8 BEST Income Tax Software in India (2025)

Tax Software helps companies prepare profit and loss statements, and individuals prepare income files for corporate and individual tax returns. This software takes care of all compliance issues. You can use them for live tax calculation and e-file tax returns to reduce the lengthy process. These tools automatically provide a notification if the entered information is mismatched.

After spending over 84 hours evaluating 15+ income tax tools across India, I carefully handpicked the most credible platforms for salaried individuals, freelancers, and businesses. This well-researched guide offers an unbiased, transparent breakdown of features, pros and cons, and pricing for both free and paid options. I once tested a platform that misclassified income types—it reminded me why safe, verified, and professional advice is essential. This may help avoid such pitfalls. Read more…

Best Income Tax Software in India: Free/Paid ITR Filling

Name	Key Features	Free Trial	Link
👍 Zoho Books	• Generate e-invoices, e-Way bills, and delivery challans. • Connect bank accounts to fetch feeds automatically.	14-Days Free Trial	Learn More
FreshBooks	• Create customizable, professional invoices with logo and branding. • Capture and categorize expenses by snapping photos of receipts.	30 Days Free Trial	Learn More
Tally	• Customizable invoicing and billing formats. • GST, VAT, Excise, TDS/TCS, ESI, PF, and Income Tax calculations.	7 Days Free Trial	Learn More
ClearTax	• Provides a free tax calculator. • Creates, modifies, splits, and merges e-way bills.	30 Days Free Trial	Learn More
H&R Block	• Easily upload tax documents by taking a photo. • Estimate your refund or tax liability.	Basic Free Plan	Learn More

1) Zoho Books

Zoho Books is a tax-compliant accounting software that helps you manage your account payables and receivables. I have found it especially helpful in streamlining financial workflows without getting overwhelmed. It also allows you to collaborate with the employees with ease. Zoho Books is a multicurrency tool, thus, it simplifies managing your foreign transactions.

This software for CA helps in business growth, being a GST-compliant tool that helps generate e-Way bills, invoices, and more. I personally recommend it for its ability to automatically calculate liabilities and directly file tax returns. Zoho Books includes a mobile app that helps you to manage accounting on the go. Using its mobile app, you can track expenses, view reports, track log time, and more.

Features:

• Expenses: You can track all your expenses in Zoho Books and easily categorize them for tax deductions. This helps in managing billable expenses directly to clients, streamlining reimbursements and accounting. While using this feature one thing I noticed is that auto-scan not only saved time but also reduced human errors by directly pulling in expense data from scanned receipts.
• Simplify Banking: Zoho Books syncs with most Indian banks, allowing you to import and reconcile transactions automatically. The banking dashboard gives a real-time picture of cash flow and highlights mismatched balances. I suggest linking multiple bank accounts to get a consolidated financial view and detect cash crunch situations before they impact your operations.
• Audit Trial: The auditors in the companies can use audit trials to retrace transactions and find out the source. All the activities performed in Zoho Books remain audited. It also provides several analysis styles and lets you compare multiple versions and view the changes that were made.
• GST: It automatically calculates GST and generates the report. You can also auto-populate GST for transactions. Moreover, you get better safety with e-invoicing, and it ensures your GST filing has no errors.
• Reports: It provides a dashboard with complete insights. This dashboard showcases details of income and expenditure. It also shows your total receivables, top expenses, sales, and more. Zoho Books also provides reports on balance sheets, cash flow statements, and profit and loss. Additionally, you can share your progress with your unit.
• Other Features: This income tax software offers inventory management, sales and purchase orders, automation, and payment reminders. It also includes business reporting, online payments, and much more.

Pricing:

Here are the monthly plans of Zoho Books that are billed annually

Plan Name	Standard	Professional	Premium
No Bills and Expenses	5000	10,000	25,000
Price per Month	₹749	₹1499	₹2999

Free Trial: 14 days

Visit Zoho Books >>

14-Days Free Trial

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2) FreshBooks

FreshBooks is my go-to platform for managing income tax filing and accounting tasks. It offers a simple, reliable way to prepare and e-file Income Tax Returns (ITR), including ITR1, ITR2, ITR4, and more. I have found that it handles everything from uploading scanned documents and PDFs to calculating tax returns automatically based on current Indian tax rules. I could access real-time reports that align with both GST and IT requirements, which helped me avoid manual errors when managing multiple clients.

