IRS Commissioner Danny Werfel speaks at a Senate Finance Committee listening to in Washington, D.C., on April 19, 2023.
Al Drago | Bloomberg | Getty Photos
The IRS on Tuesday unveiled extra particulars about its direct submitting pilot program launching for the 2024 tax season.
Often called Direct File, the pilot will permit sure taxpayers to electronically file federal tax returns totally free immediately by the IRS, the company informed reporters on a press name.
Beginning in 2024, Arizona, California, Massachusetts and New York will combine state tax filings into the pilot program. Taxpayers from Alaska, Florida, New Hampshire, Nevada, South Dakota, Tennessee, Texas, Washington and Wyoming might also be eligible.
An IRS official estimates “not less than a number of hundred thousand taxpayers throughout the nation” can have the choice to take part within the 2024 pilot program.
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“On this restricted pilot for 2024, we will likely be working intently with the states which have agreed to take part in an essential check run of the state integration,” IRS Commissioner Danny Werfel mentioned. “It will assist us collect essential details about the longer term course of the Direct File program.”
After submitting federal returns by Direct File, the software program will direct taxpayers to state-sponsored instruments to finish separate state filings. For 2024, this integration will solely embody collaborating states.
Who’s eligible for IRS Direct File in 2024
“To make sure an excellent expertise for taxpayers, the pilot will launch in phases,” Laurel Blatchford, chief implementation officer for the Inflation Discount Act on the U.S. Division of the Treasury mentioned.
For 2024, the pilot will deal with particular person filers with “comparatively easy returns,” however not all taxpayers will qualify. The IRS expects this system to incorporate Type W-2 earnings, Social Safety revenue, unemployment revenue and curiosity of $1,500 or much less.