Taxpayers using Direct File claim over $90 million in refunds
- IRS’s free tax-prep software, Direct File, saved Americans $5.6 million in fees
- Taxpayers using the free software claimed over $90 million in refunds
- IRS considering expanding the program to cover more states and complex returns
- Direct File could be a competitor to commercial services like TurboTax and H&R Block
- 90% of Direct File users described their experience as excellent or above average
The IRS is pleased with the early results of its new free tax-preparation service, Direct File. Taxpayers using the software claimed more than $90 million in refunds and saved an estimated $5.6 million in preparation fees. The agency is now considering expanding the program to cover more states and taxpayers with complex returns. Direct File, which competes with commercial services like TurboTax and H&R Block, was well-received by users, with 90% describing their experience as excellent or above average. The IRS plans to make a decision about the future of Direct File later this spring.
Factuality Level: 8
Factuality Justification: The article provides factual information about the IRS’s new free tax-preparation service, Direct File, its early results, and potential expansion plans. It includes quotes from IRS officials and statistics about the program’s impact. There is no obvious bias, misleading information, or sensationalism present in the article.
Noise Level: 3
Noise Justification: The article provides relevant information about the IRS’s new free tax-preparation service, Direct File, its early results, potential expansion, and feedback from users. It includes details on the program’s impact on taxpayers and the IRS budget. The article stays on topic and supports its claims with examples and quotes from IRS officials. However, there is some repetition of information, and the criticism from Intuit could have been explored further for a more balanced perspective.
Financial Relevance: Yes
Financial Markets Impacted: The article does not provide information on specific financial markets or companies impacted.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Rating Justification: The article discusses the IRS’s new free tax-preparation service, Direct File, and its potential expansion. While it is relevant to financial topics, there is no mention of any extreme events or their impact.
Public Companies: Intuit (INTU), H&R Block (HRB)
Key People: Daniel Werfel (IRS Commissioner), Wally Adeyemo (Deputy Treasury Secretary)
Reported publicly:
www.barrons.com 