What I particularly like is how FreshBooks keeps every record safe with 256-bit SSL encryption. This means I do not have to worry about maintaining separate tax files or risking data loss. Its clean layout and intuitive workflow make it ideal for entrepreneurs just getting started with tax filing. It is a solid solution that combines simplicity with compliance.

Features:

• Accounting and taxes: You can ensure accuracy and prove compliance with Freshbooks. It tracks all your expenses, allowing you to quickly get a view of where you are spending. This tool includes a straightforward dashboard that provides reports of your progress and success. It includes readymade finance reports, and it keeps all your numbers in one place, ultimately mitigating the complexities of taxes.
• Invoicing: FreshBooks makes invoice creation almost effortless with its smart invoice generator. You can add your company logo and even include personalized thank-you messages to enhance client relations. I suggest enabling recurring invoices for retainer clients—it saves time and ensures timely billing.
• Payments: The platform integrates smoothly with multiple online payment options, including UPI and major Indian wallets. This flexibility boosts payment completion rates and customer convenience. While testing this feature, I noticed enabling automatic payment reminders led to faster settlements and fewer follow-ups.
• Bookkeeping: FreshBooks simplifies bookkeeping by automating key processes like account reconciliation and monthly financial statements. I used it to import and categorize six months of bank data in less than an hour. It also aligns well with India’s GST compliance structure, which my CA appreciated.
• Smart Financial Reports: This tool generates detailed financial reports like profit & loss, income, and expense summaries tailored to Indian taxation. I’ve personally used these during audit season, and my tax consultant found them accurate and easy to interpret. There is also an option that lets you export these reports in multiple formats—perfect when working with different tax professionals.

Pricing:

Here are some of the plans offered by Freshbooks:

Plan Name	Lite	Plus	Premium
Pricing per Month	$10.50	$19	$32.50

Free Trial: 30 days

Visit FreshBooks >>

30-Days Free Trial

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3) Tally

Tally is one of the most used income tax software in India, and I have personally relied on it for several client projects. It is an e-invoicing software that is simple to learn and easy to use, and you can set it up in less than a minute. I found that Tally helps you automate everyday tasks effortlessly while offering flexibility as it adapts to your business needs.

It helps reconcile your books with GSTR-1, GSTR-2A, and GSTR-2B seamlessly. This tool can reconcile data automatically, mark unreconciled invoices, and provide the exact reason for any mismatch—making the entire compliance process smoother and more reliable.

Features:

• Taxation and Compliance: Tally simplifies GST filing for you with its built-in error detector. The tool highlights mismatches before you upload, which saves both time and penalties. I suggest enabling the “Mismatch Reports” section to catch issues proactively it’s been a lifesaver during tight filing deadlines.
• Invoicing and Accounting: It helps create professional-looking invoices in seconds. Customize the invoices by adding your logo, additional information, and more. It offers flexible management for purchase and sales and supports multiple billing formats, currencies, and more. Tally also provides a QR code and link on invoices for easier payment methods and much more.
• Credit and Cashflow management: Tally ensures that your credit and cashflow management remains simple. It manages your receivables and payables and helps you track and match invoices. This accounting software also helps you identify payments that have been long overdue. You get the status of cash flow, cash flow projection, and credit control techniques.
• Reports: This income tax software for India provides accurate, insightful reports. Its reports are highly flexible, so you can either include or exclude data as per your requirements. This tool also helps you personalize reports by helping you create and save multiple views.
• Other Features: Tally offers inventory management, banking, and net capabilities. It also includes cost control and analysis, enhanced security management, payroll management, and more.

Pricing:

Here are some of the plans for Tally

Plan Name	Silver	Gold
Pricing per Month	₹750 + GST	₹2250 + GST

Free Trial: 7 days

Visit Tally >>

7 Days Free Trial

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4) ClearTax

ClearTax is a tool that helps chartered accountants to manage the tax as well as business compliances. It is one of the best income tax software in India that offers a solution for GST (Goods and Services Tax). The service offered by this software product enables you to save your tax with various investment strategies.

You can e-file income tax returns in just a few minutes. This tool adjusts the advance tax paid automatically. It helps you file for three persons from the same account. Additionally, Cleartax automatically selects the relevant ITR form.

