Deduction vs H&R Block (2026): Pricing, Features & Which to Choose

Who comes out ahead

Based only on the facts in our directory. The right pick still depends on the job you need done.

Lower starting price
Deduction
From $41.58/mo against from $65/mo
Free plan
H&R Block
Only H&R Block has one
Higher rating
H&R Block
3.7 against 3.8
Same job?
Yes
Both are Finance & Fintech AI tools

Side by side

Compared on	Deduction	H&R Block
Our rating	3.7	3.8Better
Starts at	$41.58/moBetter	$65/mo
Free plan	No	YesBetter
Category	Finance & Fintech AI	Finance & Fintech AI
Plans	Standard$499	From $65/mo
Key features	Taylor CPAI agent that organizes documents and finds deductions automatically Licensed CPA review of every AI-prepared return before filing Conversational access by phone call, text, chat, or email, with no app required Year-round tax question answering, not a seasonal-only filing tool Free-to-use document organization and advice until a user chooses to file	AI Tax Assist for conversational answers to tax questions Explanations of forms, deductions and key terms Built on Azure OpenAI with guidance from the Tax Institute Live tax professional help and tax pro review options Online filing plans from Free to Self-Employed
Pros	Human CPA review of every filing adds accountability an AI-only tax tool lacks Flat $499/year pricing is transparent versus tools that upsell state filing, forms, or support separately Free-until-you-file model lets users test document organization and Q&A before paying anything	Free filing tier available Human tax experts remain an option beside the AI assistant AI answers draw on a team of CPAs, tax attorneys and enrolled agents
Cons	young company (2025 launch) with a thin public track record through a full tax season $2.8M pre-seed is a small funding base for a product handling regulated financial filings Currently built around US personal tax filing, not businesses or non-US jurisdictions	Paid online plans cost $65 to $130 before state fees State filing adds $49 per state on paid plans AI answers are general tax guidance and do not replace a tax professional's advice
Company	Deduction, founded 2025	H&R Block

Prices come from each vendor's pricing page, last checked 20261005. Check the vendor before you buy.

FAQ

Questions people ask

Is Deduction better than H&R Block?

In our reviews Deduction scores 3.7 and H&R Block scores 3.8. The better pick depends on the job. Deduction: An AI tax accountant that files US personal returns and answers tax questions year-round by call, text, or chat. H&R Block: Tax preparation company whose AI Tax Assist answers filers' tax questions conversationally inside its online software, built on Azure OpenAI and backed by H&R Block's Tax Institute.

Which is cheaper, Deduction or H&R Block?

Deduction has the lower starting price: from $41.58/mo for Deduction and from $65/mo for H&R Block.

Do Deduction and H&R Block have free plans?

Only H&R Block has a free plan.

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