Free File

'''The IRS Free File Program''' is a public-private partnership between the Internal Revenue Service and private-sector tax software companies that enables U.S. taxpayers to prepare and [[IRS e-file|electronically file]] their federal income [[tax return]]s at no cost using the companies' tax software. The program is operated in partnership with commercial tax software companies that are members of the [[Free File Alliance]], who provide free tax preparation software to eligible taxpayers with an [[adjusted gross income]] (AGI) below $89,000 for Tax Year 2025. This income threshold is adjusted annually,IRS.gov, [https://www.irs.gov/freefile www.irs.gov/freefile]{{Cite web|url=https://www.irs.gov/filing/irs-free-file-do-your-taxes-for-free|title=IRS Free File: Do your taxes for free|website=irs.gov|publisher=Internal Revenue Service|access-date=2025-01-24}} and is designed to cover the lowest 70 percent of American income earners. The Free File Program is accessible via the IRS website at [https://www.irs.gov/freefile www.irs.gov/freefile]. In addition, free fillable tax forms are available to all taxpayers as part of the program, regardless of income.

'''The IRS Free File Program''' is a public-private partnership between the Internal Revenue Service and private-sector tax software companies that enables U.S. taxpayers to prepare and [[IRS e-file|electronically file]] their federal income [[tax return]]s at no cost using the companies' tax software. The program is operated in partnership with commercial tax software companies that are members of the [[Free File Alliance]], who provide free tax preparation software to eligible taxpayers with an [[adjusted gross income]] (AGI) below $89,000 for Tax Year 2025. This income threshold is adjusted annually,IRS.gov, [https://www.irs.gov/freefile www.irs.gov/freefile]{{Cite web|url=https://www.irs.gov/filing/irs-free-file-do-your-taxes-for-free|title=IRS Free File: Do your taxes for free|website=irs.gov|publisher=Internal Revenue Service|access-date=2025-01-24}} and is designed to cover the lowest 70 percent of American income earners. The Free File Program is accessible via the IRS website at [https://www.irs.gov/freefile www.irs.gov/freefile]. In addition, free fillable tax forms are available to all taxpayers as part of the program, regardless of income.

More than 77 million American taxpayers have used the Free File service to file their federal income tax returns (and often state income tax returns) since the program's inception in 2003. Using a conservative savings estimate of $30 per return, the IRS Free File Program has saved taxpayers more than $2.3 billion that they otherwise would have spent for tax preparation during this period.

More than 77 million American taxpayers have used the Free File service to file their federal income tax returns (and often [[state income tax]] returns) since the program's inception in 2003. Using a conservative savings estimate of $30 per return, the IRS Free File Program has saved taxpayers more than $2.3 billion that they otherwise would have spent for tax preparation during this period.

Through the program, 70 percent of U.S. taxpayers are eligible to use commercial software for free to file their tax returns and almost all taxpayers can use free fillable electronic versions of paper forms to electronically file their tax returns.{{Cite web |title=Free File: Do your Federal Taxes for Free {{!}} Internal Revenue Service |url=https://www.irs.gov/filing/free-file-do-your-federal-taxes-for-free |access-date=2023-05-17 |website=www.irs.gov |language=en}} Over the life of the program, about 3 million taxpayers have used the free tax software each year. The private-sector tax preparation companies and some Members of Congress have encouraged the IRS to promote the Free File Program more actively to increase its annual usage. The program costs the federal government nothing to operate, other than the time of three agency staffers who administer it for IRS. In 2019, investigations by [[ProPublica]] asserted that companies such as [[Intuit]] (makers of TurboTax) and [[H&R Block]] misled taxpayers into paying for tax preparation services despite qualifying under the Free File Program.{{Cite web|url=https://www.propublica.org/article/turbotax-deliberately-hides-its-free-file-page-from-search-engines|title=TurboTax Deliberately Hid Its Free File Page From Search Engines|last=Justin Elliott|first=Lucas Waldron|date=2019-04-26|website=ProPublica|language=en|access-date=2021-02-25}}{{Cite web|url=https://www.propublica.org/article/turbotax-military-discount-trick-troops-paying-to-file-taxes|title=TurboTax Uses A "Military Discount" to Trick Troops Into Paying to File Their Taxes|last=Justin Elliott|first=Kengo Tsutsumi|date=2019-05-23|website=ProPublica|language=en|access-date=2019-05-23}}

Through the program, 70 percent of U.S. taxpayers are eligible to use commercial software for free to file their tax returns and almost all taxpayers can use free fillable electronic versions of paper forms to electronically file their tax returns.{{Cite web |title=Free File: Do your Federal Taxes for Free {{!}} Internal Revenue Service |url=https://www.irs.gov/filing/free-file-do-your-federal-taxes-for-free |access-date=2023-05-17 |website=www.irs.gov |language=en}} Over the life of the program, about 3 million taxpayers have used the free tax software each year. The private-sector tax preparation companies and some Members of Congress have encouraged the IRS to promote the Free File Program more actively to increase its annual usage. The program costs the federal government nothing to operate, other than the time of three agency staffers who administer it for IRS. In 2019, investigations by [[ProPublica]] asserted that companies such as [[Intuit]] (makers of TurboTax) and [[H&R Block]] misled taxpayers into paying for tax preparation services despite qualifying under the Free File Program.{{Cite web|url=https://www.propublica.org/article/turbotax-deliberately-hides-its-free-file-page-from-search-engines|title=TurboTax Deliberately Hid Its Free File Page From Search Engines|last=Justin Elliott|first=Lucas Waldron|date=2019-04-26|website=ProPublica|language=en|access-date=2021-02-25}}{{Cite web|url=https://www.propublica.org/article/turbotax-military-discount-trick-troops-paying-to-file-taxes|title=TurboTax Uses A "Military Discount" to Trick Troops Into Paying to File Their Taxes|last=Justin Elliott|first=Kengo Tsutsumi|date=2019-05-23|website=ProPublica|language=en|access-date=2019-05-23}}

In November 2001, the U.S. Office of Management and Budget's (OMB) Quicksilver Task Force established 24 e-government initiatives that were a part of the President's Management Agenda. These initiatives were designed to improve Government to Government, Government to Business, and Government to Citizen electronic capabilities.

