IRS to Launch Free Tax-Filing Pilot Program in 13 States for 2024

The IRS will test a free tax-filing system in 13 states early next year, with hundreds of thousands of taxpayers expected to participate. The agency aims to save Americans money, as they currently spend about $11 billion annually on tax-preparation services. The first states to roll out the IRS' direct-filing platform are Arizona, California, Massachusetts, and New York, while residents in nine other states without income tax may also be eligible. The program is part of the Inflation Reduction Act and will be rolled out incrementally. The IRS plans to work with various organizations to identify eligible taxpayers based on their income, tax credits, and deductions.