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Best Free Tax Software in Canada 2023

Filing taxes is a necessary but often tedious task for many Canadians fortunately, there are CRA-approved free tax software in Canada. 

Fortunately, there are many free tax software options available in Canada that can help make the process easier and more affordable.

Choosing the right tax software is important to ensure accuracy and avoid costly mistakes that can lead to penalties and fines. 

In this article, we will explore the best free tax software in Canada, highlighting their key features and how they compare with paid software. 

Best Free Tax Software in Canada
Photo credit: Nataliya Vaitkevich

Best Free Tax Software in Canada

Free tax software can be a great option for those looking to save money and simplify the tax filing process. 

However, choosing the wrong one can undermine the intended purpose.

Below are the top 9 best free tax software in Canada to consider.

1. Wealthsimple Tax

Wealthsimple Tax (formerly known as SimpleTax) is a popular and highly-rated tax filing software in Canada. 

This is a free online tax software that allows individuals to easily and accurately file their tax returns. 

The software uses a user-friendly interface and an intuitive step-by-step process to guide users through the tax filing process.

Wealthsimple Tax offers a variety of features, including automated data import, real-time calculations, and error detection to ensure accuracy. 

2. EachTax

EachTax is a tax filing software designed to help you file your taxes quickly and easily. 

This software is recognized as one of the best tax-free software in Canada due to its user-friendly interface and robust features.

EachTax offers a wide range of tax forms and schedules. It also supports automated filling, detects tax filing errors and re-filled amendments.

Like Wealthsimple Tax, EachTax offers a step-by-step guidance feature that helps users through the tax filing process.

Furthermore, EachTax is secure and reliable. It is a CRA NETFILE-certified software that complies with the industry’s best practices.

3. CloudTax

CloudTax is a CRA-certified tax filing software that is known for its user-friendly interface and cost-effectiveness. 

The software helps individuals file their tax returns accurately and efficiently at no cost.

However, you can’t use this software if you reside in Nunavut, Northwest Territories, Quebec or Yukon. In addition, the free version CloudTax can’t be used to file:

  • Self-employed taxes
  • Rental income taxes
  • Employment expense taxes.

Notwithstanding, CloudTax is an excellent tax software option for individuals looking for a cost-effective and easy-to-use solution for their tax filing needs.

4. AdvTax

AdvTax is a NETFILE and EFILE-certified tax software that also allows you to file your taxes at no cost.

One of the main advantages of AdvTax is that it is completely free to use, which makes it different from other tax software from this compilation.

AdvTax is also user-friendly and provides step-by-step guidance throughout the tax filing process. 

Additionally, AdvTax supports all federal and provincial tax forms such as:

  • T3
  • T3A
  • T4
  • T5
  • T1255
  • T90
  • T185

Overall, AdvTax is a reliable and user-friendly tax preparation software that offers a range of features to help Canadians file their taxes accurately and efficiently. 

5. StudioTax

StudioTax is a popular tax filing software in Canada that allows you to file simple and complex taxes for free so long as you reside in Northwest Territories, Yukon, or Nunavut.

The software is available for download on Windows, Mac, Android and iOS and it’s available in English and French.

One of the key benefits of StudioTax is that it is updated regularly to reflect changes in tax laws and regulations, ensuring that users have access to the latest tax forms and information. 

The software also offers a user-friendly interface and a step-by-step guide to help users complete their tax returns accurately and efficiently.

6. GenuTax

GenuTax is one of the best free tax software available in Canada due to its intuitive interface, robust features, and completely free access. 

This software allows you to file your annual taxes for free. It also allows you to file past taxes at no cost.

You can file up to 20 taxes in a year with no income restriction.

One of the key benefits of GenuTax is its ability to handle complex tax situations, including 

  • capital gains 
  • small business
  • rental properties

GenuTax is compatible with both Windows and Mac operating systems, and users can file their tax returns electronically directly from the software. 

7. uFileFREE

uFileFREE is another free tax software in Canada that offers a range of features to make tax filing straightforward. 

This software is available to post-secondary students in Canada with less than $20,000 family income.

