The IRS is expecting several hundred thousand taxpayers to use its new online tax filing portal when it launches to the public in March, but officials aren’t putting a limit on the number of people who can use it.
The new digital tax filing system known as Direct File was initially characterized by the agency as a limited pilot program, but an IRS official said Thursday the program has no upper bound on the amount of taxpayers it can handle across the 12 states where it’s being rolled out.
The Direct File system will be available in Arizona, California, Florida, Massachusetts, Nevada, New Hampshire, New York, South Dakota, Tennessee, Texas, Washington and Wyoming.
Anyone who meets the program’s eligibility requirements and lives in one of the 12 pilot states will be able to use the free Direct File system to file their 2024 taxes, the official said on a call with reporters.
Eligibility for Direct File is limited to people with form W2 income, which is standard wages, unemployment compensation, Social Security benefits and interest of $1,500 or less. Other types of income, such as returns on stock or other investments, won’t be supported by the program.