with few shortfalls
- 3.5 - Good: Does what the product should do, and does so better than many competitors
- 3.0 - Average: Does what the product should do, and sits in the middle of the pack
- 2.5 - Fair: We have some reservations, buy with caution
- 2.0 - Subpar: We do not recommend, buy with extreme caution
- 1.5 - Poor: Do not buy this product
- 1.0 - Dismal: Don't even think about buying this product
Read Our Editorial Mission Statement and Testing Methodologies.
FreeTaxUSA is a terrific DIY tax service for self-employed individuals, offering free federal filing and extremely affordable state filing. It also supports complex personal topics such as cryptocurrency income, energy credits, and rental income, making it a smart choice even if your return exceeds W-2 income and simple deductions. The software now lets you upload more 1099s than before, too. Simply put, FreeTaxUSA is an Editors’ Choice winner because it offers comprehensive tax topic coverage for a bargain price. If you need more guidance and want a friendlier user experience, you should also consider TurboTax, our Editors' Choice winner for paid tax apps.
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About Our Expert
I write about money. I’ve been reviewing tax software and services as a freelancer for PCMag since 1993. Along the way, I took on reviews of other types of business and personal finance technology. Prior to that, I had spent a few years writing about productivity and entertainment applications for 8-bit personal computers (my first one was a Commodore VIC-20) as a member of the editorial staff at Compute!Â
After working at Lawson Associates, now Lawson Software, I switched my focus to accounting but learned that personal computer applications were more progressive and interesting to cover than mainframe solutions. So I served as editor of a monthly newsletter that provided support for accountants who were just starting to use PCs. I still ghostwrite monthly how-to columns for accounting professionals. From there, I went on to write articles and reviews for numerous business and financial publications, including Barron’s and Kiplinger’s Personal Finance Magazine.
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