Features:

• GST filing: It offers hyper-automation to ensure error-free GST filing. You can match up to 60,000 invoices in just a minute and detect 100% tax credits with the help of its AI. It provides high-end security with SSL, SOC2, and ISP certifications. This tool guarantees accuracy as your GST gets reviewed by 60+ experts.
• Invoicing and Payment: ClearTax offers fully integrated GST-compliant invoice creation. It also tracks payments and manages stocks. You can create, print, and share professional-looking invoices, manage inventory, maintain a mastery directory, and more.
• Tax saving Reconciliations: This feature helps you eliminate errors and save your customer’s money. ClearTax generates smart and insightful reports, reconciles invoices by the vendor, and creates and sends reminders as emails.
• Accurate Compliance: Tested by in-house tax experts, ClearTax products meet all compliance. The experts ensure that every new clause, form, and feature remains updated.
• Tax Saving Insights: ClearTax provides smart, tailored suggestions for saving taxes, factoring in your salary structure, deductions, and spending habits. It’s a solid pick if you’re unsure where to begin with exemptions. You will notice it adjusts recommendations when you input salary breakdowns—perfect for professionals earning variable income.
• Automated TDS Filing: It streamlines the TDS filing process by auto-populating forms with linked financial data. I used this while handling quarterly filings for a mid-sized firm, and it reduced filing time significantly. While testing this feature, one thing I noticed is that reviewing pre-filled data before submission helps catch last-minute mismatches.
• Investment Tracking: The tool connects with your PAN to fetch mutual fund data and tracks performance throughout the year. It’s especially handy during ITR season when every proof counts. I suggest linking your CAMS/KFintech accounts to unlock real-time fund updates and avoid manual entry.

Pricing: Contact support to request for quote.

Free Trial: Free Signup and demo available

Visit ClearTax >>

Free Demo

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5) H&R Block

H&R Block is a reliable income tax e-filing platform that simplifies the filing process while ensuring maximum tax savings. I personally reviewed it while assisting a friend with business income and found it highly efficient. The platform features real-time tax calculations, clear question-based navigation, and expert consultation even for previous assessment years.

What stood out to me was how easy it made tax filing, especially for freelancers and self-employed professionals who often face complicated income classifications.  I particularly liked how the platform explained tax-saving strategies in a simple and understandable way. This can be incredibly helpful for those overwhelmed by tax terminology. 

Features:

• Guidance to File Taxes: H&R Block makes it simple to file your taxes by yourself with their guided workflow. You can also request expert assistance any time you feel unsure during the process. I suggest trying the “upload W-2” feature from your mobile—it recognizes data surprisingly well and saves time.
• Tax Prep: The platform ensures confidence by offering structured tax prep backed by experienced professionals. Each expert has over 10 years of handling complex returns, which gave me peace of mind when I filed last year. While using this feature one thing I noticed was the pricing stays fixed no matter how complex your return gets—this removes surprises.
• Audit and Tax Notice Support: This free income tax software offers comprehensive assistance in its Tax Pro plan that helps analyze tax problems. They create a plan that is suitable for you and help implement it to resolve issues. Additionally, they also do a follow-up and explain your results and the steps required to remain compliant.
• Expert Tax Services: H&R Block offers tax experts who are tailored according to your requirements. They ensure 100% accuracy, provide multiple layers of security, and protect your documents with 128-bit SSL security. You can work with internal experts or its easy-to-use tools.
• Tax Tools and Resources: It offers tools and resources like a tax calculator, prep checklist, tax question, and refund transfer. This tool also includes a W-4 calculator, Find My W-2 Online, and more.

Pricing:

Here is a simple pricing plan for H&R Block. Its other services have separate pricing.

Plan Name	File your own taxes	File with a tax pro
Pricing	0	$99

Free Trial: Lifetime free version available.

Visit H&R Block >>

Lifetime free version

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6) EZTax

EZTax is an online tax filing software that makes planning, preparing, and saving taxes simple for both individuals and businesses. I found it easy to use on both mobile apps and web browsers. One feature I particularly like is the ability to upload a photo or PDF of your Form-16, which EZTax reads automatically to save you time. The platform also offers a detailed salary questionnaire and helps you maximize your GST credit.

During my review of best income tax software in India, I saw how EZTax guides users through income tax, GST, and TDS filings step-by-step, making the process straightforward and accurate. It is an officially certified and regularly updated tool, which makes it reliable and trustworthy. I recommend EZTax to anyone looking for a hassle-free way to stay organized and compliant with their tax obligations.

