Let's Talk about Tax
The IRS announced in May that it plans to launch a pilot program during the 2024 filing season allowing taxpayers to directly e-file their returns after a report to Congress showed that 72 percent of surveyed taxpayers supported using an IRS-provided tool to prepare and file their tax returns. The report also indicated that the effort to guarantee free and simple e-filing services to most American taxpayers through the IRS Free File Program, a partnership with private tax preparation companies, has not been successful for over two decades.
The conclusion from the report indicated that the expense and difficulty of filing a tax return prevent millions of American families every year from claiming thousands of dollars in benefits through the earned income tax credit and child tax credit. Congressional representatives have indicated that the new government-provided direct e-file tool will be simple for the average taxpayer. They are also apparently ready to assist in publicizing and supporting the direct file tool as it launches next year. Some, including the National Taxpayer Advocate Erin Collins, have expressed concern about whether the IRS can quickly set up the system considering the agency’s heavy load of projects and expanded hiring needs.
The Neighborhood Christian Legal Clinic will be ready to assist low-income taxpayers with the new IRS e-filing system when it goes live. We still don’t have information on how the system will look, but we will be able to help with any issues that arise from its inception. We are excited that a free e-file option will be available to all taxpayers and look forward to assisting and representing taxpayers with any and all tax controversy issues that may arise from those filings.