Filing your taxes online in Canada is a trend that is picking up steam every year – and for good reason. Filing online is easy and efficient, and thanks to the excellent tax return software available in Canada, accurate and secure. So if you’re ready to join the ranks of DIYers and start using online tax software for the first time, we’ve got you covered with today’s review of the top five online tax software programs in Canada.
The Best Tax Return Software in Canada
Editor’s Choice: TurboTax
CRA Certified: Yes- Cost: $0.00 – $199.99
- Encryption: Yes – TLS
- Features: Auto-fill my return, Express Notice of Assessment, importing information from previous tax returns, ReFILE, mobile app available in iOS or Android
- Add-ons: Assist & Review, Full Service, audit protection, ID monitoring
TurboTax is online tax software from Intuit and is a big player in the tax return game. It offers free simple tax returns and several tiers of paid returns, ranging from low-cost standard returns ($19.99) to $44.99 for self-employed returns.
TurboTax’s built-in features and intuitive platform make filing a cinch. Just answer an online questionnaire and TurboTax does the work of figuring out which of the more than 400 deductions and credits you may be eligible for – including the latest home office deduction added in 2020. That means you won’t miss out on any potential tax-savings opportunities! It also makes claiming COVID-19 government relief, such as CERB, CRB, CESB, etc, a breeze. It will auto-fill your return with information from the CRA, import information from previous tax returns if you’ve filed online before, and issue an express notice of assessment. It also handles non-resident returns, which most of the other software providers do not.
If you’re a “noob” to tax filing, you can also upgrade to Assist & Review ($79.99), which gives you unlimited virtual access to an “on-call” tax expert who will help you fill out your return and do a final line-by-line review before you file. Or if you don’t want to lift a finger, opt for TurboTax Full Service. A tax expert with an average of 10 years of experience will collect all your documentation virtually, prepare your income tax return, and submit it on your behalf.
Overall, the flexibility, ease-of-use, fantastic features, and affordable pricing of TurboTax make it a winner in our books. Read our TurboTax review for all the info.
H&R Block
- CRA Certified: Yes
- Cost: $0 – $29.99
- Encryption: Yes, TLS
- Features: Automatic return optimization, personalized guidance, online help centre, Auto-Fill My Return, Smart Switch, SmartReview, unlimited priority support, transfer last year’s data
- Add-Ons: Audit protection, Expert Review, last will and testament
H&R Block is a relatively new entry to the online tax return software field, but it’s been the face of income tax filing for decades. The H&R Block online tax software has all of the standard features you expect, including auto-filling your return, past return importing and express notice of assessment.
The pricing is also excellent, allowing you to choose from three tiers. There’s a basic free option for simple returns, and an “Assistance” tier at $19.99 for those who want customized tax tips and some hand-holding through the process. The most expensive tier is still affordable at $29.99, and offers unlimited priority support, digital storage, and audit protection. H&R Block guarantees they’ll find you the biggest return, and if you find another online tax return software that results in a larger refund, they’ll reimburse you for the purchase price of the other software.
H&R Block hasn’t left behind the brick and mortar version of their tax filing strategy. If you opt for Expert Review, you can have a tax expert review your return before you file to further improve your refund or decrease what you owe.
Wealthsimple Tax
- CRA Certified: Yes
- Cost: $0
- Encryption: Yes
- Features: Smart search, auto-fill return, refund optimizer, express notice of assessment, refile
- Add-Ons: No
CRA Certified: YesWealthsimple Tax is a 100% free tax return software that is packed with features delivered through a simple, user-friendly interface. Of the free versions of software reviewed today, Wealthsimple Tax offers the most features for $0, including auto-filling your return, express notice of assessment, and refiling, which lets you make adjustments to your return after you file. Wealthsimple Tax also has a smart search and tutorial mode, which helps you determine which forms apply to your tax situation.
If you have a straightforward return and are looking for a free online tax software with plenty of features but no upsells, Wealthsimple Tax is an excellent choice.
What’s also great is Wealthsimple Tax is a “pay what you want” tax software. That means that if you’ve been affected financially by COVID-19, you can still file your taxes free of charge to get access to your refund sooner.
How to Choose the Best Tax Software
Before we dive into the particulars of each online tax return software, let’s talk about what to look for when choosing the best tax return software in Canada. There are five important components to consider: CRA Certification, cost, security, features, and add-ons.
