The IRS won't offer Direct File for next year's tax season

Direct File, the free tax filing tool offered by the Internal Revenue Service, won't be an option for taxpayers next year.

IRS official Cynthia Noe sent an email to state comptrollers that participate in the Direct File program this week, saying “IRS Direct File will not be available in Filing Season 2026. No launch date has been set for the future.” That removes an economical option for low-income filers who can't afford commercial tax preparation software such as TurboTax.

The Trump administration had long threatened to do away with Direct File. Earlier this year, former IRS Commissioner Billy Long said at a tax professional summit "You've heard of Direct File, that's gone. Big beautiful Billy [the Trump budget bill[ wiped that out."

The tool is currently unavailable through the IRS website.

Approximately 296,531 taxpayers submitted accepted returns using the IRS Direct File program during the 2025 tax season. That was almost twice the number that used it the year prior. Still, the program has faced criticism from Republicans, who called it a waste of taxpayer money, pointing to existing free programs that are available to tax filers. Those programs are much more difficult to use.

Private tax companies have aggressively lobbied Congress against Direct File. It was also targeted by Elon Musk and the Department of Government Efficiency.

The DirectFile website, as of Thursday morning, announced the program's shutdown, with a message reading "Direct File is closed. More information will be available at a later date."

The budget bill passed in July included funding for the IRS to explore "the cost to replace any direct e-file programs run by the Internal Revenue Service" and "the cost of developing and running a free direct e-file tax return system." To date, it has not reported any results from that study.