Before diving into the detailed analysis, it's worth noting that both TurboTax Home & Business and H&R Block Premium & Business represent the high-end offerings from the two most established names in tax preparation software. Each product aims to serve small business owners, freelancers, and self-employed individuals with varying strengths and pricing structures that could impact your decision for the 2024 tax season (filing in 2025).

Pricing Structure and Value Proposition

The cost of tax preparation software represents a significant consideration for small business owners and self-employed individuals who are often budget-conscious. TurboTax Home & Business comes with a steeper price tag than its H&R Block counterpart, reflecting its market-leading position and premium features.

TurboTax Home & Business is priced at $130 for the desktop download version, which includes five federal e-files and one state download. For the comparable online version (now called TurboTax Premium), users pay $119 for federal filing plus $59 per state. This consolidation of the Premium and Self-Employed versions into one TurboTax Premium plan has made it a more compelling option for self-employed individuals who previously had to pay for separate packages.

H&R Block's pricing strategy positions it as the more affordable option. While the Premium & Business desktop version's exact price isn't directly specified in the search results, the downloadable Self-Employed version costs $79.20 with free federal e-file and $19.95 for state e-file (with the first state free). The online equivalent, H&R Block Self-Employed, is priced at $115 for federal filing plus $49 per state. This consistent pricing advantage makes H&R Block particularly attractive for cost-conscious filers who don't want to compromise on essential features.

The price difference becomes more significant when considering multi-state filings or when multiple returns need to be processed, making H&R Block's more affordable packages potentially save hundreds of dollars for some taxpayers.

Feature Comparison and Business Support

Both platforms offer robust features specifically designed for self-employed individuals and small business owners, though they approach business tax preparation with slightly different emphases.

TurboTax Home & Business Features

TurboTax Home & Business provides an extensive suite of tools tailored to self-employed professionals. The software includes specialized guidance for vehicle tax deductions, determining whether actual expenses or standard mileage rates offer better tax advantages. The expense categorization feature searches across expense categories and suggests additional tax deductions that might otherwise be overlooked.

For small business owners, TurboTax excels at identifying industry-specific deductions, helping users spot overlooked tax write-offs particular to their field. The platform accommodates multiple income sources, making it especially valuable for independent contractors and freelancers receiving 1099-MISC and 1099-NEC forms. New business owners receive additional guidance for finding start-up tax deductions, while rental property owners benefit from tools like the median monthly rent calculator to determine fair market values.

TurboTax demonstrates particular strength in its integration capabilities. The software can import personal income and expenses from Credit Karma and business income and expenses from QuickBooks Online. This seamless data transfer represents a significant advantage for business owners already using the Intuit ecosystem of financial products. The platform supports various business structures including LLCs, REMICs, sole proprietorships, partnerships, and S corporations.

H&R Block Premium & Business Features

H&R Block Premium & Business takes a slightly different approach by installing two separate programs: H&R Block (for personal taxes) and H&R Block Business. This separation creates a clearer distinction between personal and business finances, which some users may prefer.

The business component allows users to create their own tax forms, such as W2s and 1099s, and supports partnership, corporation, and nonprofit returns. This comprehensive business coverage makes it particularly valuable for small business owners who need to prepare both business-specific forms and personal returns.

For self-employed individuals, H&R Block provides tools for claiming business income and expenses on Schedule C, home office deductions, and managing rental property income. The software includes thorough guidance for deductions related to freelance work, such as mileage for work-related travel and long-term assets.

Both platforms provide comparable functionality for core tax preparation tasks, but TurboTax offers more seamless integration with financial software, while H&R Block provides more clarity with its separate business program component.

User Experience and Interface Design

The user experience represents one of the most significant differentiators between these two platforms, with each taking a distinct approach to guiding users through the tax preparation process.

TurboTax is widely regarded as setting the standard for user-friendly tax software. It employs an interview-style approach that walks users through simple questions with minimal tax jargon. The interface includes encouraging phrases throughout the process, providing emotional support during what can be a stressful task. This attention to user psychology helps explain why many find TurboTax exceptionally easy to navigate despite the complexity of tax law.

The TurboTax interface has been described as “smooth, intuitive and well designed” with straightforward document importing and step-by-step guidance. The software never drops the curtain between users and IRS forms; instead, it populates forms behind the scenes as users answer questions in plain language. This approachable methodology makes TurboTax particularly suitable for less tax-savvy filers.