CRA Certified
The first and most important feature of any tax return software is that it is NETFILE certified by the Canada Revenue Agency (CRA). NETFILE certified software allows you to submit your income tax return directly from the tax return software website. There are currently 11 online products and 13 desktop products certified by the CRA in Canada.
If your tax software is not CRA certified, you’ll have to print out your tax forms and physically mail them in, which will significantly delay the time between filing and receiving your refund.
Cost
Some online tax return software is completely free, while others offer pricing tiers. These tiers usually include a free version for students and low-income earners, a mid-range version for simple returns, and a more expensive version for Canadians who need additional functionality (e.g. small business owners).
While the basic three tiers exist for most of the programs we’re going to review, the range of cost will vary considerably.
Security
Online tax return software handles sensitive personal information like your social insurance number, so it’s important to make sure their security is up to snuff. You’ll need to do your research on this topic since the CRA doesn’t verify the security of the websites it certifies.
If you aren’t sure, choose a familiar brand name.
Features
While all online tax return software will allow you to file your income tax return online, some have additional features that streamline the filing process. Some of these features, like auto-importing information from the CRA, reduces the time it takes to file your taxes. Other features make filing your taxes more straightforward in the future, such as offering an express notice of assessment and storing your returns for future use.
Add-ons
Some online tax return software sell extra add-ons like having your return reviewed by a real-life tax professional, audit protection, and last will and testament planning. These add-ons come at an additional cost, and you can choose them at the end of the tax filing process.
When Does NETFILE Open for 2021?
NETFILE opens on Monday, February 22, 2021, for filing personal tax returns for the 2020 tax year. To file online, you must use CRA-certified tax-filing software products that use the NETFILE web service. You can also file previous tax years back to 2015, but returns for tax years earlier than 2014 must be done on paper.
The Bottom Line
Each online tax software service has strengths and weaknesses, so the best tax return software in Canada really depends on your personal preferences. The only way to determine which software works best for you is to try them out for yourself! But if you’re feeling overwhelmed, one of the tried, tested, and true online software, such as TurboTax, might be your best bet.
Finally, as you’re sifting through receipts and tallying up expenses this tax season, don’t forget to check out our Guide to Tax Season in Canada 2021! Just a few minutes of reading could save you some serious dough.
I am about starting tax preparation practice for clients. Which version software will serve my purpose best?
I’ve used StudioTax for free for the last 8 years. Highly recommended. Now you have to pay $15 for it’s use so it’s no longer free.
Someone mentioned there needs to be a list of offline tax softwares. GenuTax is the only good one after StudioTax (which was also offline). All others are online.
I purchased the unlimited license for FutureTax this year. I had tested the software and found it easy to move through. You need to know more about tax preparation using this software than UFile or TurboTax. The software appears to work well but there are issues with the pension splitting. I had run returns for a couple in UFile for a client and then ran it in FutureTax. UFile came up with a balance owing of $900 for both and FutureTax had a balance owing of $2,000+. When I contacted UFile, their responses were almost rude…three or four word replies. I had taken a great deal of time identifying where the differences were and asked questions, and it wasn’t until I told them how rude I thought they were being in their responses, that I received an appropriate response.
There was an issue with foreign pension that I had discovered where I had reviewed the Canada/Australia tax treaty, the CRA website, and spoken with a CRA representative whose area of expertise was foreign pension. FutureTax rep dismissed my information, telling me I was wrong.
I also noted that the information the software produced on Child Tax Benefit was incorrect and when I asked about that, they replied that the information wasn’t available from CRA. I questioned this response because it was April and I know that UFile was up to date.
My review is “Buyer Beware”. You get what you pay for and, at first glance, the software appears to be a great deal. Unfortunately, it is “buggy” and could cost you money in incorrect amounts payable or reduced refunds. As a tax preparer, it can also cost you your reputation. The low cost didn’t save me anything this year. In fact, it has cost me because I have had to double check every return I have completed for my clients.
Does Turbo Tax support quebec tax?
