IRS Halts Free Direct File Tax Filing Program
IRS Makes Direct File a Permanent Option
The U.S. Internal Revenue Service (IRS) is moving towards making its free tax filing program, known as "Direct File", a permanent option for citizens, following a successful pilot period and a full filing season. This decision comes after a comprehensive evaluation of the pilot program, which received widespread positive reviews from users. The IRS officially announced in May 2024 its plans to expand it in the 2025 filing season and beyond.

IRS Commissioner Danny Werfel affirmed that "the clear message is that many taxpayers across the country want the IRS to provide more than one no-cost option for electronic filing." He added: "Therefore, starting with the 2025 filing season, the IRS will make Direct File a permanent option for filing federal tax returns." This confirmation is part of efforts to modernize U.S. tax systems and provide a better taxpayer experience that meets current expectations, including increased transparency and simplified filing. According to an official statement from the IRS, the agency is exploring ways to expand eligibility to include more taxpayers and more complex tax situations in coming seasons.
The Direct File program allowed taxpayers in 12 pilot states with simple tax situations to file their returns for free directly through the IRS during 2024. Estimates from the Treasury Department indicate that millions of Americans were eligible to use this option.
Although approximately 140,803 taxpayers used the Direct File program during its pilot season, and 90% of users who completed the IRS survey rated their experience as "excellent" or "above average," some Republicans had previously described the program as a "waste of money" and an "overreach of federal government authority." However, the success of the pilot phase and high user satisfaction were decisive factors in the decision to make it permanent.
For taxpayers who received an extension and have not yet filed their 2024 returns, the IRS confirmed that they can still access the Direct File program to file their returns before the October 15 deadline.

Other Free Filing Options
With the establishment of the Direct File program as a permanent option, taxpayers will continue to have multiple options for free filing. The IRS has another Free File program that collaborates with third-party tax preparation software companies, although it has different eligibility requirements related to adjusted gross income and state of residence. Taxpayers can use the IRS's questionnaire tool to find a suitable partner. Additionally, the IRS sponsors the Volunteer Income Tax Assistance (VITA) program, which provides free in-person tax preparation assistance to taxpayers with incomes below $67,000 annually (for 2025), or those with disabilities, or those with limited English proficiency. Taxpayers can also prepare their own returns by accessing free fillable forms from the IRS and submitting them directly to the agency.
