The IRS said Thursday it will make permanent the free electronic tax return filing system that it experimented with this year and is asking all 50 states and the District of Columbia to help taxpayers file their returns through the program in 2025.Related video above — Rossen Reports: Do this to avoid tax penalties this yearThe IRS tried the Direct File project for the 2024 tax season on a limited basis in 12 states for people with very simple W-2s, the employee's wage and tax statement.
'And an early decision on 2025 is critical for planning -– both for the IRS and for additional states to join the program.'The IRS has faced intense blowback to Direct File from private tax preparation companies that have made billions from charging people to use their software and have spent millions lobbying Congress. The average American typically spends about $140 preparing their returns each year.
IRS Turbotax W2 Free Tax Return Tax Season
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