Can it import Studiotax data
Hi Robert,
Answer below from TurboTax’s website:
“When your free software package or offer supports the province of Quebec and is certified for NETFILE use, you are assured that your taxes will be processed in compliance with both CRA and Revenu Quebec procedures and rules. Ensure that both federal and provincial tax forms are included and, provided you meet CRA eligibility rules for electronic filing, your tax preparation package supports e-filing. When combined with direct deposit, you may see your refund, if you are entitled to one, in approximately eight business days.”
https://turbotax.intuit.ca/tax-resources/free-tax-filing/can-i-file-quebec-income-taxes-with-free-software.jsp
If you’ve been filing your taxes with StudioTax, it seems that you can import your tax information from the previous year.
I have been using GenuTax since 2003 when it was a onetime fee of $32 now it’s free. I love it and recommend it to everyone. I’ve done many individual and joint tax returns as well as final returns for deceased individuals all without difficulty. Northern living benefits and capital gains are simple. When you start a new year, your personal information is brought forward form the previous year, a big time saver. If you are setup with revenue Canada the software can auto load your information slips, great feature.
Your personal information stays with you.
I can not comment on their support as I have never needed it.
I recommend GenuTax without reservation.
I tried it this year and was actually greatly disappointed. It didn’t auto-load most of my information from the CRA, it’s very difficult to play with figures to optimize tax savings, and the UI is clunky. I was very disappointed.
Definitely it was the last year I was using ufile. Since June 1st I’m trying to connect to the site without any success. My password was changed by UFILE! No possibility to get a new password. No answer to my emails. Spent twice two hours on the phone to talk to someone. Somebody was supposed to get in touch with me. Nothing!!!! I saw similar messages on the community site with no answer from Ufile. Are they still in business?
Hi Michal,
UFile is still in business. If you having trouble logging in, I suggest reaching out again to their customer support. You could also tweet them on Twitter — that often works.
Which one of these programs would work best for a non-resident Canadian living in the USA (resident) with income canada-based and us based?
Hi Heather, the tax software platforms are pretty robust these days so TurboTax should do the trick. Best to use something like the “Assist & Review” so you have an expert on-call to guide you through the forms.
I started with TurboTax. Gave up when it refused to believe I was a non-resident with a non-Canadian spouse. If I wanted to pay extra to get over a bug that big and obvious, I’d just hire a professional.
Previous tax returns prepared by an accounting firm using TaxPrep. Not e-filed but filed in hard copy. Now that my financial affairs are much simpler I can prepare my own. Which of these programs allows me to import from the electronic version of my 2018 tax return which I have on my MacPro?
Hi David, TurboTax Free runs in your web browser, so any device – including your mobile phone – with a current web browser will work.
With the CRA’s Auto-fill my return, you can download your current year tax information directly from the CRA in just a few clicks and import I right into your return – this helps save you time! Just remember though, that some forms might not all be in the CRA yet, depending on when you start your return, so make sure you double check that the downloaded forms are the ones you expected.
what you need to do is give a list of OFFLINE tax softwares for canadians
BTW Genutax does not seem to have a split pension optimizer. which ones do OFFLINE
Apparently Simple tax was bought out by Wealthsimple (this year?) and there are changes to their privacy policy that has some users concerned. It’s worth looking deeper into this issue before proceeding with them.
Which software is compatible with Mac computers?
Also which ones have a pension splitting ?
Hi Jacquie, these tax solutions are web-based now and completely compatible with both Mac and Windows computers. They’ll all be able to handle pension income splitting.
Previous tax returns prepared by an accounting firm using TaxPrep. Not e-filed but filed in hard copy. Now that my financial affairs are much simpler I can prepare my own. Which of these programs allows me to import from the electronic version of my 2018 tax return which I have on my MacPro?
I have been using UFile since 2010. I used to find it very straight-forward even when I had more complicated issues, but in the last couple of years I was not as happy with it. Now they have multi-level pricing (you pay more for “priority Telephone, Chat and Email Support”, not sure where that leaves you with the cheaper version). It keeps getting more expensive every year. In order to get multi-level authentication they can’t just text you like everyone else, you have to download another Google app which I am basically forced to do since I have 8 years of personal data out there. I might try Studio Tax this year.
I too have been using UFile since 2010. I have investments and rental income. I continue to be happy with them but I typically do not need support. I pay for the software in December when it is discounted. So I paid $23.95 for my spouse and myself for my 2019 taxes. I do see that the Windows version is the same price at the cheapest level. I tried Studiotax a few years ago just to test it out, but didn’t file, since I had already paid for Ufile. I did love the Studiotax software though. Sometimes you just stick with what you know because of convenience and at this stage I’m confident that UFile calculates everything correctly.
