What We Recommend Drake Tax For
- Professional tax return preparers: We included Drake as one of the best tax software for tax preparers and the best software for tax pros wanting flat pricing and an unlimited number of tax returns.
- Preparing a variety of returns: A single software package from Drake will prepare any business return, including C-corporations (C-corps), S-corporations (S-corps), partnerships, trusts, and nonprofit organizations. Drake will even prepare gift and estate tax returns.
- Growing firms: Tax pros can purchase Drake Tax with the pay-per-return option and then switch to the unlimited option automatically when it becomes the less expensive alternative.
When Drake Tax Is Not a Good Fit
- For self-prepared returns: Drake tax is not designed for individuals and businesses to prepare their own tax returns. For tax software to prepare your own individual or business tax return, visit our guide to the best small business tax software.
- For preparers wanting integrated tax research: Drake does not come bundled with a tax research service, so you’ll need to purchase that separately if needed.
- For preparers wanting Integrated bookkeeping: While Drake will import the tax summary from QuickBooks, other professional tax preparation software offers better integration with multiple bookkeeping programs.
Drake Tax Alternatives 2020
Tax Software for Tax Preparers
Accountants who want high-end tax software that can calculate consolidated and oil and gas returns.
Tax preparers wanting cloud-based tax software with the ability to import tax data from QuickBooks Online
Tax firms wanting cloud-based software to manage the whole firm
Accountants who want a mid-priced option that will transfer information from QuickBooks Desktop.
Certified public accountant (CPAs) utilizing CS Professional Suite for their tax and audit practice
Drake Tax Pros and Cons
Can prepare individual, business, nonprofit, and trust returns
User interface is clunky and bit outdated
No integrated tax research service
Pay-per-return package automatically converts to Unlimited for no additional cost
Cannot download clients' 1099 information from financial institutions
All state returns included for no additional cost
Drake Tax Pricing
Drake Tax is offered in three packages with license fees that start at $330 per year. The main differences between the packages are the maximum number of tax returns and the inclusion of Drake Tax Accounting Pro 2021. Drake Tax hosting on the cloud is available for an additional fee of $99 per user, per month.
Features and Pricing
Annual License Fee
Number of Returns Included
Price per Additional Return
Add Drake Tax Accounting Pro 2021
*Once you’ve purchased 85 returns in the Pay-Per-Return version, you’ll be upgraded automatically to the Unlimited version at no extra cost.
All the packages include e-filing, Drake Tax Documents, Drake Tax Planner, Drake Tax Scheduler, organizers, data conversion software, Drake Tax 2002 – 2018, and the following modules: 1040, 1040NR, 1065, 1120, 1120S, 1120H, 706, 709, 990, 1041.
Drake Tax offers $100 off an Unlimited or Power Bundle subscription if purchased by November 30. You may visit its website for more information.
Drake Tax Features
Drake Tax is packed with essential features that will help you quickly and efficiently prepare, plan and analyze, review, and file returns. Let’s look at some of its top functionalities to help you decide whether or not Drake Tax is a good fit for you.
Drake Tax includes client PIN and consent screens, separate state filing, PDF attachment, and an optional signature pad to bind customer signatures securely to the return, eliminating the need for paperwork.
Process multistate returns for no additional cost. You can generate any state return you need without purchasing a separate state module.
Compare Filing Joint vs Separate
Determine the instances when it’s better to file jointly or separately based on factors like standard deduction and tax rates.
Separate loan payments into principal and interest easily. You can print out your loan repayment schedules and save them to the Report Viewer tab for future reference.
Mark items in any check, text, or amount box while reviewing the return to avoid missing or inaccurate data. In case changes are needed, that item will be flagged for double-checking.
Drake Tax’s built-in planner helps you educate your clients on how different factors like income, dependents, and marital status, affect their taxes. It also allows you to adjust reporting options as needed.
Organized Return Viewing
This feature gives you the ability to choose which forms to print, customize print sets, and modify print orders. Forms are displayed by category or in a tree structure.
Most Helpful Drake Tax Reviews
Users who gave positive Drake Tax reviews mentioned that its e-filing service is great. Some mentioned that its data entry process is extremely easy while others commended its prompt and helpful customer service. Meanwhile, those who left negative reviews noted that it’s not that user-friendly and that it’s a bit pricey.
Accurate and timely e-filing process
One user who left a positive review of Drake Tax on Capterra said that its e-filing process is always accurate and timely. He added that he could easily update tax information on a yearly basis.
One user who shared a negative review of Drake Tax on Capterra complained that its interface is outdated and clunky, explaining that switching between screens is not intuitive and that screens don’t always match the forms on the returns.
Drake Tax is great affordable tax software for tax pros that need the ability to prepare tax returns for any type of entity. The licensing options are perfect for growing firms, which can start with the pay-per-return license and be switched automatically to the unlimited plan when it becomes the cheaper option.