TurboTax pricing varies by version, from free to $120 or more depending on tax complexity

TurboTax offers several versions at different price points. The Free Edition costs nothing and handles simple returns — W-2 income, standard deduction, basic credits. The Deluxe Edition typically costs around $60 and adds support for itemized deductions, rental income, and education credits. The Premier Edition runs roughly $100 and includes business income and investment gains. The Self-Employed Edition costs $120 or more and covers Schedule C self-employment income, quarterly estimated taxes, and business deductions.

Prices change each tax season and vary by state. TurboTax also runs promotions — discounts for military, first-time filers, and bundled products. The cost you actually pay depends on which version you need, whether you catch a sale, and if you add state return filing (usually $40 to $60 per state).

Key Takeaways

  • The Free Edition costs nothing but only works for simple W-2 income with standard deduction and basic credits.
  • Deluxe ($60), Premier ($100), and Self-Employed ($120+) versions unlock support for deductions, business income, and investment income.
  • State return filing is not included in the federal price and costs extra per state.
  • Prices vary by tax year and TurboTax runs seasonal discounts, so the amount you pay may differ from the listed price.
  • If your return is too complex for any TurboTax version, you may need a tax professional instead.

What each TurboTax version covers

The Free Edition is designed for straightforward returns. You can file if you have W-2 wages, take the standard deduction, claim the Earned Income Tax Credit (EITC), Child Tax Credit, or education credits. You cannot use it if you itemize deductions, have self-employment income, own rental property, or report capital gains. The free version includes federal return filing only — you pay separately for state.

The Deluxe Edition adds itemized deductions, rental income, and additional education-related credits. This version works if you own a rental property, claim mortgage interest or property tax deductions, or have income from investments like dividends. It still does not cover self-employment income or complex business structures.

The Premier Edition includes business income from a sole proprietorship (Schedule C), capital gains and losses, and more investment scenarios. The Self-Employed Edition goes further: it covers quarterly estimated tax payments, home office deductions, and business vehicle expenses. If you run a partnership, S-corporation, or have multiple business entities, TurboTax does not handle those — you need a tax professional or different software.

How state filing affects the total cost

Federal and state returns are priced separately. When you buy TurboTax, you are paying for federal filing. If you need to file a state return, TurboTax charges an additional fee per state — typically $40 to $60 depending on the state and the year. Some states do not have income tax, so you would not need to file or pay.

A few states — Illinois, for example — offer free state filing through TurboTax's Free File program if you meet income limits. Check TurboTax's state-by-state breakdown before you buy to see whether your state charges extra and what the cost is.

When TurboTax discounts are available

TurboTax discounts appear throughout tax season. Military members, first-time filers, and customers who filed with TurboTax the previous year often receive promotional codes. Costco members can sometimes purchase TurboTax at a discount through Costco's website. Tax season sales typically run heaviest in January and February, with smaller promotions in March and April.

The listed price is not always what you pay. If you see a version priced at $60, a promotion might reduce it to $40 or $50. Check the current price on TurboTax's website or look for discount codes before you purchase, because the savings can be significant.

When you should not use TurboTax

TurboTax cannot handle every tax situation. If you have a partnership, S-corporation, C-corporation, or multiple business entities, you need professional tax software or a tax preparer. If you are reporting complex investment income, foreign accounts, or significant charitable contributions, TurboTax may not be the right fit. If you have an ongoing IRS dispute or amended return, TurboTax does not support those either.

The IRS Free File program offers free federal filing through several software providers if your household income is below a certain threshold — usually around $73,000, though it varies by year. If you may have access to for Free File, you may have options beyond TurboTax that cost nothing.

Frequently Asked Questions

Can I use the free version if I have a 1099 or self-employment income?

No. The Free Edition only works for W-2 wages and basic credits. If you have 1099 income or self-employment income, you need at least the Self-Employed Edition, which costs $120 or more.

Do I have to pay for state filing, or is it included?

State filing is separate and costs extra — usually $40 to $60 per state. A few states offer free state filing through TurboTax's Free File program if you meet income limits. Check your state before you buy.

What if I bought TurboTax but my return is too complicated?

TurboTax offers a money-back may provide if you are not satisfied. You can also contact a tax professional to prepare your return instead. Some tax preparers will work with returns you have already started in TurboTax.

Are there cheaper alternatives to TurboTax?

Yes. If your income is below the Free File threshold (around $73,000), the IRS Free File program offers free federal filing through multiple software providers. If your return is simple, other software like Credit Karma Tax or FreeTaxUSA may also be free or lower cost.

Do prices change every year?

Yes. TurboTax adjusts prices annually, and the cost in one year may differ from the next. Promotions and discounts also change. Check the current price on TurboTax's website for the tax year you are filing.