IRS Moves to Boost Tax Software After Industry Lobbying Push (2)

Nov. 6, 2025, 2:36 PM UTCUpdated: Nov. 6, 2025, 5:41 PM UTC

The Trump administration is moving toward working more closely with tax preparation companies as Republicans look to wind down the Biden-era Direct File program, the Treasury Department wrote in a long-expected report to Congress.

The report “recommends refocusing IRS efforts on strengthening existing free filing programs, particularly Free File, while engaging stakeholders to modernize and promote awareness of Free File,” referring to an existing private-sector partnership.

Republicans had promised to dissolve the Direct File effort when they took full control of Washington, backed by the industry that makes billions from tax software. Democrats created the program and said ending it ...

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