Quick Overview
- 1#1: TurboTax Business - Provides step-by-step guidance to prepare and e-file complex small business tax returns including Schedule C, partnerships, and corporations.
- 2#2: H&R Block Premium & Business - Offers comprehensive tax software for small businesses with live expert support and maximum refund guarantees.
- 3#3: TaxAct Business - Delivers affordable, full-featured tax preparation for small businesses supporting all major business entity types.
- 4#4: QuickBooks Online - Cloud accounting software that tracks expenses, generates reports, and integrates directly with TurboTax for seamless tax filing.
- 5#5: Drake Tax - Professional-grade tax preparation software with advanced e-filing and support for small business returns.
- 6#6: ProSeries Tax - Intuit's professional tax software offering efficient preparation for small business clients with strong diagnostics.
- 7#7: Wave Accounting - Free cloud-based accounting tool that categorizes transactions and exports data for easy small business tax prep.
- 8#8: TaxJar - Automates sales tax calculations, reporting, and filings for small e-commerce businesses across multiple jurisdictions.
- 9#9: Xero - Online accounting platform with bank feeds, expense tracking, and tax report generation tailored for small businesses.
- 10#10: Keeper Tax - AI-powered app that scans transactions to find deductions and simplifies tax filing for freelancers and small businesses.
We ranked these tools based on key strengths: robust feature sets (including support for multiple entity types), intuitive design, reliable customer and technical support, and overall value, ensuring they deliver on both functionality and user experience.
Comparison Table
This comparison table outlines key small business tax software options, featuring tools like TurboTax Business, H&R Block Premium & Business, TaxAct Business, QuickBooks Online, Drake Tax, and more, to guide owners in understanding features, costs, and practical fit. Readers will gain insights into how each tool addresses unique needs, from self-filing simplicity to accounting integration, enabling confident software selection.
| # | Tool | Category | Overall | Features | Ease of Use | Value |
|---|---|---|---|---|---|---|
| 1 | TurboTax Business Provides step-by-step guidance to prepare and e-file complex small business tax returns including Schedule C, partnerships, and corporations. | specialized | 9.4/10 | 9.6/10 | 9.2/10 | 8.7/10 |
| 2 | H&R Block Premium & Business Offers comprehensive tax software for small businesses with live expert support and maximum refund guarantees. | specialized | 8.7/10 | 9.0/10 | 8.4/10 | 8.2/10 |
| 3 | TaxAct Business Delivers affordable, full-featured tax preparation for small businesses supporting all major business entity types. | specialized | 8.3/10 | 8.1/10 | 8.4/10 | 9.2/10 |
| 4 | QuickBooks Online Cloud accounting software that tracks expenses, generates reports, and integrates directly with TurboTax for seamless tax filing. | specialized | 8.7/10 | 9.2/10 | 8.1/10 | 7.6/10 |
| 5 | Drake Tax Professional-grade tax preparation software with advanced e-filing and support for small business returns. | specialized | 8.4/10 | 9.1/10 | 7.6/10 | 9.3/10 |
| 6 | ProSeries Tax Intuit's professional tax software offering efficient preparation for small business clients with strong diagnostics. | specialized | 8.4/10 | 9.1/10 | 7.6/10 | 7.9/10 |
| 7 | Wave Accounting Free cloud-based accounting tool that categorizes transactions and exports data for easy small business tax prep. | specialized | 8.1/10 | 7.6/10 | 9.2/10 | 9.5/10 |
| 8 | TaxJar Automates sales tax calculations, reporting, and filings for small e-commerce businesses across multiple jurisdictions. | specialized | 8.4/10 | 9.2/10 | 8.5/10 | 7.8/10 |
| 9 | Xero Online accounting platform with bank feeds, expense tracking, and tax report generation tailored for small businesses. | specialized | 8.1/10 | 7.8/10 | 9.2/10 | 7.9/10 |
| 10 | Keeper Tax AI-powered app that scans transactions to find deductions and simplifies tax filing for freelancers and small businesses. | specialized | 7.8/10 | 8.2/10 | 9.0/10 | 7.5/10 |
Provides step-by-step guidance to prepare and e-file complex small business tax returns including Schedule C, partnerships, and corporations.
Offers comprehensive tax software for small businesses with live expert support and maximum refund guarantees.
