A business that files 15 returns on information, and an accounting practice that files 1,500, have distinct workloads. Tax software prices don’t always reflect the difference.
Another problem is that many companies are largely dependent on the season in which they complete their annual information returns. Smaller companies might use their software to file heavily for a short period of time, but then not use it at all for the remainder of the year.
This raises a critical concern about buying. Should companies pay for access to software on a continuous basis or according to the amount of files it makes?
TaxFormHero follows the second strategy, using per-form pricing rather than signup fees, subscriptions, or seat licenses.
Start With Your Real Filing Volume
The comparison of filing systems based only on their advertised starting price is often misleading. Consider the amount of returns you’re expected to file and the kind of service you will require.
TaxFormHero offers a cost of $1.99 per form. The price per form drops when the volume grows until it is $0.45 after a minimum of 1,000 forms. Custom rates are possible for businesses that file large volumes of paperwork.
A recurring subscription isn’t necessary for an occasional filer. For those who are a CPA with multiple clients there aren’t any separate seat licenses to purchase because the additional staff must take part in the process.
Optional Services should be Optional
Different filers may not require similar services.
One company may be content downloading copies for recipients and then distributing them via the process it has in place. Others may prefer the file provider to manage the distribution.
TaxFormHero offers a free recipient copy download. For paid-for services you can add electronic delivery of recipients or print-and-mail. Verification of TINs is an additional service.
The modular approach enables businesses to distinguish between the cost of filing and the costs of additional services instead of paying automatically for features they may not utilize.
The magnitude of the issue is a major challenge for businesses.
Filing volume isn’t just about price.
A professional accountant with multiple businesses should keep track of their EINs in a manner that is convenient and doesn’t require a collection of unrelated EINs. TaxFormHero lets multiple payers to be managed with one login. It also supports bulk imports with Excel or CSV.
A broader 1099 filing and W-9 collection solution should reduce repetitive administrative work while maintaining clear separation between payer records. For professionals who manage many returns, importing information in a way that is logical can be more effective than completing each form.
Cost discussion should also include compliance and security
The most affordable option for filing isn’t always the most cost-effective if it requires additional administrative tasks, or doesn’t have the capabilities an organization needs.
TaxFormHero has been approved by the IRS and allows electronic filing of 1099s, information returns and W-2s. The company says it uses 256-bit encryption both in the rest of the process and during the transfer process, and it also provides two-factor verification. It has announced that it will complete an independent SOC 2 Type I audit for the Security trust services criteria in October 2025.
These security and operational concerns should be considered alongside the cost per return.
Purchase for the Filing Operation You Actually Have
Small companies, accounting firms and multi-entity firms should not all be required to employ the same program.
The most effective calculation will take into consideration filing volume, number of organizations that pay for data entry, the workload of data entry, recipient-delivery requirements need to be verified, as well as security requirements.
It’s not necessary keep a fixed monthly price for software if you’re only implementing annual compliance. A pay-per-form structure allows the cost to fluctuate depending on the work being filed making budgeting significantly more manageable.
