Short answer: ClearTax is free for simple salaried returns, but not for capital gains, business income, or expert help. So “is ClearTax free” is a yes-and-no. This guide draws the exact line so you know before you start.
The honest yes-and-no
ClearTax has a genuine free tier. If your return is a single Form 16 with standard deductions, you can file without paying. The moment your return includes capital gains, business income, or you want an expert to help, you move to a paid plan.
So the marketing line “file free” is true, but only for the simplest returns. Most people who benefit from ClearTax have a reason they cannot stay on the free tier.
What is free
The free tier generally covers:
- Salary income with one Form 16
- Standard deduction
- Interest income (savings, FD)
- Common deductions like 80C and 80D
If that describes your whole return, you can file at no cost.
What you have to pay for
You move to a paid plan when your return includes:
- Capital gains┬аfrom stocks or mutual funds
- More than one house property
- Business or freelance income, including presumptive taxation
- Expert-assisted filing, where a professional prepares your return
Example.┬аRohan started on the free tier with just his salary. Then he remembered he sold some shares during the year. The free tier could not compute his capital gains, so he had to upgrade. If you know you have investments, expect a paid plan from the start. For the plan-by-plan detail, see the┬аClearTax pricing guide.
Free ClearTax vs the free government portal
Both are free for simple returns. The difference:
- ClearTax free tier:┬аguided, reads your Form 16, friendlier for a nervous first-timer.
- Government portal:┬аthe official source, prefills your salary and TDS, no guidance.
For a simple return, either is fine and neither costs anything. If you want hand-holding, the ClearTax free tier is gentler. If you are comfortable and want the direct source, the government portal is perfect.
How to avoid paying if you do not need to
- If you have one Form 16 and nothing else, use the free tier or the government portal.
- Do not upgrade until the platform actually blocks you. Only capital gains, extra property, or business income require it.
- If your income is below the taxable limit and you are filing only for a refund, stay free.
There is no benefit to paying for a simple return. Keep your money and file free.
If your return does need a paid plan, file your ITR on ClearTax. We may earn a referral reward at no extra cost to you.
FAQ
Is ClearTax completely free?
No. It is free for simple salaried returns, but capital gains, business income and expert help require a paid plan.
Can I file ITR for free on ClearTax?
Yes, if your return is a single Form 16 with standard deductions and interest income. Beyond that you need a paid plan.
Does ClearTax charge for capital gains?
Yes. Computing capital gains from stocks or mutual funds is a paid feature. The free tier does not handle it.
What is the cheapest way to file if my return is simple?
Either the ClearTax free tier or the government portal at┬аincometax.gov.in. Both cost nothing for a simple return.
Is the government portal free too?
Yes, always. It is the official filing site and is free for every return type, though it offers no guidance.
