Skip to main content

The IRS’s Direct File Program Is Costly and Redundant

Media reports on the IRS’s Direct File pilot program tend to repeat a few key talking points: claiming that the program is “free,” widely accessible, and popular with taxpayers. But these misleadingly rosy narratives overlook serious flaws with the program and its origin. Direct File was developed without the consent of Congress, doesn’t serve the vast majority of taxpayers, and is not truly free.

These concerns are finally being recognized in Washington. The House of Representatives recently passed what’s been dubbed the “One Big Beautiful Bill,” which includes a provision to terminate Direct File. This follows reports that the Trump administration is also considering ending the program administratively.

Predictably, these developments have triggered a wave of coverage and commentary lamenting the possible demise of Direct File — but much of it repeats myths that don’t hold up under scrutiny.

Read the full story here.