Freelance tax software helps freelancers, independent contractors, solopreneurs, and the self-employed to save for, calculate, and pay income tax. This software is used to track expenses and identify those that are tax deductible, set aside a portion of income for future taxes, estimate quarterly taxes, and pay tax authorities. Freelance tax software often integrates with the user's bank account to track income and expenses to identify and maximize tax deductions.
Freelance tax software is not to be confused with freelancer management systems which businesses use to organize and manage their relationships with freelancers, such as onboarding, contracts, project management, and payments.
To qualify for inclusion in the Freelance Tax category, a product must:
Track expenses, specifically identifying those eligible for tax deductions
Assist in setting aside a portion of income for future tax payments
Estimate quarterly taxes
Facilitate the payment process to tax authorities
Integrate with users' bank accounts