H&R Block offers a more straightforward, cleaner, and less distracting interface compared to TurboTax. While it may lack some of the engaging elements of TurboTax, many users appreciate its more direct approach and modern navigation system. The software provides clear instructions and helpful guidance, though some reviewers note that certain explanations can be somewhat brief.

A notable aspect of H&R Block's business software is that it provides direct links to government instructions, allowing users to see the full official language if desired. This feature appeals to those who prefer to reference original IRS guidance while completing their returns.

Both platforms allow seamless document uploading and data transfer from previous years, but TurboTax generally receives higher marks for its more polished user experience, while H&R Block appeals to those who prefer a more straightforward, less cluttered interface.

Support Options and Professional Assistance

Access to expert help represents a crucial consideration for business tax filers who may encounter complex situations requiring professional guidance.

H&R Block distinguishes itself with its extensive support options included in paid packages. All paid H&R Block packages include access to Tax Pro Chat and AI Tax Assist. Users can engage in unlimited chat or screen-sharing sessions with human tax professionals at any point while preparing their return—a relatively unique offering in the tax software market. This immediate access to expert guidance provides significant value, especially for self-employed individuals navigating complex tax situations.

For those requiring more comprehensive assistance, H&R Block offers a Tax Pro Review service starting at $55, which provides a one-on-one review of the completed return with a tax professional who checks for accuracy and potentially missed deductions or credits. The professional can also sign and e-file the return if requested.

Perhaps H&R Block's most significant advantage is its physical presence, with approximately 10,000 offices worldwide. This extensive network offers an important safety net for users who begin online but decide they need in-person assistance. In-office and virtual appointments start at $89.

TurboTax provides its own support framework, though it functions differently. All users, regardless of package type, have access to Intuit Assist, TurboTax's AI-powered chatbot. The platform offers a searchable knowledge base, forums, calculators, and video tutorials for general guidance. However, access to human tax professionals typically requires upgrading to TurboTax's Live Assisted packages, which range from $69 to $209 plus state fees of $54 to $64. This represents a significant additional cost compared to H&R Block's inclusion of human support in standard paid packages.

For those already comfortable with tax preparation who rarely need human assistance, TurboTax's extensive self-help resources may be sufficient. However, for those who value the security of readily available human expertise, H&R Block provides more comprehensive support options at a lower total cost.

Decision Factors for Small Business Owners

Several key factors should influence a small business owner's choice between these two tax preparation powerhouses.

Integration with existing financial systems represents a significant consideration. TurboTax offers seamless integration with QuickBooks and other Intuit products, making it particularly valuable for business owners already using these tools. The ability to import transactions directly from connected accounts streamlines the tax preparation process considerably.

Cost sensitivity varies among small business owners. H&R Block consistently offers lower prices across comparable product tiers, with the downloadable Self-Employed version costing approximately $40 less than the TurboTax equivalent. This price advantage becomes more pronounced when considering multiple returns or multi-state filings.

Complexity of business structure should also factor into the decision. TurboTax excels at guiding freelancers and independent contractors through deductions specific to their industries. H&R Block's separate business program may better serve those with more complex business structures like partnerships or S corporations that require specific business forms like W-2s and 1099s.

Support preferences represent another crucial consideration. Those who value readily available human assistance will appreciate H&R Block's inclusion of tax professional access in all paid packages. Those comfortable with AI assistance and self-service resources might find TurboTax's approach sufficient for their needs.

Familiarity and comfort with the platform should not be underestimated. Long-time users of either platform may find the learning curve of switching outweighs potential benefits. As one reviewer noted, “After several decades, TurboTax continues to be my choice for filing federal and state taxes. It's ability to bring in last year's tax info is a huge time saver”.

Conclusion

The choice between TurboTax Home & Business and H&R Block Premium & Business ultimately depends on individual priorities and preferences. TurboTax offers a superior user experience with intuitive navigation, extensive guidance, and seamless integration with other financial tools, particularly beneficial for those already in the Intuit ecosystem. Its comprehensive support for self-employed deductions and industry-specific guidance makes it especially valuable for freelancers and independent contractors.

H&R Block presents a more cost-effective solution with cleaner interface design and significantly more inclusive human support options. Its extensive physical presence provides an important safety net for those who may need in-person assistance, while its separate business program offers clarity for those managing more complex business structures.

For 2024-2025, H&R Block appears to offer better overall value, particularly when considering the inclusion of human tax professional support in all paid packages without requiring costly upgrades. However, TurboTax remains the gold standard for user experience and integration capabilities, justifying its premium price for many users. Business owners should carefully weigh these factors against their specific needs, preferences, and existing financial systems before making their final decision.