Been using Turbo tax premier since 2011 and the navigation has improved immensely since then. Very much like the program and will continue to use for all four members of our family.
last two years of turbo tax standard has been a disaster, poor support, netfile errors. was a long time user, not anymore.
Un reliable software, columes not adding up right. terrible.
Well, now they are charging per return! Holy Cow! I’m not doing that. But what do I buy now?
I was tired of TurboTax support as well. I was using them for years and finally switched to CloudTax in 2018. It is completely free if you know what you’re doing. I love how easy it is. I liked Simple Tax too but I had to scroll and scroll with all my investment slips. CloudTax is simple and easy to follow.
I totally recommend CloudTax as well. I have been using them for the past two years and I love them 🙂
We’ve been using StudioTax for many years and we’ve found it accurate and easy to use. You can import the previous year information, has an ‘optimizer’ feature, asks you to check some entries/lines to make sure you don’t make mistakes or forget things, saves the info on my harddrive and not in the ‘cloud’ …. in a nut-shell, highly recommended.
I’m with you. Main advantage is file storage stays in your hard drive and not in the cloud. Clouds can become heavy and will eventually rain down everywhere…lol
I have been using Ufile for last few years but for 2015 tax year it was not doing auto transfers from dependants and 2017 version didn’t let me save anything.
Turbo is too complex and I’m not sure if Studio tax does fill out all the forms once you enter the data.
Studio Tax wins hands down in this comparison. Do you really want all your financial stuff to reside in the cloud waiting for some hacker to access it? Studio Tax is the only one that keeps all your stuff safe on your computer and not in the cloud and with auto-fill you can literally complete and file a return in a few minutes. In my case it took a bit longer since I had some foreign income to deal with. I highly recommend it.
In most cases, Studio Tax 2019 will cost you almost 40 CAD. It won’t start unless you upgrade your file viewer and the price is 38.99 CAD.
@Aleksej Panic
I believe you are mistaken or misinformed. I use the 64-bit Windows version of StudioTax. In NO case is a file viewer required. On my 17-inch laptop I set the display to 120 dpi as I spend a lot of time working on spreadsheets and I get more real estate at that resolution. When I start StudioTax a dialogue box lets me know that StudioTax prefers 96 dpi and that some forms may not display correctly. I click “OK” and continue.
I’m *not* in any way affiliated with StudioTax or BHOK IT Consulting, the firm which puts it out.
I have used StudioTax since 2014 to file multiple returns each year. I have never needed a file viewer of any kind. Nor have I had to spend a penny. I personally donate every year to support the developers. If StudioTax charged the same as the software sold at Staples or WalMart, I’d gladly pay — it’s that good!
So, bottom line, there is no file viewer needed and no money changes hands for the software.
Here’s the link to the main download page: https://www.studiotax.com/en/
Ive used Studio Tas for years. the cost this year for one adult and one couple was $0.
Just like every year.
Zero, not nearly $40
Problems even before getting to Simple Tax with CRA. Got to security question about my entry amount for Line 115 of 2017 return. What the …… are they serious? That line is for “other pensions and superannuation”, an entry usually empty on my returns or 0.00, which did not work, stopped me dead, and turned this into a (so far) 4 hour ordeal. So happens a trustee did my return leaving me no working copy to check obscure details like Line 115. I’ve seen security questions for, like, Total Income – Line 150 (which I DO have for 2017) that applies to all, and is easy to find; but this is insane. I read some broken English so-called “Help” sections that didn’t help. Always did my own returns, and at 70 now, it isn’t getting any easier, but this sort of problem is a non-starter.
StudioTax allows you to download the tax program and it’s free. I have yet to find free tax software that does that and that is important for me since I can check past returns without having to go online all the time. It’s the best software out there.
Studio tax, is accurate, easy to use and has auto filling feature. I am a senior
H & R BLOCK is now $29.99. I knew I should have filed before April 2019 before the increase….
