WASHINGTON —
IRS Free File, which has been making taxes a little less taxing for a
decade, opens Jan. 17. More than 33 million returns have been filed
through Free File since its debut.
Everyone can
use Free File, either the brand-name software offered by IRS’ commercial partners or the online fillable forms. Individuals or
families with 2011 adjusted gross incomes of $57,000 or less can use
Free File software. Free File Fillable Forms, the electronic version
of IRS paper forms, has no income restrictions.
“Free File can
save you time and money. You can prepare and e-file your tax return
at no charge. And, the software helps you find the tax breaks you
are due,” said Diane Fox, director, Free File program. “Free File
helps make taxes less taxing.”
Free File
software is a product of a public-private partnership between the
IRS and the Free File Alliance, LLC. The Alliance is a consortium of
approximately 20 tax software providers who make versions of their
free-file products available exclusively at
www.irs.gov/freefile.
All Free File
members must meet certain security requirements and use the latest
in encryption technology to protect taxpayers’ information. Seventy
percent of taxpayers – 100 million people - are eligible for Free
File software. It’s perfect for first-time filers, families looking
to save money or older Americans adept at using the Internet.
People with an
adjusted gross income of $57,000 or less are eligible for at least
one software product if not more. Each of the Free File software
providers sets their own eligibility requirements, usually based on
qualifiers such as income, state residency, age or military status.
The easiest way
to locate a software provider is to use the online “get help” tool
at
www.irs.gov/freefile that, with a little of a taxpayer’s
information such as income, age and state residency, can identify
matching free-file products. Or, taxpayers can review all providers
and their offers. Some software providers also offer state income
tax preparation for free or for a fee.
Also, the IRS is working with select volunteer tax sites such as Volunteer Income Tax
Assistance (VITA) and Tax
Counseling for the Elderly. There are 200 locations nationwide that
have set up Free File kiosks where taxpayers can use computers to
prepare their own returns with Free File.
For taxpayers
whose incomes are more than $57,000, there’s Free File Fillable
Forms, available only at the IRS website. This program is best for taxpayers experienced in preparing
their own federal tax returns. For people who prefer doing their
taxes the old fashioned way – by paper – this is an electronic
alternative.
Free File
Fillable Forms performs some math calculations and provides links to
some IRS publications. It does not use the familiar question-and-answer format
used by software. Taxpayers can e-file the forms for free. It also
does not support state income tax returns.
Taxpayers must
access the free-file products through IRS.gov or authorized kiosks to
avoid any charges for preparing or e-filing a federal tax return.
Once taxpayers
have selected a Free File software product, they will be directed
away from IRS.gov to the partner’s site to prepare and e-file their returns. The
IRS does not retain any personal information from the taxpayers.
The IRS also
encourages businesses, state and local governments, charities and
churches to inform their employees, clients and customers about Free
File.
