The Best software for Tax Preparers compared
- Adam Majid
- Mar 30
- 4 min read
Tax software is the most crucial investment for a professional tax preparer. It's a necessary ingredient in order to streamline your business and make it efficient. Without tax software, you would need to go line by line, box by box, calculate, and verify every single one of your clients' returns. That simply is not a realistic business model.
That's why it's so important to have a reliable tax preparation software. It can be a big upfront investment for newer and smaller firms. So you want to make sure you get the right software for your needs.
The CRA has a list posted online for tax software that is certified with EFILE capability. It can be viewed here. Any software that isn't on this list should be completely avoided. It won't be able to connect with the CRA database and is not certified to be reliable. Worse, you could be held liable for any errors in your clients' returns.
Here’s a quick rundown of some of the best tax preparation software for Canadian tax professionals that are certified by the CRA for e-filing.
Starting with a quick overview of the different software, let's see what they are capable of doing:
Quick Summary Comparison:
Software | Form Support | Client Management | Cloud-Based | Pricing | Best For |
TaxCycle | T1, T2, T3, GST/HST, etc. | Strong, with workflow | Yes | High | Large firms, corporate filings |
ProFile | T1, T2, T3, GST/HST | Good client tracking | No | High | Intuit users, general practitioners |
CCH iFirm | T1, T2, T3, etc. | Excellent CRM | Yes | Very High | Larger firms needing practice management |
UFile Professional | T1, T2 | Basic | Yes | Moderate | Smaller firms, individual returns |
Cantax | T1, T2, T3, GST/HST | Solid client management | No | Moderate | Small to mid-sized firms |
As you can see, UFile, ProFile, and Cantax are more geared toward smaller firms whereas CCH and TaxCycle are for larger firms. CCH is actually a step above including extensive customer management and accounting. It's a serious program.
Let's take a deeper look into what separates these programs from one another.
1. TaxCycle
Key Features:
E-filing: Full CRA and Revenu Quebec e-filing support.
Form Coverage: Comprehensive T1 (individual), T2 (corporate), T3 (trusts), GST/HST, and specialized forms (e.g., T1135).
Client Management: Strong workflow and client management tools.
Tax Planning: Projection tools and scenario analysis.
Automation: Automatic calculations and error-checking.
Customization: Customizable reports and detailed income/expense summaries.
Pros:
Extensive form library.
Strong client management and reporting tools.
Great for both individual and corporate filings.
Reliable customer support.
Cons:
Pricing can be high for smaller practices.
Some advanced features have a learning curve.
2. Intuit ProFile
Key Features:
E-filing: CRA e-filing integration for both individual and corporate returns.
Form Coverage: Supports T1, T2, T3, GST/HST, and various provincial returns.
Automation: Auto-calculations, client data import, and e-filing.
Integration: Integrates seamlessly with QuickBooks, TurboTax, and CRA for easier data transfer.
Client Management: Ability to manage multiple clients and easily track their returns.
Auditor: A great feature that double checks your forms and notifies you of potential errors.
Pros:
User-friendly interface.
Really easy to learn.
Robust error-checking and real-time updates.
Strong integration with other Intuit products.
Reliable for both personal and corporate filings.
Cons:
Expensive subscription pricing for larger firms.
Performance can slow down with larger files or too many open projects.
4. Wolters Kluwer CCH iFirm
Key Features:
E-filing: Certified by the CRA for e-filing, including T1, T2, T3, and more.
Form Coverage: Extensive support for a variety of tax forms.
Client Management: Robust CRM features with a focus on tax practice management.
Automation: Includes e-filing, automatic updates, and automatic calculation features.
Cloud-Based: Cloud integration for easy access from anywhere.
Pros:
Strong cloud functionality and collaboration tools.
Good for larger practices needing tax and practice management integration.
Comprehensive form library.
Cons:
Pricing may be prohibitive for smaller practices.
The user interface is not as intuitive as some other options.
5. UFile Professional
Key Features:
E-filing: Full CRA e-filing support for T1 and T2 returns.
Form Coverage: Includes support for individual and corporate returns, with a range of provincial forms.
Automation: Automatic calculations, error-checking, and e-filing integration.
Cloud-Based: Access tax returns from any device with the cloud-based version.
Pros:
Affordable pricing compared to other options.
User-friendly for smaller practices or those with a limited number of clients.
Efficient for straightforward personal and corporate filings.
Cons:
Lacks some of the advanced features offered by competitors like TaxCycle or ProFile.
Fewer customization options for complex returns.
6. Cantax (by Wolters Kluwer)
Overview: Cantax is designed for Canadian tax professionals looking for a solution with full CRA integration. It supports personal, corporate, and trust returns and offers solid client management tools.
Pros: Good form coverage and solid e-filing capabilities.
Cons: Interface not as modern or user-friendly as competitors.
Conclusion:
Each of these software options is certified by the CRA for e-filing, but the best choice for your firm will depend on your specific needs. TaxCycle and ProFile stand out for their comprehensive features and strong client management tools, while Cantax offers an easier, more affordable solution for smaller practices. Larger firms that need more complex tax filing and practice management tools might benefit from CCH iFirm.
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