The IRS tried the Direct File project for the 2024 tax season on a limited basis in 12 states for people with very simple W-2s.that it experimented with this year and is asking all 50 states and the District of Columbia to help taxpayers file their returns through the program in 2025.
IRS Commissioner Danny Werfel said the IRS will report later this year on how many states plan to participate in the program in 2025. “The IRS has been underfunded for decades, so taxpayers haven’t gotten the support they deserve,” Treasury Secretary Janet Yellen told reporters in a call Thursday. “Thanks to the Inflation Reduction Act, we’re changing this.” The IRS is part of the Treasury Department.Werfel said expanding the program will provide another filing option to taxpayers and"fits squarely into the IRS’ effort to make taxes as easy as possible for Americans, including saving time and money.