Delivers affordable, full-featured tax preparation for small businesses supporting all major business entity types.
Cloud accounting software that tracks expenses, generates reports, and integrates directly with TurboTax for seamless tax filing.
Professional-grade tax preparation software with advanced e-filing and support for small business returns.
Intuit's professional tax software offering efficient preparation for small business clients with strong diagnostics.
Free cloud-based accounting tool that categorizes transactions and exports data for easy small business tax prep.
Automates sales tax calculations, reporting, and filings for small e-commerce businesses across multiple jurisdictions.
Online accounting platform with bank feeds, expense tracking, and tax report generation tailored for small businesses.
AI-powered app that scans transactions to find deductions and simplifies tax filing for freelancers and small businesses.
TurboTax Business
specializedProvides step-by-step guidance to prepare and e-file complex small business tax returns including Schedule C, partnerships, and corporations.
Deep QuickBooks integration that auto-populates business data, reducing manual entry errors
TurboTax Business is a specialized desktop tax software from Intuit designed for small businesses, including partnerships, S corporations, C corporations, and multi-member LLCs, to prepare and e-file Forms 1065, 1120, and 1120S. It provides step-by-step guidance through complex business tax scenarios, automatically importing data from QuickBooks and other financial software to ensure accuracy and maximize deductions. The tool also supports state returns and offers audit support for peace of mind.
Pros
- Intuitive step-by-step interview process simplifies complex business returns
- Seamless QuickBooks integration for effortless data import
- Includes live expert support, audit defense, and accuracy guarantees
Cons
- Desktop-only software with no online option
- Higher price point than some competitors
- Limited to specific business entities (no Schedule C for sole proprietors)
Best For
Owners of partnerships, S-Corps, C-Corps, or multi-member LLCs seeking guided, accurate business tax filing without a CPA.
Pricing
One-time purchase starting at $189.99 for federal + state returns (download version).
H&R Block Premium & Business
specializedOffers comprehensive tax software for small businesses with live expert support and maximum refund guarantees.
Live Tax Pro Review for personalized expert validation before filing
H&R Block Premium & Business is a robust tax software solution tailored for self-employed individuals, freelancers, and small business owners handling personal taxes alongside business income via Schedule C, E, and F forms. It offers step-by-step guidance, error-checking tools, deduction maximizers, and seamless prior-year import capabilities. Backed by H&R Block's expertise, it includes accuracy guarantees and access to tax professionals for complex scenarios.
Pros
- Unlimited access to tax pros via chat, phone, or review services
- Strong support for small business deductions, depreciation, and multi-state filing
- Industry-leading accuracy and maximum refund guarantees
Cons
- Higher pricing compared to basic competitors like TurboTax Self-Employed
- Interface feels somewhat dated and less modern
- Limited advanced features for corporations or multi-member LLCs without upgrades
Best For
Self-employed professionals and small business owners who value expert support and reliability over the lowest cost.
Pricing
Federal starts at $85 for Premium, $115+ for Premium & Business; $37 per state; discounts for prior customers.
TaxAct Business
specializedDelivers affordable, full-featured tax preparation for small businesses supporting all major business entity types.
Unmatched affordability delivering full professional business tax capabilities at half the cost of premium competitors like Lacerte or UltraTax.
TaxAct Business is a robust tax preparation software tailored for small businesses, supporting key forms such as 1065 for partnerships, 1120S for S-corporations, 1120 for C-corporations, and multi-state filings. It provides step-by-step guidance, depreciation calculators, audit risk meters, and e-filing capabilities to streamline complex business tax returns. Available in both online and desktop formats, it emphasizes accuracy with a maximum refund guarantee and prior-year import functionality.
Pros
- Exceptionally low pricing for professional-grade business tax forms
- Strong support for multiple entity types and state returns
- Reliable accuracy tools including audit risk assessment
Cons
- User interface feels dated compared to competitors
- Customer support limited to business hours without live chat
- Fewer integrations with accounting software like QuickBooks
Best For
Cost-conscious small business owners and solo tax preparers handling straightforward partnerships, S-corps, or C-corps without needing extensive integrations.
Pricing
Starts at $115 for 1065 e-file, $125 for 1120S, up to $185 for 1120; professional bundles offer unlimited returns for $1,300+ annually.
QuickBooks Online
specializedCloud accounting software that tracks expenses, generates reports, and integrates directly with TurboTax for seamless tax filing.
