[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"detail-sidebar-cat-1-en-105":3,"doc-seo-303338-105":53,"doc-detail-303338-en":126},{"code":4,"msg":5,"data":6},0,"success",[7,14,19,24,29,34,39,44,49],{"id":8,"doc_module":9,"doc_module_name":10,"category_name":11,"show_sort_weight":12,"slug":13},11,1,"Template","Presentations",90,"presentations",{"id":15,"doc_module":9,"doc_module_name":10,"category_name":16,"show_sort_weight":17,"slug":18},12,"Resumes",80,"resumes",{"id":20,"doc_module":9,"doc_module_name":10,"category_name":21,"show_sort_weight":22,"slug":23},14,"Invoices",70,"invoices",{"id":25,"doc_module":9,"doc_module_name":10,"category_name":26,"show_sort_weight":27,"slug":28},15,"Posters",60,"posters",{"id":30,"doc_module":9,"doc_module_name":10,"category_name":31,"show_sort_weight":32,"slug":33},16,"Social Media",50,"social-media",{"id":35,"doc_module":9,"doc_module_name":10,"category_name":36,"show_sort_weight":37,"slug":38},17,"Forms",40,"forms",{"id":40,"doc_module":9,"doc_module_name":10,"category_name":41,"show_sort_weight":42,"slug":43},18,"Letters",30,"letters",{"id":45,"doc_module":9,"doc_module_name":10,"category_name":46,"show_sort_weight":47,"slug":48},21,"Paper Templates",5,"papers-templates",{"id":50,"doc_module":9,"doc_module_name":10,"category_name":51,"show_sort_weight":4,"slug":52},158,"General","general-158",{"code":4,"msg":54,"data":55},"ok",{"site_id":56,"language":57,"slug":58,"title":59,"keywords":60,"description":61,"schema_data":62,"social_meta":119,"head_meta":121,"extra_data":123,"updated_unix":125},105,"en","report-on-the-replacement-of-direct-file-section-70607-of-public-law-no-119-21","Report on the Replacement of Direct File - Section 70607 of Public Law No. 119-21","","Report prepared for the U.S. Department of the Treasury evaluates alternatives to IRS Direct File as required by Section 70607 of Public Law No. 119-21. It reviews free tax preparation and filing options for individual taxpayers, compares program approaches and taxpayer preferences, and analyzes costs to develop and run a free direct e-file system and to establish public-private partnerships. It assesses a phased new approach including enhancing awareness of Free File, suspending Direct File, surveying filers, and defining what “free” means.",{"@graph":63,"@context":118},[64,80,101],{"@type":65,"itemListElement":66},"BreadcrumbList",[67,71,74,77],{"item":68,"name":69,"@type":70,"position":9},"https://docshare.wps.com","Home","ListItem",{"item":72,"name":10,"@type":70,"position":73},"https://docshare.wps.com/template/",2,{"item":75,"name":41,"@type":70,"position":76},"https://docshare.wps.com/template/letters/",3,{"item":78,"name":59,"@type":70,"position":79},"https://docshare.wps.com/template/report-on-the-replacement-of-direct-file-section-70607-of-public-law-no-119-21/303338/",4,{"url":78,"name":59,"@type":81,"image":82,"author":87,"headline":59,"publisher":90,"fileFormat":93,"inLanguage":57,"description":61,"dateModified":94,"datePublished":95,"encodingFormat":93,"isAccessibleForFree":96,"interactionStatistic":97},"DigitalDocument",{"url":83,"@type":84,"width":85,"height":86},"https://docshare.wps.com/thumbnails/report-on-the-replacement-of-direct-file-section-70607-of-public-law-no-119-21/303338.png","ImageObject",442,249,{"name":88,"@type":89},"Franzy","Person",{"url":68,"name":91,"@type":92},"DocShare","Organization","application/pdf","2026-10-04","2026-09-19",true,{"@type":98,"interactionType":99,"userInteractionCount":79},"InteractionCounter",{"@type":100},"ViewAction",{"@type":102,"mainEntity":103},"FAQPage",[104,110,114],{"name":105,"@type":106,"acceptedAnswer":107},"What requirement prompted this report, and which agency prepared it?","Question",{"text":108,"@type":109},"Section 70607 of Public Law No. 119-21 directs the Department of the Treasury to evaluate alternatives to Direct File. The Department of the Treasury prepared this report to fulfill that requirement.","Answer",{"name":111,"@type":106,"acceptedAnswer":112},"How did Direct File perform compared with other free filing options?",{"text":113,"@type":109},"Direct File had low overall participation and relatively high federal costs and burdens versus other free options. 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This report fulfills this requirement.  \nTable of Contents  \nSection I: Executive Summary........................................................................................................ 1  \nSection II: Overview of Free Tax Preparation and Filing Programs............................................... 2  \nFederal Income Tax Preparation Methods for Tax Year 2024 ..................................................... 3  \nVolunteer Income Tax Assistance Program (VITA) and Tax Counseling for the Elderly Program (TCE) ............................................................................................................................ 