I have been using UFile online for many years and this may be the last time. Had to lay twice and after 2 weeks of waiting for a resonate, they told me to keep my receipt and would credit me next year. I had an error code on my return and could not remit to the CRA. My forms has been fixed, after deleting all data and re entering it, now my spouses is getting the same error. And I even auto filled from the CRA to ensure all data was correct. I am a very frustrated customer and thinking of not using them next year. No iPhone support after hours or you get a message that they are having technical difficulties and to call later. Their telephone support is only open Monday to Friday’s 9 to 5???? During the tax season? Really????
I am a CA and I use simpletax.ca to do my taxes. It’s free but the last couple years I’ve voluntarily paid because I’m so pleased with the features.
I agree. I used turbotax for many years but last year I switched to simple tax and I prefer it. I also pay a voluntary fee because the program is worth it…and it is 100% Canadian.
Studio Tax has a lot of glitches, I would not recommend it.
I’ve used Studio Tax since 2014 and I never had any glitches.
I used MYTaxExpress and they do not offer refile in Canada, sadly, as I am guessing I am not the only one that missed the new Climate Action Incentive. So now I have to print off some paperwork and mail it in and hope that works.
If it does not work I will be very unhappy!!!
I will watch for ability to do Refile in future.
Im an older Canadian and I tried Turbo tax “free” online for the first time. Forget it!! Too complicated and poor instructions. I wanted to back out and take all my personal stuff, ph.#, sin# etc. out but they got it and I couldn’t get it back. Iknow, they are a
secure site, but I get very nervous as I still think the day will come when we will regret having all our personal info sitting in the
digital world. But, in fairness I will try others and I will keep an open mind. Hope I find an easy simple software that works for
me. Tks.
Studio Tax is just what you need. All your information stays in your computer because it’s a native program (installed in your hard drive and tax files stays in your hard drive). I’m a satisfied user, not connected with BHOK IT at all. I actually make a donation of $5 every year since I started using them for my wife’s and mine’s returns. Donations are purely voluntary, but I do it as a show of appreciation and also hopefully helping keep the company afloat, See comment from Rob Parson for more info on this software.
Great article!
I know that TurboTax has a refund guarantee attached to their products, and they launched a mobile app just the other day – saw it on the Apple iTunes store.
Are any of these compatible with Apple?
StudioTax has an Apple version.
I thought I should mention StudioTax offers auto pension splitting, as well as a refund optimizer, both of which you list under “Features” for several of the other programs in your article. Disclaimer, I am not connected with StudioTax in any way, other than as a satisfied user of many years standing.
I found this article after doing a search for “Studio Tax 2019” to download the current-year version. First, I’ll mention that I’m *not* in any way affiliated with StudioTax or BHOK IT Consulting, the firm which puts it out. I’m writing this because I’ve used the software for over 5 years and I’m extremely impressed with the product.
StudioTax (completely free) is available for Windows, MacOS, Apple iOS (iPad and iPhone) and Android. All versions are certified by CRA. The iOS version is available on the Apple store while the Android version can be downloaded from the Google Play store. All versions can be used to prepare up to 20 returns (a CRA limitation) per device.
I have used StudioTax since 2014 to file multiple returns. The data files are stored on my laptop, with copies in my DropBox for backup purposes. Each return is printed to PDF and saved so that I can review any return at any time by opening the PDF file. Prior to 2014 I used commercial software (TurboTax and UFile) but once I started using StudioTax I was hooked! The feature set is on par with the paid software, and if you’re a professional tax preparer then StudioTax Enterprise (paid software) can handle an unlimited number of returns.
StudioTax is developed *by* Canadians, *for* Canadians. I personally donate every year to support the developers. If StudioTax charged $20 or $25 for the software, I’d gladly pay — it’s that good!
Hi, would Studio Tax work as a family return. I’ve been using UFile and previously Turbo Tax which looked at spousal returns etc. Two adult children included.
Studio Tax is no longer free…
True it’s $15 for 20 returns but sounds like from the comments that it’s well worth it
I have been using Simple Tax for a number of years and voluntarily paying $10 – 15
Been very satisfied but am concerned with their ownership by WealthSimple and that it is done on-line rather than Studio Tax off-lines
Will give Studio a try this year
Studio Tax website says is still free if total income is under $20000 (line 115000) or residence is Northwest Territories, Yukon or Nunavut
Otherwise $15 for 20 returns Then you are issued a “license #” for ( I THINK) one computer only Can anyone confirm if license is good on more than one computer. I use a laptop to visit seniors homes to do volunteer returns and use a desktop at my house