IRS testing free tax filing system to compete with Turbo Tax, H&R Block and more

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IRS testing free tax filing system to compete with Turbo Tax, H&R Block and more
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The Internal Revenue Service is testing its own free online tax filing system in a move that could put the agency in direct competition with preparers such as Turbo Tax and H&R Block. Would you be interested in a free filing program from the IRS?

The Internal Revenue Service is testing its own free online tax filing system in a move that could put the agency in direct competition with preparers such as Turbo Tax and H&R Block.the IRS has already built a prototype of the system that will launch to a small group of users in January. Building of the prototype was funded through $15 million from last year’s Inflation Reduction Act.

Free File does not auto complete any of the financial information but does provide free filing for most state taxes.“The IRS direct e-file pilot set to start in January 2024 continues to be a solution in search of a problem. With more than 30 organizations already offering free tax preparation, this pilot is unnecessary and faces significant barriers to providing comprehensive tax preparation services.

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