If you run a single-member LLC and file a Schedule C, the cheapest tax software that actually works is probably not the one with the biggest ad budget. If your LLC has elected S-corp status or has two or more members, most of the software your freelancer friends recommend can't file your return at all. That's the trap: LLC owners shop tax software by price when the real filter is entity type.
For a single-member LLC filing Schedule C, FreeTaxUSA is the strongest default: federal filing runs $0 with a $15.99 state return, and Schedule C, Schedule SE, and QBI forms are included without an upsell, as of mid-2026. For LLCs that have elected S-corp status or have two or more members, TaxAct Business is the best solo-scale DIY fit, because it's one of the few products here that actually files Form 1065 or Form 1120-S at LLC-owner-friendly prices. H&R Block Self-Employed suits Schedule C filers who want built-in live support, and TurboTax is the premium, higher-cost pick when expert handoff or QuickBooks continuity matters more than price.
Why your LLC's tax status picks the software before your budget does
An LLC is a legal wrapper, not a tax form. The IRS doesn't have an “LLC” tax return — it has default rules that decide which return your LLC actually files, and those defaults change everything about which software can help you. A single-member LLC that hasn't elected corporate treatment is disregarded for federal tax purposes, so its income and expenses land on the owner's Form 1040 through Schedule C, just like a sole proprietor. A domestic LLC with two or more members is, by default, treated as a partnership and files Form 1065, issuing a Schedule K-1 to each member. Either kind of LLC can also elect to be taxed as a corporation — most commonly an S-corp — which triggers a separate Form 1120-S and its own K-1s, per IRS guidance current as of mid-2026.
That single fork in the road is why a “best tax software” list that ignores entity type isn't very useful. FreeTaxUSA and TaxSlayer are personal-return products; they can file your Schedule C but cannot file a partnership or S-corp return. TaxAct and TurboTax offer separate business-return products that can. One more solo-specific detail worth knowing: a disregarded single-member LLC with no employees generally doesn't need an EIN for federal filing — you can file under your own Social Security number — though many banks and states will still want one.
The decision tree: what return does your LLC actually file?
Answer these three questions before you compare a single price tag.
1. Is it a single-member LLC with no corporate election?
If yes, you're almost certainly filing Schedule C on your personal return. Start with FreeTaxUSA if you're comfortable doing it yourself, TaxSlayer Self-Employed if you want more built-in guidance at a moderate price, or H&R Block Self-Employed if you want live or AI-assisted support included in the plan.
2. Does the LLC have two or more members with no corporate election?
If yes, it's a partnership by default and needs a Form 1065 plus K-1s before anyone's personal return is complete. TaxAct is the main solo-scale DIY option here; FreeTaxUSA can accept a K-1 on your personal return but won't prepare the 1065 itself.
3. Has the LLC elected S-corp treatment?
If yes, the entity files Form 1120-S separately from your personal 1040. TaxAct's DIY S-corp product is the lower-cost route; TurboTax's expert-assisted and full-service business products are the higher-cost route. FreeTaxUSA still only handles the K-1 side of your personal return.
A fourth branch — a C-corp election — exists but is rare for solo operators and is largely a conversation for a CPA rather than a software choice.
Single-member LLC, Schedule C: the software breakdown
FreeTaxUSA
Pricing as of mid-2026: $0 federal, $15.99 state. Federal filing includes Schedule C, Schedule SE, the QBI forms (8995/8995-A), Form 3800, and Form 4797 without raising the price — a rarity in this category. It's a strong fit for anyone whose books are already clean. The limitation: it cannot file Form 1065 or Form 1120-S, and its optional Pro Support add-on is priced inconsistently across FreeTaxUSA's own pages — the pricing page lists $64.99 while a separate FreeTaxUSA community page lists $44.99 — so confirm the live number before paying for it.
TaxSlayer Self-Employed
Pricing as of mid-2026: $74.99 federal plus $47.99 state. It includes access to tax pros with self-employment expertise, extra 1099/Schedule C guidance, and quarterly estimated-payment reminders, which is genuinely useful if you owe estimated taxes. The limitation: TaxSlayer's own product page notes that business tax returns and other specialized situations may not be included in “all tax situations,” and it is not a path to a 1065 or 1120-S.
H&R Block Self-Employed Online
Pricing as of mid-2026: $130 federal plus $49 per state. It bundles AI Tax Assist and live tax-pro help with business income and expense reporting. The limitation is straightforward: it's notably pricier than FreeTaxUSA or TaxSlayer for a comparable Schedule C return, so you're paying specifically for the included support.
TurboTax Desktop Home & Business
Pricing as of mid-2026: $130, including five federal e-files and one state program download, with state e-file filed separately. It covers self-employment income, 1099-NEC/MISC entries, vehicle and home-office deductions, and can generate W-2/1099 forms if you pay contractors. The limitation: the desktop product is Windows-only, and TurboTax's online business pricing is explicitly variable based on forms and filing timing rather than a fixed quote.
Multi-member LLC or S-corp election: the software breakdown
TaxAct Business
DIY pricing as of mid-2026: Schedule C/sole proprietor $109.99 plus state; Form 1065 partnership $159.99 plus state additional; Form 1120-S S-corp $169.99 plus state additional. Xpert Assist add-ons and Full Service tiers exist for 1040, 1065, and 1120-S returns if you want a professional review without going all the way to a CPA. The limitation: exact state add-on pricing for business returns isn't fully itemized on TaxAct's own pages, so confirm your state's fee at checkout before assuming a final total.
TurboTax Business (Expert Assist and Full Service)
As of mid-2026, TurboTax's Expert Assist Business product for S-corps and partnerships lists at $639 plus state additional, and Expert Full Service Business lists at $1,549 plus state additional — meaningfully more than TaxAct's equivalent DIY or full-service entity products. The trade is depth of hand-holding: Full Service hands the return to a tax expert rather than asking you to enter K-1 allocations, basis calculations, and a defensible salary figure yourself.
Where FreeTaxUSA and TaxSlayer fit in this branch
They don't file the entity return, full stop. If your LLC's 1065 or 1120-S gets filed elsewhere — through TaxAct, TurboTax, or a CPA — FreeTaxUSA can still be a low-cost way to enter the resulting Schedule K-1 on your personal 1040.
| Software | Best for | Starting price (mid-2026) | Files 1065/1120-S? |
|---|---|---|---|
| FreeTaxUSA | Single-member LLC, Schedule C | $0 federal + $15.99 state | No — K-1 entry only |
| TaxSlayer Self-Employed | Budget Schedule C with more guidance | $74.99 federal + $47.99 state | No |
| H&R Block Self-Employed | Schedule C with included live support | $130 federal + $49 state | No |
| TaxAct Business | Multi-member LLC or S-corp, DIY | $159.99 (1065) / $169.99 (1120-S) + state | Yes |
| TurboTax Business | S-corp/partnership, expert or full service | $639 assisted / $1,549 full service + state | Yes |
Real numbers: three solo LLC owners, three different price tags
Persona A: $45,000 side-hustle, single-member LLC, no election
This is a Schedule C return with clean, simple books. FreeTaxUSA's total lands at $15.99 before any optional add-ons — Deluxe Support adds $7.99, Audit Defense adds $19.99. There's rarely a reason to pay more here unless the owner specifically wants live support baked in, in which case H&R Block Self-Employed at $130 plus $49 state becomes the alternative.
Persona B: $90,000 consultant, single-member LLC, wants some guidance
Still Schedule C, but the owner wants more hand-holding than a bare-bones product offers. TaxSlayer Self-Employed totals $122.98 ($74.99 federal + $47.99 state) as of mid-2026. H&R Block Self-Employed totals $179 ($130 + $49 state) and adds AI Tax Assist plus live tax-pro access. The roughly $56 gap buys more built-in support, not a materially different return.
Persona C: $180,000 agency-of-one, LLC elected S-corp, owner on payroll
Now there are two returns: the entity's Form 1120-S plus K-1, and the owner's personal 1040. TaxAct's DIY 1120-S runs $169.99 plus state additional; its Full Service S-corp tier runs $299 plus $69 for all states as of mid-2026. TurboTax's Expert Assist Business for S-corps runs $639 plus state additional, and its Full Service Business tier runs $1,549 plus state additional. The DIY-versus-expert gap here is in the hundreds to over a thousand dollars — and it should track how confident the owner is in their reasonable-salary figure, payroll filings, and basis tracking, not just their comfort with software.
Skip it if…
Skip FreeTaxUSA if your LLC has elected S-corp status, has multiple members, or your books aren't reconciled — it will accept a K-1 but won't untangle mixed personal and business spending. Skip TaxSlayer or H&R Block's consumer products for the same entity-return reasons; they're built for Schedule C, not Form 1065 or 1120-S. Skip TaxAct's DIY entity products if you're not confident entering K-1 allocations, officer compensation, and basis figures correctly yourself — that's where Xpert Assist or Full Service, or a CPA, earns its cost. Skip TurboTax's premium business tiers if price sensitivity is high and you or your bookkeeper are comfortable with a DIY entity return at TaxAct's lower price point instead.
Where tax software fits in your financial OS
Tax software lives in the Foundation layer of a solo business's financial OS — it's the once-or-twice-a-year filing step, not the daily operating system. It only works well when the layers underneath it are clean. If your books mix personal and business spending, no software fixes that at filing time. Pair whichever product you choose with clean bookkeeping in QuickBooks or FreshBooks, and keep tax reserves separate from operating cash in a dedicated account like the one covered in our Mercury review. If you're paid through platforms that issue 1099-Ks, our 1099-K explainer covers how that reporting interacts with your Schedule C totals. For the self-employment tax mechanics underneath all of this, see our self-employment tax guide.
What's changing for 2026 that LLC owners should watch
The Form 1099-NEC reporting threshold is shifting. For payments made in 2025, filed in early 2026, the reporting threshold is $600. For payments made after December 31, 2025 — meaning most tax-year-2026 payments filed in early 2027 — the threshold rises to $2,000. That doesn't change whether you owe tax on the income; it changes only who's required to send you a form. Keep tracking every dollar of business income yourself regardless of which 1099s land in your inbox.
Entity elections are a bigger decision than a software subscription. If you're weighing an S-corp election, multi-state filings, or a late election, that's a conversation for a CPA or enrolled agent — the tax-prep software in this piece can execute the filing, but it won't tell you whether the election is right for your numbers.
Bottom line
Start with your entity type, not your budget. If you're a single-member LLC filing Schedule C, FreeTaxUSA is the cheapest software that does the job properly, TaxSlayer and H&R Block are reasonable upgrades if you want more built-in guidance, and TurboTax is the premium, brand-familiar option. If your LLC has elected S-corp status or has multiple members, TaxAct is the most affordable way to DIY the entity return, and TurboTax's expert-assisted or full-service tiers are the higher-cost option when you'd rather hand the return to someone else. None of these products replace a CPA when your situation gets genuinely complicated — they replace the CPA bill only when your situation is simple enough not to need one.