4  \nIRS Free File Program................................................................................................................. 5  \nFree File Fillable Forms Program ............................................................................................... 7  \nIRS Direct File Program .............................................................................................................. 7  \nCommercial Free Tax Preparation Products ................................................................................ 9  \nComparison of Programs ........................................................................................................... 10  \nSection III: Taxpayer Opinions and Preferences........................................................................... 12  \nTaxpayer Interest in a Taxpayer-Funded Government-Run Service ......................................... 13  \nTaxpayer Interest in a Free Service Provided by the Private Sector ......................................... 13  \nSection IV: Costs........................................................................................................................... 14  \nCosts to Develop and Run a Free Direct E-File Tax Return System ........................................ 14  \nCosts to Establish Public-Private Partnerships for Free Tax Filing .......................................... 15  \nSection V: Assessment of a New Approach .................................................................................. 16  \nSTEP 1: Enhance Awareness of Free File and Launch Public Communications Strategy ....... 16  \nSTEP 2: Suspend the Direct File Program ................................................................................ 18  \nSTEP 3: Conduct Survey and Engage Partners ......................................................................... 19  \nConduct Survey on Taxpayer Filing Preferences and Opinions ............................................ 19  \nConvene Free Filing Modernization Summit ........................................................................ 19  \nSTEP 4: Define “Free” Return, Collect Data, and Prepare Supplemental Report .................... 19  \nDefine “Free” Return and Collect Data from Commercial Tax Software Companies .......... 19  \nPrepare Supplemental Report on the Future of Free Tax Filing ............................................ 19  \nPath Forward ............................................................................................................................. 20  \nAppendix A-Taxpayer Interest in a Taxpayer-Funded Government-Run Service (Survey Finding Table) ............................................................................................................................................ 21  \nAppendix B-Taxpayer Interest in a Free Service Provided by the Private Sector (Survey Finding Table) ............................................................................................................................................ 26  \nSection I: Executive Summary  \nAmerican t","cbCaijzaQ9d3dpZj","https://ap.wps.com/l/cbCaijzaQ9d3dpZj","pdf",1340992,"English","# Executive Summary\n## Free tax preparation and filing options\n## Direct File background and performance\n# Overview of Free Tax Preparation and Filing Programs\n## Free File and volunteer programs\n## IRS Free File and Free File Fillable Forms\n## IRS Direct File and commercial products\n## Comparison of Programs\n# Taxpayer Opinions and Preferences\n# Costs\n## Costs for a free direct e-file system\n## Costs for public-private partnerships\n# Assessment of a New Approach\n## Step 1-4 and path forward\n# Appendices\n## Survey finding tables","[{\"question\":\"What requirement prompted this report, and which agency prepared it?\",\"answer\":\"Section 70607 of Public Law No. 119-21 directs the Department of the Treasury to evaluate alternatives to Direct File. The Department of the Treasury prepared this report to fulfill that requirement.\"},{\"question\":\"How did Direct File perform compared with other free filing options?\",\"answer\":\"Direct File had low overall participation and relatively high federal costs and burdens versus other free options. For tax year 2024, Direct File represented less than 0.5% of roughly 146 million returns filed.\"},{\"question\":\"What are the proposed steps in the new approach to replace Direct File?\",\"answer\":\"The plan outlines a phased process: enhance awareness of Free File and launch communications, suspend the Direct File program, conduct surveys and engage partners, then define what a “free” return means and prepare a supplemental future-focused report.\"}]","Report on the Replacement of Direct File - Section 70607 of Public Law No. 119-21 | PDF",1789802260]