If you’ve wondered whether it’s possible to file your taxes for free, the general answer is yes. However, whether this option is available to you specifically will depend on your annual income and how complex your tax situation is. Let’s take a closer look at some of the free and low-cost filing options out there.
GetYourRefund.org
If your income is less than $79,000 per year, you may be eligible for free tax filing assistance through GetYourRefund.org. GetYourRefund is a free, virtual, non-profit service build by Code for America in partnership with the IRS and with support from the White House and the U.S. Department of Treasury. GetYourRefund aims to provide low-income households with high quality virtual tax services. There are two free options available for eligible taxpayers. The first is the GetMyRefund Full Service option, which connects you with an IRS certified tax preparer. This option is ideal for those who have never filed taxes before, have several years of taxes to file, or who have lots of questions about the process. This option is only available to taxpayers who make less than $66,000 per year. The second option is an online self-filing option, which most filers can complete in 45 minutes or less. Chat support is available for self-filers as well.
IRS Free File
The IRS Free File program allows qualified taxpayers to prepare and file their own tax returns for free. There are two options: a guided tax software, and fillable forms. The guided tax software option is available to those who have an adjusted gross income of $79,000 or less per year. With this option you can choose from various free online tax preparation providers and use their software to complete your taxes. It’s important to note that these providers have their own eligibility requirements, so you’ll need to enter your details in order to view the partners that match your eligibility. Some of the providers also offer free state tax returns. If you are ineligible for the guided tax software option, you may still be able to file your federal taxes for free using the IRS’ fillable e-file tax forms. These forms are available to everyone regardless of income level, however they do not allow for state tax preparation. They also do not provide guidance on math calculations. If you have very complicated tax returns, this might not be your best option, but if your tax returns are relatively straightforward, you may want to explore the free, fillable forms.
Low-Cost Tax Preparation Software
For those who don't qualify for free tax filing assistance but still want an affordable solution, there are low-cost tax preparation software options available. Websites such as NerdWallet and CNET dissect and contrast a slew of affordable tax prep tools, so you can find one that meets your financial situation. For many, using low-cost tax preparation software is more attractive than going it alone, as they feature easy-to-follow steps and help safeguard against mistakes.
Professional Tax Preparation Assistance
While filing your taxes on your own or using software can be cost-effective, there are times when it makes sense to hire a professional tax preparer. If you have a complex tax situation, own a business, or have experienced major life changes like getting married or buying a home, seeking the expertise of a tax professional may be worth the investment. A tax expert can also help you identify every eligible deduction to boost your tax savings.
Whether you choose to file your taxes yourself or seek professional help, it's important to gather all the necessary documents and information before getting started. A tax prep checklist can help you ensure you have all of the necessary documentation and information. It’s also important to keep track of tax filing deadlines. Most taxpayers must file their personal tax returns by April 15, 2024, while residents of Massachusetts and Maine have until April 17, 2024 due to state holidays.
You should also give some thought to how you can maximize your tax refund if you’re eligible for one. Consider depositing it into a high-interest checking or high-yield savings account, so you can earn additional dollars from it. On the flip side, if you find yourself owing taxes or facing a tax penalty when you complete your return, you should consider adjusting your withholdings or making quarterly estimated tax payments.
Best of luck to you this tax season!