IRS Direct File won't be available next year. Here's what that means for taxpayers [View all]

Source: ABC News/AP

November 5, 2025, 5:30 PM


WASHINGTON -- IRS Direct File, the electronic system for filing tax returns for free, will not be offered next year, the Trump administration has confirmed. An email sent Monday from IRS official Cynthia Noe to state comptrollers that participate in the Direct File program said that “IRS Direct File will not be available in Filing Season 2026. No launch date has been set for the future.”

The program developed during Joe Biden’s presidency was credited by users with making tax filing easy, fast and economical. However, it faced criticism from Republican lawmakers, who called it a waste of taxpayer money because free filing programs already exist (though they are difficult to use), and from commercial tax preparation companies, which have made billions from charging people to use their software.

Treasury Secretary Scott Bessent, who is also the current IRS commissioner, told reporters at the White House on Wednesday that there are “better alternatives" to Direct File. “It wasn’t used very much,” he said. "And we think that the private sector can do a better job.”

The Center for Taxpayer Rights filed a Freedom of Information Act request for IRS’ latest evaluation of the program and the report says 296,531 taxpayers submitted accepted returns for the 2025 tax season through Direct File. That's up from the 140,803 submitted accepted returns in 2024.

Read more: https://abcnews.go.com/Business/wireStory/irs-direct-file-year-means-taxpayers-127237711