Pennsylvania is the newest state to offer a free tax filing option for 2025 from the Internal Revenue Service (IRS) and at least 1.5 million Pennsylvanians will be eligible to use the free online filing tool for the next filing season.
“Direct File is one of the many ways the Biden-Harris administration is working to lower costs in everyday life, and we are pleased to welcome Pennsylvania as the next state to offer this new free option to taxpayers,” U.S. Treasury Secretary Janet Yellen said on Tuesday.
IRS Direct File was made possible by President Joe Biden’s Inflation Reduction Act, which provided resources for the IRS to improve customer service in-person, over the phone, and online to ensure taxpayers claim the benefits and deductions for which they are eligible, according to the U.S. Treasury Department.
“The numbers don’t lie: Direct File is a game-changing, common-sense program that enables Americans to do their taxes easily, securely, and affordably,” said U.S. Sen. Bob Casey (D-PA). “Thanks to this program, Americans can confidently file their taxes and keep more of their hard-earned dollars.”
Following a successful pilot program in 12 states that saw 140,000 taxpayers claim more than $90 million in refunds and save an estimated $5.6 million in filing fees using the free online filing tool, the Treasury Department then made the option permanent and open to all states.
“Filing your taxes should be free and easy — that’s why we’re improving our digital services and adopting IRS Direct File here in Pennsylvania,” said Gov. Josh Shapiro. “Thanks to the Biden-Harris administration’s Direct File initiative, Pennsylvanians will be able to save money by filing both their state and federal taxes at no cost on an easy-to-use platform.”
The Treasury Department said it also plans to expand the reach and tax scope of Direct File to provide an option for working- and middle-class taxpayers nationwide.
“There should be no wrong door to access government services, and the Shapiro administration will continue to bring human-centered, user-friendly, reliable, and accessible digital services to every Pennsylvanian to help lower costs and break down barriers,” Shapiro said.