Note that uFileFREE is certified by the Canada Revenue Agency (CRA), meaning it meets the agency’s strict standards for accuracy and security.

uFileFREE is particularly well-suited for individuals with straightforward tax situations, such as those with a single source of income and no major investments or deductions.

8. TurboTax Free

If you’re 25 or under, you can file your taxes for free through TurboTax.

TurboTax is particularly popular among individuals who have simple tax situations such as those looking to file taxes on:

  • Employment and unemployment income
  • Pension income
  • Child care expenses
  • Caregiver tax credit
  • Dependent credits
  • Tuition
  • RRSP contributions
  • COVID-19 benefits & re-payments

One of the main benefits of TurboTax Free is that it is easy to use and guides users through the tax filing process step by step. 

TurboTax is certified by NETFILE and it allows you to file up to 20 taxes in a year.

9. H&R Block

H&R Block is one of the best tax-free software available in Canada for preparing and filing tax returns. 

This software offers a user-friendly interface, making it easy for individuals to navigate through the software and input their tax information.

The software also provides helpful prompts and suggestions to ensure that all eligible tax deductions and credits are claimed.

H&R Block offers a range of features, including automated filing and smart search of tax forms. You can file the following taxes for free on H&R Block:

  • Employment expenses & other income
  • Self-employed income & expenses
  • Unemployment & pension income
  • Investment income & expenses
  • Pension contributions & expenses
  • RRSP contributions
  • Tuition, exam fees & student loans
  • Dependants expenses & transfers
  • Medical expenses not on a slip
  • Donations and gifts not on a slip
  • COVID-19 benefits & repayments
  • Cryptocurrency income & losses
  • Disability expenses & credits
  • Foreign income & deductions
  • Rental property expenses & income
  • Worker’s compensation benefits
  • Union & professional dues
  • Moving expense receipts
  • Volunteer Firefighter & Rescue
  • First-time homebuyer amounts

Bear in mind that you must be a 25-year-old or under to file your taxes for free with H&R Block.

Free vs Paid Tax Software: Which is to Choose?

When it comes to preparing and filing taxes online, you have the option of using free tax software or paid tax software. 

While both options can help you prepare and file your taxes, there are some key differences between the two.

Let’s go over the key differences below:

Cost

The most obvious difference between free and paid tax software is the cost. 

Free tax software, as the name suggests, is completely free to use.

On the other hand, paid tax software comes with a fee, which can vary depending on the provider and the level of service you require. 

However, a paid software tends to offer additional features or support than free software.

Features

Free tax software typically offers basic features for preparing and filing your taxes, such as income and deduction calculations, as well as access to commonly used tax forms. 

On the other hand, paid tax software often offers more advanced features, such as additional tax forms, audit protection, and live support from tax experts. 

Some paid software also offer more customization options and integration with other financial features, which can help in managing your finances year-round.

Ease of Use

Both free and paid tax software are designed to be user-friendly, but there may be some differences in ease of use. 

Free tax software may be more straightforward and easier to navigate, as it tends to offer fewer features and options. 

Paid tax software may be more complex and require more time to learn, but it may offer more flexibility and customization options.

Support

Free tax software typically offers limited support, such as online help and community forums. 

Paid tax software, on the other hand, may offer additional support options, such as live chat, phone support, or email support. 

Some paid software may even offer personalized support from tax experts, which can be especially helpful if you have a complex tax situation.

Final Thoughts

There you have some of the best free tax software in Canada.

But before choosing any of them, it’s essential to ask yourself whether you need to go with a free or paid software

If you have a simple tax situation and are comfortable filing your taxes yourself, free tax software may be a good option.

But if you have a more complex tax situation or require additional support or features, paid tax software may be a better choice.

It’s important to consider the cost, features, ease of use, and support when making your decision.

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About John Adebisi

John Adebisi is a CPA, FCCA and MBA holder with a Bachelor's degree in Accounting & Finance. He has over a decade of experience in writing personal and business finance content for audiences across North America, Europe, the UK and Africa. In addition to his writing experience, he also has a strong background in financial research and analysis, giving him a unique perspective of the financial markets. John derives pleasure in helping people make smart financial decisions, and he believes that knowledge and experience can be valuable resources for anyone who wants to learn how to manage their money.

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