Free tax filing if you have dividends or interest: what the free versions of TurboTax, H&R Block, TaxAct, FreeTaxUSA and Cash App Taxes take
A money market fund, a T-bill ETF such as SGOV, or a high-yield savings account sends you a 1099-DIV or 1099-INT. Whether a free tax program takes it depends on the program and the amount. As of October 31, 2026 (Eastern time):
- TurboTax Free Edition and H&R Block Free Online take interest and dividends up to $1,500. That is the line where the IRS's Schedule B starts: you file it if “You had over $1,500 of taxable interest or ordinary dividends.”
- TaxAct's free version takes none: it lists interest and dividends among situations not covered.
- FreeTaxUSA files the federal return free with any amount; its state return is $15.99. Cash App Taxes says federal and state are both free.
- IRS Free File reopens in January 2027 for adjusted gross income up to the limit on the IRS's page, now $95,000 (below).
What $1,500 means in practice: at a 3.6% yield it is the year's income on about $41,700. Above that, TurboTax and H&R Block need a paid version.
Five programs, side by side
| Program | Free version takes dividends and interest? | Limit | State return in the free version | Above the limit (as shown) | What its own pages say | Pages read |
|---|---|---|---|---|---|---|
| Cash App Taxes | Yes | None stated | Free | Still free | “Yes, Cash App Taxes is 100% free for state and federal returns.” It adds that it costs $0 “even if you sold stocks or bitcoin”. | Cash App Taxes |
| FreeTaxUSA | Yes (federal) | None stated | $15.99 | Still free federal; state $15.99 | “Federal returns are always free. State returns are only $15.99”. Its 1099-DIV page: “We support interest and dividend income, capital gain distributions, and more.” Optional Deluxe Support is $7.99. | FreeTaxUSA, Pricing; FreeTaxUSA, 1099-DIV |
| H&R Block | Yes, up to a limit | $1,500 of 1099-INT and 1099-DIV | $0 | Paid tiers: Deluxe $65, Premium $105, plus $49 per state. The page does not say which tier you need above $1,500. | “Interest and Dividend Income: Limited interest and dividend income reported on Form 1099-INT or Form 1099-DIV up to $1,500.” | H&R Block, Free Online; H&R Block, Online tax filing |
| TaxAct | No | None covered | Extra | Deluxe $59.99 plus $64.99 per state; Premier $99.99. The pages do not say whether Deluxe covers dividends; Premier is described as “Good for those who earned income from investment assets.” | Free version, situations not covered: “Investment income: Stock, interest, dividends, crypto, or capital gains/losses” | TaxAct, File your own taxes online; TaxAct, Deluxe |
| TurboTax | Yes, up to a limit | $1,500 of 1099-DIV, 1099-INT and 1099-OID combined | Free (Free Edition) | Deluxe, shown at $79, covers more than $1,500; state additional (amount not shown). | Its forms table: 1099-DIV “(If 1099-DIV/INT/OID combined is <=$1500)” is “Included in Free Edition”; above that, Deluxe. Free Edition is for “Simple Form 1040 returns only (no schedules, except for EITC, CTC, student loan interest, and Schedule 1-A).” | TurboTax, Free Edition; TurboTax, Deluxe |
Three examples
- $800 of SGOV dividends and a W-2, nothing else. Under $1,500, so TurboTax Free Edition, H&R Block Free Online, FreeTaxUSA (federal) and Cash App Taxes all take it. TaxAct Free does not.
- $3,000 of money market dividends. Over $1,500, so Schedule B. TurboTax needs Deluxe; H&R Block a paid tier. FreeTaxUSA's federal return and Cash App Taxes stay free.
- Dividends plus stock sales. Sales add Form 8949 and Schedule D. TurboTax Free Edition and H&R Block Free Online cover neither; check each program's forms list.
For any of these, the state-tax-exempt part of Treasury fund dividends goes on the state return; see where each program asks for U.S. government interest.
IRS Free File
The IRS's page: “IRS Free File has closed. Please check back January 2027.” It shows “For $95,000 adjusted gross income (AGI) or less”. Free File versions of partner programs are reached through the IRS: “Start at IRS.gov/freefile — always go through the IRS.gov site to access the IRS Free File tax preparation software.” “You won't get IRS Free File if you go directly to a partner's commercial website.” The list of partners and their limits for 2027 is published when the program opens.
Sources: IRS, IRS Free File; IRS, Instructions for Schedule B.
Quick answers
Can I file dividends free with TurboTax?
Up to $1,500 of interest, dividends and original issue discount combined, if the rest of your return is simple. Above that, its forms table puts 1099-DIV in Deluxe. For TurboTax next to FreeTaxUSA and TaxAct cell by cell, see FreeTaxUSA vs TaxAct vs TurboTax.
Does TaxAct Free include dividends?
No. TaxAct lists “Investment income: Stock, interest, dividends, crypto, or capital gains/losses” as not covered by its free federal version.
Is FreeTaxUSA free with a 1099-DIV?
The federal return is, at any amount; the state return is $15.99 for 2025 returns. Prior-year state returns cost more ($17.99 on its pricing page).
Where does the $1,500 come from?
It is the IRS's threshold for Schedule B, the form that lists interest and dividend payers. TurboTax's and H&R Block's free versions do not include Schedule B, so they stop there.
How we checked
- Each company's own pricing and product pages, read October 31, 2026. TurboTax, TaxAct and H&R Block draw prices with scripts or refuse automated requests, so we read those pages in a browser and kept the text.
- The Schedule B threshold and IRS Free File from irs.gov.
- We did not prepare returns in the programs. Their screens and prices for 2026 returns may differ.
What this page does not cover
- Which program to use. We report what each one publishes.
- Other free options, such as volunteer tax help (VITA).
Rechecks and changes
We will read the pages again when the programs post prices for 2026 returns, usually in January, and when IRS Free File opens.
- . First published.
Sources: IRS, Instructions for Schedule B; IRS, IRS Free File; and each program's pages in the table. This page contains no affiliate links. It is not tax advice.