Tax season can be a daunting time for many Americans, but the Internal Revenue Service (IRS) is here to make the process a whole lot simpler. In a move that’s sure to delight taxpayers across the nation, the IRS has announced an exciting extension of its Free File program, ensuring that everyone can access top-notch tax preparation software for free through the year 2029.
The Free File program is a public-private partnership between the IRS and leading tax software providers, allowing eligible taxpayers to file their returns without spending a dime. And the numbers speak for themselves – the program experienced a remarkable 7.3% increase in usage this year, with a staggering 2.9 million tax returns filed through the service as of May 11th.
“Free File remains an important part of the IRS portfolio to help taxpayers file their taxes for free,” said IRS Commissioner Danny Werfel. “We were pleased to see growth in the program this year, and we look forward to continuing this important collaboration with the tax software industry.”
The program’s longevity is a testament to its value and convenience. Now in its 22nd filing season, Free File has been a trusted resource for taxpayers across the country, helping tens of millions navigate the complexities of tax preparation over the past two decades.
“Free File has been an important partner with the IRS for more than two decades and helped tens of millions of taxpayers,” said Ken Corbin, chief of IRS Taxpayer Services. “This extension will continue that relationship into the future.”
The beauty of Free File lies in its accessibility. Any taxpayer with an Adjusted Gross Income (AGI) of $79,000 or less in 2023 can take advantage of the free software products provided by the program’s trusted partners. And even if your AGI is higher, you can still utilize the IRS’s Free File Fillable Forms, which offer a free, electronic filing option.
“This multi-year agreement will also provide certainty for private-sector partners to help with their future Free File planning,” Corbin added, ensuring the program’s continued success and stability.
But the good news doesn’t stop there. The IRS has also seen a surge of interest in its new Direct File pilot, which allows taxpayers to file their federal tax returns directly with the IRS electronically for the first time. Several hundred thousand taxpayers across 12 states have already signed up for Direct File accounts, and an impressive 140,803 have used the new service to file their taxes.
“We were pleased to see growth in the program this year, and we look forward to continuing this important collaboration with the tax software industry,” Werfel said, hinting at even more exciting developments to come.
The IRS has also noted increased activity in free tax return preparation at Volunteer Income Tax Assistance (VITA) and Tax Counseling for the Elderly (TCE) sites, with 2.6 million returns prepared – representing a 200,000 increase from the previous year.
This array of free options underscores the IRS’s commitment to ensuring that taxpayers of all backgrounds and income levels can navigate the tax filing process with ease and confidence.
“Free File was part of a successful filing season at the IRS that saw increased interest in a range of free programs to help taxpayers,” Werfel said, highlighting the agency’s multifaceted approach to supporting American taxpayers.
For the 2024 tax year, the list of partners participating in the IRS Free File program includes a diverse array of trusted providers:
1040Now
Drake (1040. com)
ezTaxReturn.com
FileYourTaxes.com
On-Line Taxes
TaxAct
TaxHawk (FreeTaxUSA)
TaxSlayer
This robust lineup of options ensures that taxpayers can find the perfect fit for their unique needs and preferences, whether they’re seeking guided tax software or the convenience of fillable forms.
The extension of the Free File program couldn’t come at a better time, as Americans continue to grapple with the economic challenges posed by the COVID-19 pandemic and inflation. By offering free tax preparation services, the IRS is providing a much-needed lifeline to individuals and families struggling to make ends meet.
“This extension will continue that relationship into the future,” Corbin said, underscoring the IRS’s commitment to maintaining this invaluable partnership.
With the Free File program now assured through 2029, taxpayers can rest easy knowing that they have a reliable, cost-effective solution at their fingertips. No more worrying about steep tax preparation fees or navigating the complexities of tax software on their own.
“Free File remains an important part of the IRS portfolio to help taxpayers file their taxes for free,” Werfel said, emphasizing the program’s enduring value and the agency’s dedication to supporting American taxpayers.
As the 2023 tax season continues to unfold, the IRS is encouraging all eligible individuals to take advantage of the Free File program and its array of free tax preparation options. Whether you’re a first-time filer or a seasoned tax veteran, the program offers a seamless, stress-free way to get your taxes done right.
So, what are you waiting for? Head to IRS.gov and explore the Free File program today. With this extended partnership, you can be confident that your tax filing experience will be smoother than ever before. Let’s make the 2023 tax season a breeze and set the stage for an even brighter financial future.