Automated sales tax calculation and filing integration across multiple jurisdictions
QuickBooks Online is a comprehensive cloud-based accounting software that excels in financial management for small businesses, with robust tools for tracking income, expenses, and sales tax to streamline tax preparation. It generates essential reports like profit and loss statements and balance sheets, which can be directly used for Schedule C and other tax forms. While not a standalone tax filing solution, it integrates seamlessly with TurboTax and professional accountants to simplify year-end tax processes.
Pros
- Automated expense tracking and categorization for accurate tax deductions
- Real-time financial reports tailored for tax season
- Seamless integration with TurboTax and payroll for complete tax compliance
Cons
- High subscription costs for basic tax needs
- Requires add-ons or integrations for full tax filing
- Learning curve for non-accountants handling complex setups
Best For
Small businesses seeking integrated accounting and bookkeeping to support efficient tax preparation and compliance.
Pricing
Starts at $30/month (Simple Start) up to $200/month (Advanced); tax bundles and discounts for annual billing available.
Drake Tax
specializedProfessional-grade tax preparation software with advanced e-filing and support for small business returns.
Unmatched form library covering virtually all IRS business forms plus most states, with automatic updates.
Drake Tax is a professional tax preparation software tailored for accountants and tax pros handling small business returns, supporting forms for sole proprietorships (Schedule C), partnerships (1065), S-corporations (1120S), and more. It offers comprehensive federal and state e-filing, error-checking tools, and data import from prior years or QuickBooks. Ideal for firms preparing multiple returns, it emphasizes reliability and extensive form coverage over flashy interfaces.
Pros
- Extensive support for federal and state business forms with over 95% coverage
- Affordable pricing with unlimited returns and e-filing in most packages
- Strong customer support including live chat and extensive training resources
Cons
- Dated, data-entry heavy interface that's less intuitive for beginners
- Steeper learning curve compared to consumer-focused alternatives
- Limited built-in small business management tools beyond tax prep
Best For
Tax professionals and accounting firms preparing returns for multiple small businesses seeking high form coverage at a low cost.
Pricing
Tiered annual subscriptions starting at $595 for individual returns, $1,495 for business editions, with pay-per-return options available.
ProSeries Tax
specializedIntuit's professional tax software offering efficient preparation for small business clients with strong diagnostics.
Intelligent diagnostics engine that proactively identifies errors and optimizes returns
ProSeries Tax by Intuit is professional tax preparation software tailored for tax professionals handling individual, business, and fiduciary returns, with strong support for small business forms like Schedule C, partnerships, and S-corporations. It provides comprehensive federal and state e-filing, robust diagnostics, and efficient data entry tools to streamline complex tax workflows. Ideal for preparers managing multiple small business clients, it integrates with Intuit's ecosystem for enhanced productivity.
Pros
- Extensive library of federal and state business tax forms
- Powerful diagnostics and error-checking engine
- Reliable high-volume e-filing capabilities
Cons
- Steep learning curve for non-professionals
- Desktop-only with no native cloud or mobile access
- Higher pricing compared to consumer-focused alternatives
Best For
Tax professionals and accountants preparing returns for small businesses, sole proprietors, and partnerships.
Pricing
Starts at $449/year for Basic edition (individual returns); business bundles from $1,200+ annually, plus per-state fees; subscription model.
Wave Accounting
specializedFree cloud-based accounting tool that categorizes transactions and exports data for easy small business tax prep.
100% free unlimited accounting with no caps on invoices, customers, or transactions
Wave Accounting is a free cloud-based platform primarily designed for small businesses and freelancers, offering invoicing, expense tracking, receipt scanning, and financial reporting to support tax preparation. It automatically categorizes transactions, calculates sales tax, and generates key reports like profit & loss statements and tax summaries for Schedule C filers. While it excels in basic bookkeeping that feeds into tax workflows, it lacks direct e-filing or advanced tax optimization features found in dedicated tax software.
Pros
- Completely free core accounting and unlimited invoicing
- Intuitive interface with mobile app for easy expense tracking
- Automated bank reconciliation and sales tax calculations
Cons
- No direct tax filing or e-filing capabilities
- Transaction fees for payments (2.9% + 30¢) and paid payroll add-ons
- Limited advanced reporting and customer support (email only)
Best For
Freelancers and micro-businesses needing simple, cost-free bookkeeping to organize finances for basic tax prep.
