The Trump administration plans to terminate the IRS’s free tax-filing program, Direct File. Launched in 2024, the pilot was available in 12 states initially and expanded to 25 states this year. The program’s website indicates it will remain open until October 15 for those with filing extensions. Direct File cost $31.8 million last year, with projected costs of $75 million for 2025. The decision to end the program was communicated to IRS staff in mid-March, halting development for the 2026 tax season. Concurrently, the IRS is set to lose about a third of its staff this year due to layoffs and resignations. Intuit, the company behind TurboTax, has criticized Direct File, arguing it’s an unnecessary expenditure of taxpayer money.
Source: arstechnica.com

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