TaxAct Premium is a suitable choice for individual taxpayers seeking an affordable and user-friendly solution, especially those with investments or self-employment income. Drake Tax Software is better suited for tax professionals and businesses requiring comprehensive support for various tax forms and high-volume filing.
Attribute | TaxAct Premium 2024 | Drake Tax Software 2024 |
---|---|---|
Supported Tax Forms | Supports all major IRS forms and schedules. Specifically designed for taxpayers with investment income, cryptocurrency transactions, rental property, and real estate transactions. | Supports 1040, 1120, 1120S, 1065, 1041, 706, 709, and 990, covering federal, state, and local taxes for individuals and businesses. Specialized support for industries like real estate, healthcare, and self-employment. |
Accuracy Guarantee | Offers a '$100K Accuracy Guarantee' that covers up to $100,000 in IRS penalties, fees, or 'reasonable, documented audit costs' due to calculation errors. | Includes "LookBack" to compare prior and current year activity and "DoubleCheck" diagnostic tools. Runs hundreds of return diagnostics and validation rules. |
Audit Support | Partners with ProtectionPlus to offer audit defense. | Offers help and representation in case of an audit. Protection Plus offers up to $1,000,000 in services to resolve IRS and state tax issues. |
Price and Available Discounts | TaxAct Premium costs $94.99 for federal filing. State returns are additional, ranging from $54 to $64.99 per state. AAA members may receive a 25% discount on federal and state filings. Freelancers Union members can save 25% on federal and state filings. Discounts and promotions are frequently offered. | Unlimited returns: $2,195 (one license), $2,495 (multiple licenses). Pay Per Return: $350 (first 10 individual returns) + $59.99 per business return. Economical pricing model. |
State Tax Return Availability and Cost | State tax returns are available for an additional fee. The cost is between $54 and $64.99 per state return filed. | Free unlimited state returns for each federal return. Generates any state return needed without additional add-on modules. |
Ease of Use | Has a user-friendly interface. Offers step-by-step guidance. Provides a tax glossary. Clean and straightforward interface. | User-friendly, especially for basic 1040 returns. Intuitive interface, customizable workflows, and smart navigation with shortcuts and suggestions. |
Import Capabilities | Imports prior-year returns from TaxAct, TurboTax, and H&R Block via PDF. Imports W-2s. Imports investment data via CSV files. Can manually enter or upload W-2s, but direct photo upload isn't available. | Imports W-2 and 1099 data automatically from payroll and financial systems. Imports unlimited Form 4562 assets and Schedule D transactions from Excel. Imports data from Drake's import-ready trial balance sheet. Can import data from QuickBooks, Excel, and other tax software. |
Deduction Finder/Maximizer | Looks at hundreds of tax deductions and credits. Includes a Donation Assistant to help determine the deduction value of donated items. Offers a deduction maximizer that recommends expenses and deductions for self-employed individuals. | Minimizes tax payments and maximizes tax deductions. |
Customer Support Options | Phone support. Email support. Live chat. Xpert Assist (additional cost) for one-on-one advice from tax experts. | Provides customer support via telephone, email, and online chat. Offers online videos, online reference guides, and a user manual. Provides extensive training resources and customer service. |
Mobile App Availability and Features | TaxAct no longer offers a mobile app. | Enables tax preparers to access client files and work remotely. |
Self-Employment Tax Features | The Self-Employed version includes Schedule C and support for 1099-MISC. Tools for managing business deductions. Calculates depreciation on business assets. | Offers specialized options for self-employment. |
Data Security and Privacy Measures | Uses security technology and monitoring processes. Partners with the IRS to protect personal information. Employs industry-standard Secure Sockets Layer (SSL) protocol for data encryption. Requires complex passwords and multi-factor authentication. | Employs encryption and security protocols to protect sensitive client data. Offers secure file exchange with clients via Drake Portals. Uses 256-bit encryption. |