WASHINGTON – U.S. Senators Chris Coons (D-Del.) and Elizabeth Warren (D-Mass.) and U.S. Representatives Brad Sherman (D-Calif.), Mark Pocan (D-Wis.), Judy Chu (D-Calif.), and Steny Hoyer (D-Md.) led over 130 members of Congress this week in writing to Treasury Secretary-Designate Scott Bessent and Internal Revenue Service (IRS) Commissioner-Designate Billy Long, urging them to keep and expand the IRS Direct File program.
In 2024, in red and blue states, Direct File, a new tool for taxpayers to file their taxes online for free with the IRS, helped thousands of taxpayers file accurately and securely. The program received excellent reviews and is set to expand this month to 25 states and over 30 million eligible Americans. Direct File was created as part of President Joe Biden’s Inflation Reduction Act in 2022.
“This program is efficient and effective, providing a vital service for millions of Americans, while also keeping their data safe from misuse,” the lawmakers wrote. “Congress does not need to pass legislation to continue this progress. If confirmed, we urge you to maintain and expand it.”
Direct File was created to save taxpayers time and money. Right now, on average, Americans spend $160 and eight hours to file their taxes, often losing a chunk of their refund to do so. Giving taxpayers the option to file for free through the Direct File program has saved filers approximately $5.6 million in federal tax preparation fees in just its pilot year and is projected to save filers $11 billion a year at scale.
The 2024 Direct File pilot proved to be a success. Used by more than 140,000 taxpayers, nearly 90% of surveyed filers said Direct File increased their trust in the IRS, and nearly 90% had “above average” or “excellent” experiences with the program. Indeed, the pilot was so successful that, when the IRS announced it would make Direct File a permanent program, 13 additional states elected to offer this option to their taxpayers.
“Taxpayers’ embrace of Direct File is indicative of their interest in a free, easy, private, and secure method of filing,” the lawmakers continued. “We disagree with our colleagues who are calling on the President to pull the plug, harming taxpayers and undermining the work that two dozen state governments in red and blue states have done to support taxpayers for the upcoming 2025 tax filing season.”
Elon Musk and Vivek Ramaswamy, the leaders of President-elect Donald Trump’s Department of Government Efficiency, have talked about developing a mobile app for Americans to file their taxes for free with the IRS. The lawmakers believe that Direct File is a current solution that aligns with their goal.
While Delaware is not part of the program yet, the IRS doubled the number of states using Direct File for 2025: Alaska, Arizona, California, Connecticut, Florida, Idaho, Kansas, Maine, Maryland, Massachusetts, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, Oregon, Pennsylvania, South Dakota, Tennessee, Texas, Washington, Wisconsin, and Wyoming.
The letter is signed by 26 senators and 115 House members.
You can read the full letter here.