Difference Between TurboTax Freedom Edition & Federal Free Edition 2021

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turbotax 2021 free vs freedom edition

When visiting TurboTax website you encounter two products with very similar names: Freedom Edition and Federal Free Edition. Despite similarity in their names there is a significant difference between the two. One is appropriate for taxpayers filing the simplest tax return regardless of amount of income earned – TurboTax Federal Free Edition. The other is for low income tax payers regardless of complexity of their income – TurboTax Freedom Edition.

In order to qualify for TurboTax Freedom edition, a taxpayer has to meet one of the following criteria:

  • Report Adjusted Gross Income (AGI) of $33,000 or less.
  • Be an active military duty (also including National Guard and Reservists) with an AGI of $64,000 or less.
  • Qualify for Earned Income Tax Credit.

TurboTax Federal Free edition is best for taxpayers filing returns on forms 1040A or 1040EZ. Currently taxpayers can take advantage of this promotion and file federal and state taxes for free. Last day of this Absolute Zero campaign is expected to be sometime in mid-March.

It is worth mentioning that the Freedom edition is offered through the IRS Free File Alliance (FFA) program. Did you know that:

  • Since 2003 more than 49 million returns have been filed using Free File.
  • Roughly 100 million people are eligible for Free File.
  • Satisfaction with the service is very high – 98% of users would recommend it to others.

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