As of January 27th, the IRS is accepting individual tax returns for processing. With many filing options (including your local CPA!), it can be hard to know where to start. A new and overlooked option is filing with the IRS through Direct File. Did we mention it’s free? Let’s take a look.

The Program

Direct File is in its 2nd year and available in 25 participating states (including Washington). Like popular paid DIY options, the software asks guided questions to help fill-in your taxes. It’s not a one-size-fits-all solution, but if you DIY you may want to check it out. And it’s free!

Requirements

• You must have lived and worked in a participating state for the year: Alaska, Arizona, California, Connecticut, Florida, Idaho, Illinois, Kansas, Maine, Maryland, Massachusetts, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, Oregon, Pennsylvania, South Dakota, Tennessee, Texas, Washington, Wisconsin, or Wyoming.
• It includes most sources of income, like W-2, Social Security, interest, and retirement (available in March 2025). More complex scenarios, like rental and self-employed business income, are not available.
• Only certain credits, like the earned income tax credit, the child tax credit, and the dependent care credit, are eligible.
• Direct File does not support itemized deductions.
• Or state tax returns. (A link is provided to the state’s filing options.)

Check here for a full list of requirements or check your eligibility with a short questionnaire.

Is it a better DIY option?

It’s free. There are a lot of services out there that advertise free filing, but this can be deceiving. You sign up, enter all your information, and in the end, are confronted with upsells and fees.

It’s secure. The IRS already has your Social Security number, your home address, date of birth, and tax forms. Why bother giving this data to a third party?

Support. You can chat live to get technical support or ask basic tax questions.

If you’re unsure where to start, check out Direct File and find out if you’re eligible. It’s free! And when the situation arises that you need a professional, we’re here to help!