TurboTax vs H&R Block for Tax Return Filings

TurboTax and H&R Block are two of the most popular tax preparation software options available to individuals and small business owners. Both programs offer a range of features and services to help users accurately and efficiently file their taxes, but there are some key differences between the two that may make one a better choice for certain taxpayers.

One of the main differences between TurboTax and H&R Block is the user interface. TurboTax is known for its step-by-step guidance, making it a good choice for first-time filers or those intimidated by the tax filing process. H&R Block, on the other hand, H&R Block has a more traditional form-based interface that may be more familiar to those who have filed taxes manually.

Another important consideration is the range of services offered by each program. TurboTax offers various versions of its software, each tailored to a specific type of taxpayer. For example, there are versions of TurboTax for simple returns, self-employed individuals, and small business owners. H&R Block, on the flip side, offers a more limited selection of software options, but it does have a number of physical locations where taxpayers can receive in-person assistance.

In terms of pricing, TurboTax and H&R Block are generally comparable. Both programs offer a free version that can be used to file simple returns, but users will need to upgrade to a paid version if they have more complex tax situations or need additional features and support. One important thing to note is that both TurboTax and H&R Block are designed to help users file their federal income taxes. However, if you need to file state taxes as well, you will need to purchase additional software or services from either company.

Here is a points-to-points comparison between TurboTax and H&R Block:

User interface: TurboTax has a more user-friendly interface designed for individuals who need to become more familiar with tax preparation. H&R Block has a more complex interface geared towards individuals and businesses with more experience with taxes.

Support: TurboTax offers a variety of support options, including live chat, phone support, and a comprehensive FAQ section. H&R Block also offers support options, but they are less extensive than TurboTax.

Pricing: Both programs offer free versions for simple tax returns and both charge for more advanced features and services. However, H&R Block is slightly more expensive than TurboTax for some of its premium services.

Features: Both programs offer features such as W-2 import, document uploads, and e-filing. TurboTax has a few more advanced features than H&R Block, such as the ability to import investment data and the ability to access previous tax returns.

Auditing Assistance: TurboTax offers a service called "Max Assist & Defend," which provides an expert review of your return and representation before the IRS in the event of an audit. H&R Block has a similar service called "Audit representation," which also provides representation before the IRS in the event of an audit.

Importing previous year's return: TurboTax allows users to import their previous year's return from other tax preparation software such as H&R Block. H&R Block also enables users to import their previous year's return from other tax preparation software such as TurboTax.

Mobile App: Both TurboTax and H&R Block have mobile apps that allow users to take pictures of their W-2s and import them, access their tax returns, and get live help from experts.

In conclusion, both TurboTax and H&R Block are solid choices for tax preparation software, but the best option for you will depend on your individual needs and preferences. TurboTax is a good option if you prefer step-by-step guidance and have simple tax returns. If you are comfortable with a form-based interface and prefer to have in-person assistance, H&R Block is a good option. Ultimately, it's important to compare the features and services offered by each program and the cost before making a decision.

TurboTax offers several different plans for individuals and businesses to choose from, including the following:

1. Free: This plan is designed for simple tax returns and is free to use. It includes basic features such as W-2 import and e-filing.
2. Basic: This plan is designed for individuals and families with more complex tax situations. It includes additional features such as the ability to claim itemized deductions, as well as support for self-employment income and rental property income.
3. Deluxe: This plan is designed for individuals with multiple sources of income, investments, and rental property. It includes additional features such as the ability to import investment data and support for capital gains and losses.
4. Premier: This plan is designed for individuals with investment income and rental property. It includes additional features such as the ability to import investment data, support for Schedule D (capital gains and losses), and support for rental property income and expenses.
5. Self-Employed: This plan is designed for individuals who are self-employed or have a small business. It includes additional features such as support for business income and expenses, as well as the ability to import business data.
6. TurboTax Live: This plan allows users to have their taxes reviewed and filed by a tax expert. It includes all the features of the Self-Employed plan and provides additional support from a tax expert.
7. TurboTax Live Full Service: This plan allows users to have their taxes done for them by a tax expert. It includes all the features of the Self-Employed plan and provides additional support from a tax expert.

H&R Block offers several different plans for individuals and businesses to choose from, including the following:

1. Free Online: This plan is designed for simple tax returns and is free to use. It includes basic features such as W-2 import and e-filing.
2. Deluxe Online: This plan is designed for individuals and families with more complex tax situations. It includes additional features such as the ability to claim itemized deductions, as well as support for self-employment income and rental property income.
3. Premium Online: This plan is designed for individuals with multiple sources of income, investments, and rental property. It includes additional features such as the ability to import investment data and support for capital gains and losses.
4. Self-Employed Online: This plan is designed for individuals who are self-employed or have a small business. It includes additional features such as support for business income and expenses, as well as the ability to import business data.
5. Tax Pro Review: This plan allows users to have their taxes reviewed and filed by a tax professional. It includes all the features of the Self-Employed Online plan and provides additional support from a tax expert.
6. Audit Support: This plan provides representation before the IRS in the event of an audit. It is an add-on service that can be purchased with any of the above plans.

It's important to note that these plans and features may vary by location, and some features may not be available in some states. Additionally, prices for these plans may vary depending on the location as well. It's best to check the TurboTax or H&R Block websites or consult with a TurboTax or H&R Block agent to confirm the availability and pricing of these plans.