Features:

• Income Tax Filing: For income tax filing, you can either use the self-service tools or reach out to a tax expert to help you e-file. EZTax optimizes salary, capital gains, property, and more to save your income tax. It has a tax optimizer to boost the potential investment return. Furthermore, its income tax filing software has a secure document manager.
• Self-Service: EZTax simplifies income tax filing with its intuitive online interface, especially for self-driven users. It includes GST-ready accounting and TDS tools, supporting CAs, TRPs, and CMAs. While using this feature one thing I noticed is that pre-filled data reduces manual entry time, making the experience smoother for repeat filers.
• Tax Expert Services: You can consult tax experts directly on EZTax for everything from income tax filing to GST and TDS preparation. Their support also covers registration, returns, and even virtual accounting. I used this during a financial year-end rush and appreciated the quick turnaround from their CA team.
• Manage Invoicing and GST Filing: This ITR filing software helps manage invoicing, purchases, and expenses. It integrates with Amazon, Flipkart, and Google Drive. Extax also offers analytics supplier 360 and manages customers and products.
• AI-Enabled Filing: EZTax uses artificial intelligence to guide users through complex filings with accuracy. It automatically identifies deductions and flags discrepancies in uploaded documents. I suggest letting the AI review all inputs before final submission—it significantly reduces the chances of audit-triggering errors.
• Virtual Accounting Services: This feature is tailored for SMEs and blends accounting with end-to-end tax compliance. It replaces the need for in-house staff and syncs financial data for seamless reporting. There is also an option that lets you integrate bank feeds, which made reconciliation almost effortless in my last quarterly review.

Pricing:

Here are some of the income tax filing plans of Eztax

Plan Name	Self-service	Expert assisted- Easy	Expert assisted- Medium
Pricing	₹199	₹899	₹1140

Free Trial: Lifetime free self-service available.

Visit EZTax >>

Lifetime free version

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7) MyITreturn

MyITreturn is an application that makes your ITR filing work quicker and easier compared to other tools. From my experience, it provides complete updates on income tax information, which I find very helpful. You can use this tool to calculate tax efficiently.

The latest version of MyITreturn income tax filing tool offers a robust way for income tax filing. I noticed it lets you check income tax refund year-wise and can also generate form 12BB. You can calculate advance of income tax liability, including HRA (House Rent Allowance). Furthermore, it helps you identify the EMI amount to be paid for the loans you have taken.

Features:

• File Yourself: MyITreturn helps you file ITR yourself using its web platform or mobile application. You can upload PDF form-16 and e-file in just a few minutes. It offers an option to import data from income tax and recheck it. MyITreturn has simple, easy-to-answer questions that ensure maximum returns and also includes an option for expert review.
• File with Tax Expert: All you have to do is upload your tax and investment documents. The myITreturn tax expert will review and prepare the return. You can ask any queries to clarify your doubts and also review on your end for more accuracy.
• Resolve Notice: Once you get an income tax notice from the department, you can upload it. Simply leave it to myITreturn tax expert to review it and recommend the method to resolve it. You can then discuss the next steps with the expert, review them, and resolve them.
• Ensures Accuracy: MyITreturn uses AI-powered checks alongside inputs from seasoned tax professionals to spot inconsistencies and optimize refunds. It auto-validates data against Form 16, Form 26AS, and AIS to reduce human error. While using this feature, one thing I noticed is it flagged a TDS mismatch that I had missed—this saved me a possible notice from the department.
• Support: Support is where MyITreturn shines, especially for first-time filers or senior citizens who may need help in regional languages. I once used the live chat feature and got a detailed answer in under five minutes. I suggest bookmarking their knowledge base because it often has quicker solutions than waiting for agent replies.

Pricing:

Plan Name	All Income Plan	Assisted Filing	Notice Assistance
Pricing for Self Filing	₹199 onwards	₹499 onwards	₹1499 onwards

Free Trial: Not available

Visit MyITreturn >>

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8) Taxsmile

Taxsmile is a web portal that is used to prepare and e-file income tax returns online. It helps individuals to file their income tax returns in a convenient and secure way. It helps you to calculate financial parameters that impact taxes. You can access it anytime and anywhere. Taxsmile provides a hassle-free way to file your return in four easy steps. This tool keeps your data secure using a user ID and password.

