Top 10 BEST Income Tax Software in India (Free/Paid) 2024

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.

Following is a handpicked list of Top Income Tax Software in India, with their popular features and website links. This income tax software list contains both open-source (free) and commercial(paid) software.
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Best Income Tax Software in India: Free/Paid ITR Filling

Name Free Trial Link
👍 Zoho Books 14-Days Free Trial Learn More
FreshBooks 30 Days Free Trial Learn More
Tally 7 Days Free Trial Learn More
ClearTax 30 Days Free Trial Learn More
H&R Block 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. 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. It also helps you 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.

#1 Top Pick
Zoho Books
5.0

Tax management: Yes

Compliance standard: GST and GDPR

Customer Support: Phone, Chat and Email

Free Trial: 14 Days Free Trial

Visit Zoho Books

Features:

  • Expenses: Track your expenses, categorize them, and bill them to the clients. It offers a centralized location to track all your outlays. Automate recurring expenses so you do not have any miscalculations and extra work. It also includes an auto-scan feature that collects all important information to eliminate data entry.
  • Simplify banking: Reconcile your accounts instantly, it can securely import transactions from your bank and PayPal accounts. You can also find out about balance mismatches, receive accurate cash flow prediction, and more with its banking dashboard.
  • 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.
  • 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.
  • 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.
  • Support: Zoho Book offers support via a knowledge base, and existing customers have a customer portal.

Pros

  • It automatically collects and drops a bank statement from the bank into your account.
  • You can generate invoices for customers depending on task time or fix costs for any project.
  • It lets you manage more than one project, add tasks, and assign them to employees.

Cons

  • It is not customizable enough.
  • The documentation needs improvement.

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


2) FreshBooks

FreshBooks is a portal that offers online preparation and filing Income Tax Returns (ITR). It provides an easy way to e-file your tax. This tax calculation software helps you upload multiple PDF or scanned papers.

It has a complete solution for e-filing of ITR1, ITR2, ITR4, and more. FreshBooks helps you to prepare, fill, and assess your income tax. This website automatically calculates return filing as per relevant tax rules. It keeps your record secure so that you do not have to maintain a separate tax file. Additionally, it provides security using 256-bit SSL encryption.

#2
FreshBooks
4.9

Tax management: Yes

Compliance standard: PCI and GDPR

Customer Support: Phone, Chat and Email

Free Trial: 30 Days Free Trial

Visit FreshBooks

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: It lets you create professional-looking invoices within seconds with its invoice generator. Here, you can add your company logo and personalize it with a thank you email.
  • Payments: All kinds of online payments link with Freshbooks seamlessly. It helps make payments quick and easy and secures them completely. You can add multiple ways of payment to simplify your customer’s work. Its online payments can be set up in a single click.
  • Bookkeeping: Freshbooks offer expert bookkeeping and tax prep. It helps create workflows that keep your finances flowing. This tool reconciles accounts, helps import bank statements, and prepares monthly statements.
  • Other features: It offers features like client communication that includes proposals, projects, and estimates. Freshbooks also offer payroll management.
  • Support: This tool provides support through live chat toll-free phone and includes a help center.

Pros

  • It has easy to use interface
  • Freshbooks has an automated mileage-tracking app.
  • It offers business loans and a markup calculator.

Cons

  • Its on-boarding process can be improved.
  • The app crashes sometimes.

Pricing:

Here are some of the plans offered by Freshbooks:

Plan Name Lite Plus Premium
Pricing per month $8.50 $15 $27.50

Free trial: 30 days

Visit FreshBooks >>

30-Days Free Trial


3) Tally

Tally is one of the most used income tax software in India. 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. Tally helps you automate your tasks easily and gives you more flexibility as it adapts to your business.

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 reason for the mismatch.

Tally

Features:

  • Taxation and compliance: Tally simplifies GST filling for you with its built-in error detector. It helps you generate e-invoices instantly and reconcile different GSTRs. By using it, you remain audit trial compliant as per MCA guidelines, and it supports multiple GSTINs in a single organization.
  • 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.
  • 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.
  • 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.
  • Other features: Tally offers inventory management, banking, and net capabilities. It also includes cost control and analysis, enhanced security management, payroll management, and more.
  • Support: This tool offers support through live chat, email, and knowledge base in Tally Help.

Pros

  • It supports offline mode of e-invoicing by exporting them to JSON files.
  • Tally has an e-banking module that helps connect banks and businesses.
  • It supports multiple cost categories and provides third-dimensional reporting of your revenue and costs.

Cons

  • Transferring data from other software to Tally can be difficult.
  • The app hangs at times.

Pricing:

Here are some of the plans for Tally

Plan Name Silver Rental Gold Rental Silver
Pricing per month ₹600 ₹1,800 ₹18,000

Free trial: 7 days

Link: https://tallysolutions.com/


4) ClearTax

ClearTax is a tool that helps chartered accountntants 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.

ClearTax

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.
  • Other features: Cleartax offers ITR filing assistance, TDS on the sale of property, and legal services. It also provides ClearProApp to help track filing and provides experts to help with filing.
  • Support: Its support is reachable via email.

Pros

  • This income tax software for India includes numerous types of calculators.
  • ClearTax includes a currency converter tool.
  • Its reporting is simple and easy to use.

Cons

  • It doesn’t offer an offline version.
  • Importing large amounts of data from Excel is time-consuming.

