13 states join the IRS direct-file test after tax prep firms dropped the ball
www.theverge.com
Goodbye, TurboTax. Hello, direct filing (for some people).
  • ubermeisters@lemmy.world
    35·
    1 year ago

    An article from The Verge that reports on the following:

    • IRS pilot program: The Internal Revenue Service is testing a new service that allows taxpayers to file their federal taxes directly on the IRS website, without using commercial software like TurboTax or H&R Block. The pilot program is for the 2024 filing season and is limited to people with simple tax situations.
    • Free File Alliance controversy: The pilot program comes after the IRS updated its agreement with the Free File Alliance, a partnership between the IRS and tax preparation companies that offered a free alternative to paying for tax preparation. However, the companies were accused of hiding the free option from consumers and misleading them into paying for their services. The FTC sued Intuit, the maker of TurboTax, for false advertising and Intuit agreed to pay $141 million to settle the case. Both Intuit and H&R Block left the Free File Alliance after the IRS changed the terms of the agreement.
    • Participating states: The pilot program involves 13 states, four of which will also integrate their state taxes into the pilot. The states are:
    - Arizona
- California
- Massachusetts
- New York
- Alaska
- Florida
- New Hampshire
- Nevada
- South Dakota
- Tennessee
- Texas
- Washington
- Wyoming