Pricing
Accounting and invoicing free forever; payments at 2.9% + $0.30 per credit card transaction; payroll starts at $20/mo + $6/active employee (US/Canada only).
TaxJar
specializedAutomates sales tax calculations, reporting, and filings for small e-commerce businesses across multiple jurisdictions.
AutoFile: Automates sales tax returns filing directly with state authorities in supported jurisdictions.
TaxJar is a sales tax compliance platform designed for e-commerce businesses, automating accurate sales tax calculations, nexus tracking, and reporting across U.S. jurisdictions. It integrates with over 100 platforms like Shopify, Amazon, and Square, simplifying multi-state tax compliance for online sellers. The tool also offers AutoFile for automated returns filing in supported states, reducing manual work for small businesses.
Pros
- Seamless integrations with major e-commerce platforms
- Highly accurate tax calculations and nexus monitoring
- Automated filing via AutoFile in multiple states
Cons
- Primarily focused on sales tax, not income or other taxes
- Volume-based pricing can become costly for high-order businesses
- Initial setup may require some configuration for complex scenarios
Best For
Small e-commerce businesses managing sales tax compliance across multiple U.S. states.
Pricing
Starts at $19/month for up to 200 orders, $99/month for 1,000 orders; scales to enterprise plans with custom pricing.
Xero
specializedOnline accounting platform with bank feeds, expense tracking, and tax report generation tailored for small businesses.
Fixed Asset Manager for tracking depreciation and tax-deductible assets automatically
Xero is a cloud-based accounting software designed for small businesses, offering tools for invoicing, expense tracking, payroll, and tax compliance features like automated VAT/GST calculations and reporting. It provides profit and loss statements, balance sheets, and tax summaries to simplify preparation for filings, with seamless bank reconciliations and integrations for accountants. While not a dedicated tax preparation tool for complex returns, it excels in ongoing tax management and real-time financial insights.
Pros
- Intuitive cloud interface with mobile app access
- Automatic bank feeds and transaction categorization for accurate tax tracking
- Strong accountant collaboration tools and reporting for tax prep
Cons
- Lacks direct e-filing for complex business tax returns
- Higher pricing tiers needed for advanced tax features like payroll
- Limited customization for industry-specific tax needs
Best For
Small businesses seeking integrated accounting with reliable tax reporting and accountant-friendly tools.
Pricing
Starts at $15/month (Early plan) up to $78/month (Established plan); annual discounts available, varies by region and features.
Keeper Tax
specializedAI-powered app that scans transactions to find deductions and simplifies tax filing for freelancers and small businesses.
Patented AI deduction engine that proactively identifies and verifies eligible tax write-offs from everyday transactions
Keeper Tax is a mobile-first app tailored for freelancers, gig workers, and self-employed individuals to automatically track business expenses and maximize tax deductions. It connects to bank accounts, credit cards, and payment platforms like PayPal to scan transactions, categorize expenses, and flag overlooked deductions using AI-powered technology. The platform also offers seamless integration with CPAs for professional tax filing, making it easier to claim every eligible write-off.
Pros
- AI-driven deduction finder scans transactions for hidden write-offs
- Seamless bank integrations for automatic expense tracking
- User-friendly mobile app with real-time categorization
Cons
- Limited to US taxes and simpler business structures
- Tax filing requires additional CPA fees
- Lacks full accounting features like invoicing or payroll
Best For
Ideal for solo freelancers and gig economy workers seeking effortless expense tracking and deduction maximization without complex accounting needs.
Pricing
Free for basic expense tracking; tax filing via CPA starts at $149 for federal + one state return, with premium plans from $20/month.
Conclusion
The top small business tax tools reviewed cater to varied needs, with TurboTax Business emerging as the clear winner thanks to its robust step-by-step guidance for complex returns like Schedule C, partnerships, and corporations. H&R Block Premium & Business and TaxAct Business stand out as strong alternatives—H&R Block for live expert support and maximum refund guarantees, TaxAct for affordable, full-featured preparation across all business entity types—each offering distinct value for different operational priorities.
Assess your business's unique needs and start with TurboTax Business to experience a streamlined, reliable tax filing process.
Tools Reviewed
All tools were independently evaluated for this comparison