Best Tax Software for Gig Workers: TurboTax vs TaxAct vs H&R Block

Filing taxes as a gig worker is nothing like filing as a W-2 employee. You need Schedule C (Profit or Loss from Business) and Schedule SE (Self-Employment Tax) — forms that basic free tax software simply doesn’t support.

Choosing the right tax software for your 1099 income can save you hundreds of dollars, prevent costly errors, and make tax season take 30 minutes instead of 3 hours.

In this guide, we compare the top three tax software options for gig workers in 2025, plus a few free alternatives, so you can pick the one that fits your situation and budget.

Quick Comparison

Feature	TurboTax Self-Employed	TaxAct Self-Employed	H&R Block Self-Employed	Free Alternatives
Price (federal)	~$90–$150	~$40–$60	~$85	$0–$30
Price (state)	~$40	~$30	~$40	Varies
Schedule C support	Yes	Yes	Yes	Limited
Schedule SE support	Yes	Yes	Yes	Limited
Receipt import	Photo scan + auto-extract	Manual upload	Manual upload	Limited
Mileage tracker	Built-in	Basic	Basic	None
In-person support	No	No	Yes (H&R Block offices)	None
Best for	Maximum convenience	Budget-conscious	Prefer face-to-face	Simple situations

TurboTax Self-Employed

Price: ~$90 for federal, ~$40 per state (varies by promotion)

TurboTax Self-Employed is the most polished and feature-rich option for gig workers. It was designed specifically for 1099 contractors, freelancers, and small business owners.

What it does well:

• Intuitive workflow. TurboTax asks one question at a time in plain English. Even if you’ve never filed Schedule C before, the step-by-step guidance walks you through it.
• Maximizes deductions. The software actively searches for deductions you qualify for — not just the obvious ones. It knows that gig drivers can deduct mileage, phone bills, hot bags, car washes, and more.
• Receipt photo import. Take photos of your receipts with your phone, and TurboTax extracts the amount, date, and category automatically.
• Built-in mileage tracker. Enter your miles as you drive, and TurboTax calculates your deduction at tax time. (Alternatively, import data from a mileage tracking app.)
• Self-employment tax calculator. Handles the 15.3% SE tax calculation and the 50% deduction automatically.
• Estimated tax payment tracking. If you made quarterly payments, TurboTax helps you apply them correctly.

What it gets wrong:

• Price. At $130+ total (federal + state), TurboTax is the most expensive option. If you’re on a tight budget, this adds up.
• Aggressive upsells. The checkout flow pushes several add-ons. Be sure to decline the “tax savings guarantee” ($40) and the “audit support” package ($30) — most gig drivers don’t need either.
• No in-person support. If you prefer sitting down with a human, TurboTax is online-only.

Best for: Drivers who want the easiest, most feature-rich experience and don’t mind paying extra for it.

Our assessment: TurboTax Self-Employed is our top pick for most gig workers. The time savings and deduction optimization easily justify the price for anyone who earns more than $10,000 from gig work.

TaxAct Self-Employed

Price: ~$40 for federal, ~$30 per state

TaxAct is the budget-friendly alternative to TurboTax that doesn’t sacrifice core functionality. It’s designed for the same 1099 and small business taxpayers but at roughly half the price.

What it does well:

• Lower price. At $70 total (federal + state), TaxAct saves you $60 compared to TurboTax.
• Solid Schedule C support. The deduction questions cover all the categories gig drivers need: mileage, vehicle expenses, phone, supplies, insurance, home office.
• SE tax handling. Correctly calculates self-employment tax and the deductible portion.
• Free Federal with paid State. If you qualify for the free federal version, you can add state filing for $30 — a decent deal.
• Live expert add-on. For an additional $50, you can have a real CPA review your return. This is optional and available at any stage.

What it gets wrong:

• Interface is less polished. The UI feels a bit clunky compared to TurboTax. Navigation can be confusing if you jump between sections.
• Fewer deduction prompts. TaxAct doesn’t proactively suggest deductions as aggressively as TurboTax. You need to know to look for them.
• No built-in mileage tracker. You need to import mileage data from an external app or enter it manually.

Best for: Budget-conscious drivers who know what deductions they have and want a straightforward, no-frills filing experience.

