IRS Announce Direct File will be a permanent, free tax filing option and invited all 50 states to utilize it for the 2025 filing season

Andrew@andrew.masto.host to News@lemmy.world – 205 points –

IRS Announce Direct File will be a permanent, free tax filing option and invited all 50 states to utilize it for the 2025 filing season

https://home.treasury.gov/news/featured-stories/us-department-of-the-treasury-irs-announce-direct-file-as-permanent-free-tax-filing-option-all-50-states-and-dc-invited-to-join-in-filing-season-2025

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End the switching to/from Daylight Savings next!

Does the filing division of the IRS handle that?

No, not it’s a rather neutral change that just makes sense. Now that I’ve got a taste, I want more.

End time zones. Instead of converting what time it is somewhere else, I'd rather convert what time dawn/mid-day/dusk is.

That already exists with UTC, but the fact that people don't use it day to day speaks to how much more convenient localized times are.

Pog, prob still gonna have someone look over my taxes though

This belies the secondary benefit of a free filing. More people will be filing for themselves, and most will not hire a professional tax service. Last year, they had a financial motive to make the process convoluted. This year, they will have a financial motive to simplify and streamline the process. It won't happen overnight, but transparency and convenience will win out over time.

So how does this work in states with income tax? I can file federally for free but then how do I file with the state? I don't know of any commercial options that allow for state filing only and have been using freetaxusa the last couple years (since Credit Karma went to shit) and still only pay for state filing.

It doesn't work for state unfortunately and there isn't an alternative. I also use freetaxusa. Maybe it's time to start pushing our states to make their own version of the federal site.