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John,
How much did you pay to file your taxes this year? If you’re like most taxpayers, it probably took you about 13 hours and $250 to file your returns.[1] But it doesn’t have to be this way!
For the last 20 years, tax filing software companies such as TurboTax and H&R Block have successfully lobbied the federal government to stop the IRS from implementing a free, simple way for U.S. taxpayers to file their taxes online.[2]
But now, thanks to the $80 billion investment in the IRS made last year by Democrats in Congress and President Biden, the agency has the resources to create a free, direct filing system that would save taxpayers time and money.
Check out Frank’s email below for more details, then click here to sign the petition to new IRS Commissioner Danny Werfel to implement a free filing system, available to millions of taxpayers, that would not only save time, money, and hassle, but would also help low-income families easily claim important supports such as the Earned Income Tax Credit and Child Tax Credit.
Together, we’re pushing for a free, simple, publicly run tax-filing system that puts the American people, not for-profit corporations, first.
Maura Quint
Campaign Director
Americans for Tax Fairness Action Fund
[1] “1040 (AND 1040-SR) INSTRUCTIONS,” IRS, Tax Year 2022
[2] “Inside TurboTax’s 20-Year Fight to Stop Americans From Filing Their Taxes for Free,” ProPublica, Oct. 17, 2019
-- Frank's email --
John,
Each year, millions of taxpayers file their own tax returns using corporate-owned for-profit software such as TurboTax or H&R Block.[1]―paying for the privilege to do so.[2]
How have these corporations cornered the tax-prep market? For the last 20 years, through both overt and covert lobbying efforts, TurboTax and H&R Block have intentionally blocked the IRS from creating a Free File tax return program—in the process wasting American taxpayers’ time and money.[3]
Over 70% of taxpayers are eligible for the “Free File” program offered by for-profit tax preparers in partnership with the IRS—but only 3% use it.[3] This is because TurboTax and H&R Block make it hard to find the free-file option and instead divert users toward filing options that cost money.[3]
Last year, ATF and our allies fought for and won an $80 billion investment over 10 years in the IRS to crack down on wealthy and corporate tax cheats and provide the IRS with the resources it needs to better serve the American public. Specifically included in the new funding was $15 million to study the creation of a free, direct filing system.[4] But a study isn’t enough. The IRS should use these new resources to create a free, direct filing system that would save taxpayers time, money, and hassle while narrowing economic and racial inequality.
Sign now to call on new IRS Commissioner Danny Werfel to implement a free, simple publicly run tax filing system that saves taxpayers time and money.
Free, easy filing is particularly vital for low-income families who otherwise can miss out on important income support such as the Earned Income Tax Credit (EITC) and the Child Tax Credit (CTC). More than one in five people currently eligible for the EITC fail to claim it.[5]
And, because Black and Latino families disproportionately benefit from the EITC and CTC [6], increased participation in these programs through easier filing would narrow racial income and wealth gaps.
Click here to sign the petition and demand the IRS use the new investment signed by President Biden last year to implement a free, simple tax filing system available to millions of taxpayers.
Together, we’re fighting for a tax system that works for everyday people, not just the rich and powerful.
Thank you,
Frank Clemente
Executive Director
Americans for Tax Fairness Action Fund
[1] "Why Don’t More Taxpayers Take Advantage of Free Help Filing Taxes Online?” GAO, May 10, 2022.
[2] “1040 (AND 1040-SR) INSTRUCTIONS,” IRS, Tax Year 2022
[3]“Inside TurboTax’s 20-Year Fight to Stop Americans From Filing Their Taxes for Free,” ProPublica, Oct. 17, 2019
[4] “Inflation Reduction Act Will Require the IRS to Study Free Tax Filing Options,” ProPublica, Aug. 16, 2022
[5] “EITC Awareness Day: Important changes mean more people qualify for credit that helps millions of Americans,” IRS, Jan. 28, 2022
[6] “Disparities in the Benefits of Tax Expenditures by Race and Ethnicity,” U.S. Department of the Treasury, Jan. 20, 2023
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