Our assessment: TaxAct is the best value for gig workers. It handles Schedule C and Schedule SE correctly, covers all the deductions you need, and costs significantly less than TurboTax.

H&R Block Self-Employed

Price: ~$85 for federal, ~$40 per state

H&R Block’s self-employed tier combines the convenience of online filing with the option of in-person support at their 12,000+ offices nationwide.

What it does well:

• In-person support option. If you have a complex situation (multiple income streams, significant deductions, prior-year errors), sitting down with an H&R Block professional can be worth the extra cost.
• Solid deduction coverage. Covers the standard gig deductions: mileage, vehicle expenses, phone, supplies, insurance, home office, and retirement contributions.
• SE tax and quarterly payments. Handles both correctly.
• Easy interface. The step-by-step flow is clean and easy to follow, though not quite as polished as TurboTax.

What it gets wrong:

• Price vs. features. At $125 total, H&R Block is nearly as expensive as TurboTax but offers fewer features (no built-in mileage tracker, no receipt photo import).
• Limited free version. The free online filing option doesn’t include Schedule C or Schedule SE. You must pay for the self-employed tier.

Best for: Drivers who value having a physical office to visit and want access to a human tax professional if things get complicated.

Our assessment: H&R Block is a solid choice if you want the safety net of in-person support. But for drivers who are comfortable doing their own taxes online, TaxAct offers similar functionality at half the price.

Free Alternatives

Not everyone needs the paid options above. Here are the free or nearly-free alternatives:

IRS Free File. If your 2025 adjusted gross income is below $79,000, you can use IRS Free File to file federal taxes for free. Some Free File partners support Schedule C and Schedule SE for gig workers (check irs.gov/freefile for current options).

VITA (Volunteer Income Tax Assistance). Free in-person tax help for taxpayers earning $64,000 or less, disabled taxpayers, and limited English speakers. Find a site near you at irs.gov/vita.

TaxSlayer. A low-cost alternative ($0–$40) that handles Schedule C and Schedule SE at a lower price point than the big three.

Which One Should You Choose?

Here’s our decision guide:

• You earn under $10,000 and have simple expenses → TaxAct Free Federal + paid State, or IRS Free File
• You earn $10,000–$50,000 and want the best deduction optimization → TurboTax Self-Employed
• You earn $10,000–$50,000 and want to save money → TaxAct Self-Employed
• You earn over $50,000 with complex income → TurboTax Self-Employed or H&R Block (if you want in-person help)
• You prefer working with a human → H&R Block
• You’re on a tight budget → TaxAct or TaxSlayer

What to Look for in Tax Software for 1099 Workers

No matter which software you choose, make sure it supports:

1. Schedule C (Profit or Loss from Business) — this is where you report your gig income and expenses
2. Schedule SE (Self-Employment Tax) — this calculates your 15.3% Social Security and Medicare tax
3. Mileage or vehicle expense deduction — the biggest deduction for most gig drivers
4. Quarterly estimated tax payment tracking — so you can properly apply your payments
5. State filing — at least one state return (or as many as you need)

If a product doesn’t support these, it’s not designed for gig workers.

Common Tax Software Mistakes for Gig Workers

1. Using basic/free software that doesn’t support Schedule C. This is the #1 mistake. Free versions of major tax software often exclude Schedule C. If your software doesn’t ask about business income or expenses, it’s the wrong product.
2. Forgetting about SE tax. Even if your income tax is zero (because of deductions), you still owe 15.3% self-employment tax on your net profit over $400.
3. Deducting personal vehicle use. You can only deduct the portion of your vehicle used for business. If you use your car 80% for gig work and 20% for personal driving, you can only deduct 80% of actual vehicle expenses (though the standard mileage rate is applied to total business miles only).
4. Not keeping receipts. Software can help you file, but you need actual receipts and records to support your deductions if the IRS audits.

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Related Resources

• Rideshare Driver Tax Guide — Complete tax overview
• Self-Employment Tax Explained — Understanding SE tax
• Quarterly Estimated Taxes — Managing quarterly payments
• Best Mileage Tracker Apps — Track miles for maximum deductions

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Disclaimer: This review is for informational purposes only and does not constitute tax advice. Pricing, features, and availability may change. Always verify current details on the official software websites. Sources: IRS Schedule C Instructions, IRS SE Tax Instructions, IRS Free File Program.

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