Here’s something the big tax prep companies really don’t want you to know: the IRS has an official program called Free File that lets eligible Americans prepare and submit their federal tax return at zero cost. According to the IRS, if your Adjusted Gross Income (AGI) — roughly what you earned in a year after certain adjustments, which is different from your take-home pay — is $89,000 or below, you qualify for Free File Guided Tax. That covers a huge chunk of Americans, especially young people just starting out.
The way it works is pretty simple. The IRS partners with trusted tax software companies through something called the Free File Alliance. Those companies provide their software for free to eligible users through the IRS website. You go to the IRS Free File page, pick a partner offer that fits your situation, and file — no credit card, no surprise charges. The IRS also has Free File Fillable Forms for people who are comfortable doing their own taxes and don’t need the step-by-step guidance, and those have no income limit at all.
Important: Free File covers your federal tax return only. If your state has an income tax, you may still need to file a separate state return — some Free File partners include state filing, but not all. Check the details of any offer before you start.
One thing worth knowing: the IRS says Free File partner companies are not allowed to share or use your tax return information for anything other than preparing your taxes — unless you specifically give them permission. They’re also subject to Federal Trade Commission Privacy and Safeguards Rules and IRS e-file regulations. So your info isn’t just floating around.
The place to go is the official IRS website — irs.gov/file-your-taxes-for-free. Do not Google ‘free tax filing’ and click the first ad that pops up. Go directly to the IRS site. From there you can browse all partner offers and find the one that fits you.
Bottom line: if you made under $89,000 this year, you very likely do not need to pay anyone to file your federal taxes. The free option is real, it’s official, and it’s sitting right on the IRS website.