IRS report on potential free e-filing system; pilot program for 2024 filing season

Feasibility of providing a free, voluntary, IRS-run electronic filing system

Pilot program for 2024 filing season

The IRS today submitted a report to Congress that evaluates the feasibility of providing taxpayers with the option of a free, voluntary, IRS-run electronic filing system, commonly referred to as “Direct File.”

Read the IRS report to Congress [PDF 2.9 MB] (106 pages)

According to the IRS release—IR-2023-103 (May 16, 2023)—the report focuses on three areas: taxpayer opinions, cost, and feasibility. The report also includes an analysis conducted by an independent third party and lays out the potential benefits and challenges associated with the IRS implementing a Direct File program.

In addition, the IRS is taking steps to begin a pilot project for the 2024 filing season to further assess customer support and technology needs and the ability to overcome the potential operational challenges identified in the report. Additional details on the Direct File pilot will be available in coming months.

Read IRS Commissioner Danny Werfel’s letter [PDF 105 KB] to Treasury Secretary Janet Yellen to accompany the Direct File report

 

 

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