There are several free tax filing options
There are several options you can use to file your federal taxes, and sometimes your state taxes, for free.
During the 2021 tax season, several tweets went viral affirming hidden tax preparation companies free servicescausing people to pay for services that could have been free.
Now that the 2022 tax season has begun, people are once again interested in finding ways to file their taxes for free. “Free tax filing 2022” was the top Google search for taxes during the month of January.
THE QUESTION
Can you file your taxes for free?
THE SOURCES
THE ANSWER
Yes, you can file your taxes for free.
WHAT WE FOUND
On January 14, the Internal Revenue Service (IRS) announced the return of Free File, a program providing taxpayers with free online tax preparation software. Free File, the IRS said, offers eight English programs and two Spanish programs for any individual or family who earned $73,000 or less in 2021. IRS Free File only guarantees you a federal tax return free, although the IRS says some programs offer free state tax preparation and filing.
According to the Free File Alliance, the program covers approximately 100 million people, or 70% of taxpayers. However, the Treasury Department found that only about 2.4% of eligible taxpayers used IRS Free File during the 2019 tax filing season.
Another free tax filing option offered by the IRS allows people to fill out federal tax forms online for free, which is equivalent to a paper Form 1040. The agency warns that anyone choosing this option, which is also open individuals and families who earned more than $73,000 in 2021, should know how to prepare their own tax return.
Beyond the IRS, there are other options available to file your taxes for free.
The AARP Foundation provides an in-person service called Tax-Aide that will help anyone – regardless of income – file their taxes for free, although the service is focused on people over 50 who have low incomes. to moderate. AARP Tax Help can help you with most, but not all, tax returns and is available by appointment only in 2022.
Although AARP does not offer free online tax filing, its free online service will provide you with someone to walk you through filing your taxes yourself.
Cash App Taxes provides a free tax filing service with no income restrictions for federal and state taxes, but you must download Cash App and sign in to use the service.
Many of the larger paid tax preparation services also offer free tax filing for simple tax filings, separate from the IRS Free File program. The free version of TurboTax covers W-2 income, limited interest or dividend income reported on a Form 1099, standard deduction claims, earned income tax credit (EITC), tax credits for children and interest deductions on student loans. The free version of H&R Block covers basic W-2 income, EITC, child tax credit, student loan interest deductions, and retirement income reporting. Neither TurboTax nor H&R Block place income restrictions on their free returns.
More CHECK: Yes, you are more likely to get your refund faster if you file your 2021 taxes electronically
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