In November 2001, the U.S. Office of Management and Budget's (OMB) Quicksilver Task Force established 24 e-government initiatives that were a part of the President's Management Agenda. These initiatives were designed to improve Government to Government, Government to Business, and Government to Citizen electronic capabilities.

One initiative, IRS Free File, instructed the IRS to provide free and secure online tax return preparation and filing services to taxpayers. In accordance with this OMB directive, the IRS began working in partnership with the tax software industry to develop a solution. The result was the formation of the Free File Alliance, LLC, a group of tax software companies which provide free commercial online tax preparation and electronic filing services.{{cite web |title=About the Free File Alliance |publisher=[[Internal Revenue Service|IRS]] |url=https://www.irs.gov/efile/article/0,,id=200979,00.html |archiveurl=https://web.archive.org/web/20110629010409/https://www.irs.gov/efile/article/0%2C%2Cid%3D200979%2C00.html |archivedate=2011-06-29 |url-status=dead }}

One initiative, IRS Free File, instructed the IRS to provide free and secure online tax return preparation and filing services to taxpayers. In accordance with this OMB directive, the IRS began working in partnership with the tax [[software industry]] to develop a solution. The result was the formation of the Free File Alliance, LLC, a group of tax software companies which provide free commercial online tax preparation and electronic filing services.{{cite web |title=About the Free File Alliance |publisher=[[Internal Revenue Service|IRS]] |url=https://www.irs.gov/efile/article/0,,id=200979,00.html |archiveurl=https://web.archive.org/web/20110629010409/https://www.irs.gov/efile/article/0%2C%2Cid%3D200979%2C00.html |archivedate=2011-06-29 |url-status=dead }}

According to investigations by the news organization [[ProPublica]],[https://www.propublica.org/series/the-turbotax-trap The TurboTax Trap: How the Tax Prep Industry Makes You Pay] TurboTax maker [[Intuit]] allegedly engaged in practices that hid the Free File Program from eligible taxpayers, and attempted to trick eligible taxpayers into paying for services they might be eligible to receive for free.

According to investigations by the news organization [[ProPublica]],[https://www.propublica.org/series/the-turbotax-trap The TurboTax Trap: How the Tax Prep Industry Makes You Pay] TurboTax maker [[Intuit]] allegedly engaged in practices that hid the Free File Program from eligible taxpayers, and attempted to trick eligible taxpayers into paying for services they might be eligible to receive for free.

== Free File Alliance ==

== Free File Alliance ==

{{main|Free File Alliance}}

{{main|Free File Alliance}}

The Free File Alliance is a consortium of commercial tax preparation software providers that offer their brand-name tax software products for free to lower and middle-income tax filers. Each member is allowed to set eligibility requirements for their software products. However, the cumulative offers must allow 70 percent of U.S. taxpayers - approximately 100 million people - to be eligible for at least one product.{{Cite web|url=https://www.irs.gov/pub/irs-utl/How%20to%20Free%20File%20Infographic_508%20FINAL.pdf|title=Do Your Federal Taxes For Free|last=|first=|date=|website=irs.gov|publisher=Internal Revenue Service|access-date=2016-09-04}} Each year, the income limit for eligibility is adjusted to reach 70 percent of the taxpayers. The income limit for 2026 (tax year 2025) is set at $89,000, though some Free File software providers choose to set the income threshold lower. Agreements between the IRS and the Free File Alliance are publicly available. The latest memorandum of understanding was signed in 2024 and runs through 2029.{{Cite web|url=http://freefilealliance.org/free-file-alliance-irs-sign-five-year-agreement-to-continue-free-file-program/|title=Free File Alliance & IRS Sign Five-Year Agreement to Continue Free File Program|last=|first=|date=March 18, 2015|website=freefilealliance.org|publisher=|access-date=2016-09-04}}

The Free File Alliance is a consortium of commercial tax preparation software providers that offer their brand-name tax software products for free to lower and middle-income tax filers. Each member is allowed to set eligibility requirements for their software products. However, the cumulative offers must allow 70 percent of U.S. taxpayers - approximately 100 million people - to be eligible for at least one product.{{Cite web|url=https://www.irs.gov/pub/irs-utl/How%20to%20Free%20File%20Infographic_508%20FINAL.pdf|title=Do Your Federal Taxes For Free|last=|first=|date=|website=irs.gov|publisher=Internal Revenue Service|access-date=2016-09-04}} Each year, the income limit for eligibility is adjusted to reach 70 percent of the taxpayers. The income limit for 2026 (tax year 2025) is set at $89,000, though some Free File software providers choose to set the income threshold lower. Agreements between the IRS and the Free File Alliance are publicly available. The latest [[memorandum of understanding]] was signed in 2024 and runs through 2029.{{Cite web|url=http://freefilealliance.org/free-file-alliance-irs-sign-five-year-agreement-to-continue-free-file-program/|title=Free File Alliance & IRS Sign Five-Year Agreement to Continue Free File Program|last=|first=|date=March 18, 2015|website=freefilealliance.org|publisher=|access-date=2016-09-04}}

== Free File Software ==

== Free File Software ==