IRS Extends Free File Tax Program and Considers Scaling Direct File Program

Wednesday, 22 May 2024, 17:04

The IRS extends its Free File tax program through 2029, allowing the use of corporate tax filing software for free. The program faces challenges as major companies like H&R Block and Intuit withdraw due to legal issues. Despite these obstacles, the IRS introduces the Direct File program and aims to expand its capabilities for more efficient tax processing.
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IRS Extends Free File Tax Program and Considers Scaling Direct File Program

IRS Extends Free File Tax Program

The IRS tax filing program, Free File, is extended through 2029, offering citizens access to free corporate tax filing software. Participating software companies include Tax Act, Online Taxes, Tax Hawk, and On-Line Taxes.

Challenges and Legal Issues

Major companies like H&R Block and Intuit left the Free File program in 2023 due to legal scrutiny for deceptive practices. Intuit faced a $141 million settlement for allegedly diverting low-income customers to paid services.

Introduction of Direct File Program

The IRS launched the Direct File program with limited functionality, attracting hundreds of thousands of taxpayers. However, the program faces limitations in handling capital income and certain tax forms.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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