By the year 2025, the IRS is set to significantly broaden its Direct File program, which allows eligible taxpayers to file their taxes for free. This expansion will make the program available to individuals in 25 states, a considerable jump from the 12 states that participated during the 2024 season.
For those curious about which states are involved, here’s the list: Alaska, Arizona, California, Connecticut, Florida, Idaho, Illinois, Kansas, Maine, Maryland, Massachusetts, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, Oregon, Pennsylvania, South Dakota, Tennessee, Texas, Washington, Wisconsin, and Wyoming.
Moreover, IRS Free File, which is another initiative that simplifies the tax preparation process by providing free guided services through partnered software, began its operation on January 10. Taxpayers eligible for this can start filing their electronically prepared returns starting January 27.
Additionally, there are other avenues available for free tax preparation assistance like the Volunteer Income Tax Assistance programs and Tax Counseling for the Elderly. For military personnel and certain veterans, MilTax presents yet another option that incurs no cost. These resources aim to ensure that a broad spectrum of taxpayers can meet their obligations efficiently and without financial burden.