Blog | Tax and Budget Policy

A New Way to File Taxes

The average taxpayer spends a whopping $200-plus a year on tax prep services. I bet we can all think of better things we could do with that money instead.

That’s why the Biden administration is launching a new tax filing service called Direct File in 2024 that will allow eligible taxpayers to file their taxes online directly with the IRS—for free.

There are 12 states eligible for the pilot program this year: Arizona, California, Florida, Massachusetts, Nevada, New Hampshire, New York, South Dakota, Tennessee, Texas, Washington and Wyoming.

The Direct File service is available in English and Spanish, works on mobile devices as easily as it does tablets, laptops and desktop computers, and includes direct and dedicated customer support from the IRS. 

For more information about the new Direct File tax filing program or to check your eligibility and get started with filing your taxes, visit directfile.irs.gov.

During this 2024 pilot, Direct File supports most simple returns for certain kinds of income (such as reporting a W-2 wage income or Social Security and railroad retirement income) and key credits (such as the earned income tax credit [EITC] and the child tax credit [CTC]). If your taxes are more complicated—like self-employment income, business expenses or itemized deductions—then Direct File isn’t supporting that yet and you can keep using the existing filing option that is best for you. 

The Direct File service includes a screener tool that will help you quickly confirm whether your tax situation is supported before you start filing. It also can connect you to alternative filing options if you’re not able to use Direct File this year. No one is required to use Direct File.   

For more information and to check your eligibility, visit directfile.irs.gov.

We think this is a pretty great way that the Biden administration is delivering for working families and for workers like you and your family to access free, safe and easy tax filing services. 

 

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