In 2025, the Internal Revenue Service's free tax-filing program, Direct File, will reach twice as many states as this year, and as many as 30 million taxpayers are expected to be eligible for it.
It will also handle more types of income, more credits, and more deductions, the Treasury and the IRS announced on Thursday, including the Credit for Other Dependents, the Child and Dependent Care Credit, the Premium Tax Credit, and the Retirement Savings Contributions Credit, as well as the deduction for health savings accounts.
In 2025, Direct File is also expected to have a new chat bot to provide guided help on the eligibility checker. (An IRS PDF of eligibility requirements is
The pilot program that was
"Thanks to the Biden-Harris Administration's Inflation Reduction Act, the IRS is able to provide more than 30 million Americans with the option to file their taxes for free in an easy way," said Secretary of the Treasury Janet Yellen, in a statement. "By doubling the number of participating states and expanding eligibility, Direct File has the potential to save Americans tens of millions of dollars in filing fees in the upcoming filing season … . As filing season approaches, taxpayers in the 24 participating states should check their eligibility for this free and easy tool to see if it's the right option for them."
The participating states for 2025, along with the estimated number of potentially eligible taxpayers in each, is below.
| State | Potential eligible taxpayers |
| Alaska | 100,000 |
| Arizona* | 1,140,000 |
| California* | 5,620,000 |
| Connecticut | 520,000 |
| Florida* | 3,220,000 |
| Idaho | 210,000 |
| Kansas | 410,000 |
| Maine | 170,000 |
| Maryland | 870,000 |
| Massachusetts* | 1,050,000 |
| Nevada* | 490,000 |
| New Hampshire * | 180,000 |
| New Jersey | 1,370,000 |
| New Mexico | 300,000 |
| New York* | 3,250,000 |
| North Carolina | 1,670,000 |
| Oregon | 640,000 |
| Pennsylvania | 2,140,000 |
| South Dakota* | 110,000 |
| Tennessee* | 800,000 |
| Texas* | 4,200,000 |
| Washington* | 920,000 |
| Wisconsin | 830,000 |
| Wyoming* | 60,000 |
*States with an asterisk participated in 2024.
The Treasury and the IRS said that they had begun getting commitments from even more states to participate in direct file in 2026, but did not specify which ones.
(Read an