Pricing: Contact support to request for quote.

Free trial: Free Signup and demo available

Link: https://cleartax.in/


5) H&R Block

H&R Block is an income tax e-filling service provider. The service is provided by experts who ensure maximum tax savings. You can utilize the facilities of this company to get consultation for the prior year.

H&R Block offers a hassle-free way to tackle tax complexity. It allows users to e-file tax returns in less time. Users also get post-tax filling support. Furthermore, it is one of the best online tax filing sites in India, which offers real-time tax calculations.

H&R Block

Features:

  • Guidance to file taxes: H&R Block helps you file taxes on your own. You also get assistance from their experts on demand. It lets you import and upload W-2s easily and prepare at your own pace.
  • Tax prep: You get tax prep that comes with built-in reassurance. It helps you claim a large refund, offers upfront transparent pricing for tax prep, and includes experts who have 10 years of experience.
  • 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.
  • Expat 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.
  • Support: It offers support through phone office appointments and includes a Help Center page.

Pros

  • This free income tax software is easy to deploy and easy to use.
  • You get a vast amount of resources that help you file your own taxes.
  • It provides accuracy in all calculations.

Cons

  • The pricing can be confusing as there are numerous prices for every service.
  • It can be slightly time-consuming.

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 $85

Free trial: Lifetime free version available.

Link: https://www.hrblock.com/


6) EZTax

EZTax is an online tool that provides services to help plan, prepare, and save taxes for businesses and individuals. It makes your income tax return filing easy. This program is available for both Mobile apps and Web browsers.

Using Extax, you can upload a photo of your Form-16. It automatically reads Form-16 in images or PDF format. EZTax offers a comprehensive salary questionnaire and helps you get maximum GST credit.

EZTax

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: It offers online software for self-service that helps income tax e-filing have GST-ready accounting and TDS preparation. Extax income tax software also helps with CA, TRPs, and CMA.
  • Tax expert services: The tax experts of Extax help with IT filing, GST filing, and TDS preparation. They also help with registration, returns filing, virtual accounting, and more.
  • 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.
  • Support: It provides support through phone, chat, email, and WhatsApp

Pros

  • It supports all income levels.
  • EZTax offers an Audit Checker.
  • It provides a built-in infrastructure to ensure that the data stays in India.

Cons

  • The Form-16 image reader may not read it at first attempt sometimes.

Pricing:

Here are some of the income tax filing plans of Extax

Plan Name Self-service Expert assisted Expert assisted-
Medium
Pricing 0 ₹799 ₹999

Free trial: Lifetime free self-service available.

Link: https://EZTax.in/


7) MyITreturn

MyITreturn is an application that makes your ITR filling work quicker and easier compared to other tools. It provides complete updates on income tax information. You can use this tool to calculate tax.

The latest version of myITreturn income tax filing tool offers a robust way for income tax filing. 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.

MyITreturn

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 backed by their expert team. This ensures accuracy in all your calculations and documents.
  • Support: Its multi-lingual support is available through WhatsApp, email, ticket, and live chat. It also includes knowledge base articles.

Pros

  • The import is quick from the Income Tax Department.
  • It offers various tax calculators.
  • You can file income tax in 10 languages using its mobile app.

Cons

  • For filing more than one house property, you need a premier filer plan.

Pricing:

Plan Name Basic Filer Deluxe Filer Premier Filer
Pricing for self filing ₹199 ₹500 ₹1000

Free trial: Not available

Link: https://myitreturn.com


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.

Taxsmile

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 simplifies tax filing as it has no complicated tax sections and uses no tax jargon. Any beginner can use it as it doesn’t require you to know tax laws. You do not have to select any IRT form, and you can file it at your own pace.
  • 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.
  • 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: It offers a complete tax report of your tax record from previous years. This tool can access your tax information available on the website and organize it for you in a simple, viewable manner.
  • 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.
  • Support: Its support is available via phone and email.

Pros

  • Thus return filing software offers reminders to send IRT V.
  • This platform covers every aspect of returns filing.
  • It offers 128-bit SSL encryption, and its servers are hosted at ISO27001-certified data centers.

Cons

  • Its several services are an add-on service.
  • Refund tracking can be done only for one assessment year.

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.

Link: https://www.taxsmile.com

FAQs:

Online Tax Software helps companies prepare profit and loss statements and helps individuals prepare income files for corporate and individual tax returns. The online software takes care of all compliance issues. You can use them for live tax calculation and e-file tax returns in less time. These tools automatically provide notification if the entered information is mismatched.

Below are some of the best online tax software in India:

Yes, online tax software is safe to use. However, it is advisable for users to consider some factors like reviews of the company, security features offered, etc., before choosing an online tax software to use. Users should also consider paid software over free software that offers more security features.

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

You should consider the following factors while selecting online tax software:

  • Easy to use and setup
  • License Cost, if applicable
  • The quality of Customer support
  • Cost involved in training employees on the tax software
  • Reviews of the company
  • Security features offered
  • Multiple payment integration options
  • Features and functionalities offered

Best Income Tax Software in India (Free/Paid)

Name Free Trial Link
👍 Zoho Books 14-Days Free Trial Learn More
FreshBooks 30 Days Free Trial Learn More
Tally 7 Days Free Trial Learn More
ClearTax 30 Days Free Trial Learn More
H&R Block Basic Free Plan Learn More