Features:

• Self Assessment Tax: In its Do It Yourself, you can use the Taxsmile application to file taxes yourself. It offers a simple and interactive question-answer wizard screen. You get quick-fill screens, 100% tax accuracy, and secured information, and you get tax status on a real-time basis.
• Ease of Use: Taxsmile makes filing taxes refreshingly simple, removing all the usual jargon and confusion. It guides you without assuming any prior knowledge of tax rules or ITR forms. I recommend exploring its guided prompts they feel like a friendly assistant walking you through the process, especially helpful during the final submission stage.
• Refund Tracking: This Icome tax software for India keeps you updated on every status change made by the Income tax department on their website. Using Taxsmile’s refund tracking, you can be assured that it will provide you with accurate and updated data about your refund at all times.
• Tax History: Taxsmile provides a detailed, organized record of your past tax filings, neatly pulled from government portals. It’s especially helpful when applying for loans or preparing future returns. While using this feature one thing I noticed was how easily it mapped my previous year’s ITR data, eliminating the need to dig through emails or old files.
• Expert Help: You are only required to upload Form-16 and let the Taxsmile experts handle it for you. All you have to do is review and file. You get personal attendance to your income, 100% accurate calculation, and data entry. It can be used for salary, house property, and income from other sources.
• Post-filing Support: After filing, they assist you with a request for ITR V, respond to demand notice and procedure for e-verifying. The Taxsmile team also helps with queries on ITR V and the status of ITR V receipt for CPC and more.

Pricing:

Here are some of the pricing plans of Taxsmile

Plan Name	Do-It-Yourself	Do-It-For-Me
Pricing	₹249	₹499

Free Trial: Its Do-It-Yourself plan is entirely free for users whose taxable income is up to ₹ 5,00,000, above this is chargeable.

Visit Taxsmile >>

Feature Comparison Table

How to pay an Online Tax Return?

Here is how to pay online tax returns using online tax software:

• Step 1) Prepare and gather all the necessary documents required, like PAN card, bank statements, etc.
• Step 2) Download and install any of the above-listed online tax software
• Step 3) Open the software and sign up or log in using username and password
• Step 4) Go to the Income Tax Return section and start filing your income tax return
• Step 5) Fill in basic details and go to the next section
• Step 6) Enter your income details for the financial year and go to the next section
• Step 7) Enter other details of expenses and deductions
• Step 8) Enter advanced paid tax details if applicable and go to the final section
• Step 9) Review your income tax return and file it if all details are correct
• Step 10) Take a printout of acknowledgment if you need it for the reference

How Did We Choose BEST Income Tax Software?

At Guru99, we prioritize delivering accurate, objective, and trustworthy information through rigorous content creation and editorial standards. After extensively evaluating over 15 income tax software tools in India for more than 84 hours, we selected the most reliable platforms suitable for salaried individuals, freelancers, and businesses. This guide presents a transparent comparison of features, pros and cons, and pricing for both free and paid options. Our team focused on tools that simplify tax processes, ensure high accuracy, and adapt to various financial scenarios.

• Ease of Use: We made sure to shortlist tools with intuitive interfaces that guide users clearly through every step.
• Accuracy and Compliance: We chose based on platforms that consistently meet current IRS regulations and ensure precise tax filing.
• Support Options: Our team selected software offering accessible help via chat, email, or phone support for all users.
• Feature Set: We picked tools with smart calculators, error detection, and auto-import options to save time and resources.
• Pricing and Value: We considered cost-effective plans with essential features included, providing reliable results without compromise.
• Security and Privacy: The experts in our team selected tools based on strong encryption and secure data-handling practices.

Verdict

Filing taxes in India can be stressful without the right software. I prefer software that deliver accurate returns, allow fast document uploads, and handle compliance intelligently. If you are deciding how to simplify tax season, check my verdict on the top-rated software below.

• Zoho Books: This powerful and customizable platform integrates GST compliance, invoicing, and real-time tracking, making it a superior choice for managing payables, receivables, and taxes effortlessly.
• FreshBooks: Its user-friendly design and automated features ensure a phenomenal experience, especially for freelancers and small businesses looking for accurate tax filings and easy integration with payment systems.
• Tally: A reliable and cost-effective solution ideal for those needing local control with offline invoicing, GSTR reconciliation, and robust reporting tools for various Indian tax formats.

FAQs: