What is the best tax software for filing your taxes in 2025?
Asharam Swain- 3 days ago
- 7 min read
Filing income taxes in 2025 requires reliable, user-friendly, and cost-effective software that can handle diverse income types and provide expert assistance when needed. The complexity of tax regulations is increasing, making it crucial for taxpayers to use tools that simplify the process, reduce errors, and offer comprehensive support. From salaried individuals to business owners and crypto investors, tax software should cater to a wide range of tax scenarios. The best tax software will not only ease the process of filing but also ensure compliance with the latest tax laws. In India, TaxBuddy and ClearTax are among the top platforms that stand out for their features, affordability, and ease of use. Both platforms offer unique advantages, but selecting the right one depends on your specific tax filing needs. This detailed comparison will help you choose the best tax filing solution in 2025.
Table of Contents
What Makes Tax Software the Best for Filing Taxes in 2025?
As we move into 2025, the demand for tax software that combines ease of use with robust features is at an all-time high. The best tax software for the year will integrate several key features to cater to the diverse needs of taxpayers. One of the most critical features is AI-powered automation, which can auto-fill forms, minimizing errors and saving time. With tax laws evolving and becoming more complex, the ability to handle multiple income sources, including salaried income, business earnings, capital gains, and crypto income, is essential.
Additionally, expert assistance is a vital feature that users should look for, especially for those with complex tax filings. Post-filing support, including assistance with notices, is also crucial for ensuring that taxpayers don’t face any post-filing issues.
In 2025, mobile accessibility is another important factor. Many users prefer to file taxes on-the-go, and having a mobile app that provides a full suite of filing options, including document uploads and e-verification, is increasingly becoming the norm. The best tax software will be flexible enough to accommodate everything from simple salaried returns to more complex business and foreign income filings.
TaxBuddy vs ClearTax: Pricing Comparison
Pricing is a significant factor when choosing the best tax software for 2025. Both TaxBuddy and ClearTax offer various pricing plans depending on the type of income and the level of support required. Here's how the two compare:
Income Type / Plan | TaxBuddy (₹/year) | ClearTax (₹/year) |
Salary + 1 House Property (Self-filing) | ₹699 | ₹199 – ₹999 |
Salary + Multiple House Properties | ₹799 | ₹638 – ₹2,129 |
Business / Professional Income | ₹1,599 | ₹199 – ₹2,129 |
Capital Gains (Indian) | ₹1,999 | ₹788 – ₹2,629 |
Capital Gains (Foreign + Indian) | ₹1,999 | ₹1,574 |
F&O / Speculative Income | ₹2,999 | Not Available |
Crypto Income | ₹2,999 | Not Available |
NRI / Foreign Income | Not Available (DIY) | Not Available (DIY) |
Expert-Assisted Filing (Salary + 1 HP) | ₹999 | ₹1,999 |
Expert-Assisted Filing (Business Income) | ₹2,499 | ₹4,999 |
Expert-Assisted Filing (Capital Gains) | ₹2,999 | ₹3,499 |
Expert-Assisted Filing (Crypto Income) | ₹4,499 | ₹6,499 |
Expert-Assisted Filing (NRI / Foreign Income) | ₹4,499 | ₹6,499 |
While ClearTax offers some affordable DIY filing options, its pricing for more complex returns or expert-assisted filing is generally higher than TaxBuddy. TaxBuddy's pricing plans are often more transparent and provide value, especially when dealing with complex income sources like F&O trading or crypto income.
Key Features and Support for Tax Filing in 2025
TaxBuddy and ClearTax offer several useful features for tax filing in 2025, but there are distinct differences in how they cater to different needs:
AI-Driven Automation: Both platforms offer AI-powered auto-fill features, but TaxBuddy goes a step further by integrating data from a wider variety of sources, ensuring more accurate and faster tax filings. ClearTax also supports auto-filling but with a slightly more limited set of features.
Support for Crypto and Business Income: TaxBuddy provides comprehensive support for filing taxes on crypto income and business income. It includes special assistance for F&O and crypto, which ClearTax lacks or only offers at a higher cost.
Post-Filing Support: TaxBuddy stands out with its free post-filing support, including help with notices and assessments, which is not typically included with ClearTax’s plans. This makes TaxBuddy a more attractive option for those needing additional help after filing.
Mobile App: Both platforms offer mobile apps, but TaxBuddy’s mobile app stands out for its comprehensive features, allowing users to file taxes, upload documents, and complete e-verification directly from their smartphones.
How TaxBuddy Stands Out in 2025
TaxBuddy’s standout features make it a preferred choice for many taxpayers in 2025.
Comprehensive Support for Various Incomes: Whether you're a salaried employee, freelancer, business owner, or crypto investor, TaxBuddy has plans that cover a wide range of income types, including support for complex scenarios like capital gains and F&O trading.
AI-Driven Automation: TaxBuddy’s advanced AI technology auto-fills forms based on data pulled from Form 16, bank statements, and other documents, making the filing process faster and reducing errors.
Expert Assistance and Post-Filing Support: One of the biggest advantages of TaxBuddy is its free expert assistance included with many plans. Additionally, their post-filing support for handling notices and assessments ensures that users aren’t left in the dark after filing their returns.
Competitive Pricing: TaxBuddy’s pricing is transparent, and its plans often offer better value compared to ClearTax, especially for users with more complex returns.
Other Notable Tax Filing Apps in 2025
While TaxBuddy and ClearTax lead the market, other apps like myITReturn and Tax2Win are also noteworthy. Here's a brief look at each:
myITReturn: Ideal for simple salaried returns, but lacks expert support and has limited features compared to TaxBuddy.
Tax2Win: Offers expert-assisted filing for businesses and foreign income but does not support crypto, making it less versatile than TaxBuddy.
Conclusion
For Indian taxpayers in 2025, TaxBuddy is the leading choice, offering a comprehensive solution for tax filing. Its AI-powered automation, expert assistance, and competitive pricing make it an all-in-one platform for managing your taxes efficiently. Whether you're filing as a salaried individual, freelancer, investor, or business owner, TaxBuddy ensures you have the tools and support to make the filing process easier and more accurate.
FAQs
Q1. Does TaxBuddy offer both self-filing and expert-assisted plans for ITR filing, or only expert-assisted options?
Yes, TaxBuddy offers both self-filing and expert-assisted plans. Self-filing plans are ideal for individuals with straightforward tax returns, such as salaried employees. On the other hand, expert-assisted plans are perfect for individuals with more complex income sources, such as business income, capital gains, or crypto income. TaxBuddy ensures that users can choose the plan that best fits their needs, allowing flexibility in filing options.
Q2. Which is the best site to file ITR?
TaxBuddy is one of the best platforms for filing Income Tax Returns (ITR). It stands out due to its AI-driven automation, which significantly simplifies the filing process by auto-filling forms from multiple sources like Form 16 and bank statements. Moreover, TaxBuddy’s expert assistance for complex returns ensures a seamless and error-free experience, making it an excellent choice for both simple and advanced tax filing needs.
Q3. Where to file an income tax return?
Income tax returns in India can be filed online through platforms like TaxBuddy. TaxBuddy offers a user-friendly interface, providing step-by-step guidance to ensure compliance with the latest tax regulations. Whether you're a salaried individual, business owner, or investor, TaxBuddy ensures that the filing process is straightforward and hassle-free, all from the comfort of your home.
Q4. Can I upgrade from self-filing to expert-assisted filing on TaxBuddy?
Yes, TaxBuddy allows users to seamlessly upgrade from a self-filing plan to an expert-assisted plan at any point during the filing process. This flexibility ensures that if your tax situation becomes more complex or you need assistance from a tax expert, you can easily switch to a plan that suits your needs. The upgrade process is quick and simple, ensuring minimal disruption to your filing.
Q5. Does TaxBuddy help if I get an income tax notice?
Yes, TaxBuddy provides free expert assistance for handling income tax notices. This support is available with many of the assisted filing plans, ensuring that you won’t be left on your own if the tax department sends a notice. TaxBuddy’s experts will help you understand the notice and guide you through the process of responding or resolving the issue, offering peace of mind even after you have filed your taxes.
Q6. Which app is better for cryptocurrency tax filing?
TaxBuddy is a standout platform for crypto tax filing. It provides expert-backed filing support for cryptocurrency income, including both Indian and foreign crypto transactions. Unlike other platforms that may charge extra for crypto tax filing, TaxBuddy includes it in its plans at a reasonable price. Additionally, TaxBuddy offers post-filing assistance, helping you manage any future queries or audits related to your crypto earnings.
Q7. Is TaxBuddy’s mobile app easy to use?
Yes, TaxBuddy’s mobile app is designed to be highly user-friendly. It allows you to file your taxes directly from your mobile device, upload essential documents like Form 16 and bank statements, and complete the e-verification process. The app’s intuitive design and seamless interface ensure a hassle-free experience, making it easy to file taxes on-the-go, whether you're at home or traveling.
Q8. How does TaxBuddy’s pricing compare to ClearTax?
TaxBuddy offers more transparent and competitive pricing, especially for complex returns. For example, its expert-assisted plans for business income or crypto income are priced lower than ClearTax, offering better value. TaxBuddy's fixed pricing structure means there are no surprise charges, whereas ClearTax tends to have variable pricing based on the complexity of the filing. For taxpayers looking for comprehensive support at a lower cost, TaxBuddy is the more affordable option.
Q9. Can I upload my Form 16 and bank details on TaxBuddy?
Yes, TaxBuddy allows you to easily upload Form 16, bank statements, and other required documents through its web and mobile platforms. This feature streamlines the filing process, reducing the chances of manual errors and speeding up the overall tax return process. The auto-fill feature will then pull the data from these uploaded documents to pre-fill your tax return.
Q10. Is TaxBuddy suitable for small businesses and freelancers?
Yes, TaxBuddy is ideal for small businesses and freelancers. It offers tailored plans for business income, freelance work, and self-employment, making it a great choice for individuals who have income from multiple sources. The platform also provides expert assistance for more complex business filings, including tax calculations for GST and capital gains, ensuring that freelancers and small businesses can file accurately and on time.
Q11. Can I e-verify my return with TaxBuddy?
Yes, TaxBuddy offers easy e-verification options, allowing you to authenticate your return online via Aadhaar OTP, net banking, or bank account details. This feature simplifies the process of verifying your ITR, making it quick and secure. The TaxBuddy mobile app also allows you to complete the e-verification directly from your smartphone, making it incredibly convenient for users.
Q12. Is there any post-filing support from TaxBuddy?
Yes, TaxBuddy provides free post-filing support as part of its expert-assisted filing plans. This includes helping you resolve issues like tax notices, ITR re-assessment, and other queries related to your filed return. This feature sets TaxBuddy apart from many other platforms, as it ensures that you receive continuous support even after submitting your tax return, offering peace of mind for taxpayers who may face post-filing challenges.
Related Posts
See AllOpening a bank account is an essential step in managing your finances. In India, it requires submitting specific documents to comply with...
Filing your Income Tax Return (ITR) when you have rental income and home loan deductions involves navigating several essential steps....
Filing Indian income tax returns (ITR) as a Non-Resident Indian (NRI) in 2025 comes with specific considerations. From determining your...
Comments