IRS Direct File is gone. The Trump administration shut it down in early 2025, ending the government’s experiment with free, direct-to-IRS filing software that launched just two years ago.

If you used Direct File last year, you need a new plan before April 15, 2026. Six weeks away.

The good news: there are solid free alternatives, and one of them (IRS Free File) has actually gotten better since Direct File’s elimination, with eight partners and the highest income threshold in the program’s history.

Quick Verdict: Free Tax Filing Without Direct File

IRS Free File (1040.com) — Federal + state free, AGI limit $89,000, supports Schedule 1-A. Best for Direct File refugees under $89K.

Cash App Taxes — Federal + state free, no AGI limit, supports Schedule 1-A. Best for anyone over $89K who wants free.

FreeTaxUSA — Federal free ($14.99 state), no AGI limit, supports Schedule 1-A. Best for complex returns.

TurboTax Free — Simple returns only, under $100K, supports Schedule 1-A. Best for guided experience.

H&R Block Free — Simple returns only, AGI limit varies, supports Schedule 1-A. Best if you want in-person backup.

Best Direct File replacement for most people: IRS Free File via 1040.com Best if you’re over $89K: Cash App Taxes Best if you have Schedule C or investments: FreeTaxUSA ($14.99 state, free federal) Deadline: April 15, 2026

What Actually Happened to Direct File

The IRS launched Direct File as a pilot in 2024, expanding it to 25 states by 2025. It let taxpayers file directly with the IRS using a government-built interface. No third-party software, no data handed to Intuit or H&R Block.

The Trump administration eliminated it in early 2025. The stated reason was efficiency and redundancy with existing programs. The less charitable read: tax preparation companies had lobbied against Direct File for years, arguing it unfairly competed with private-sector alternatives.

Whatever the politics, the result is the same. Direct File doesn’t exist for the 2025 tax year (filed in 2026). If that’s where you planned to file, you need one of the alternatives below.

IRS Free File: The Closest Thing to a Replacement

IRS Free File isn’t new (it’s been around since 2003), but the 2026 version is the strongest it’s been. Eight private-sector partners, an income threshold of $89,000 AGI, and free federal filing for anyone who qualifies.

The key detail: you have to access partner sites through the IRS Free File portal to get the free tier. Going directly to TaxSlayer or ezTaxReturn’s commercial sites and hoping for free filing won’t work.

The Eight Partners for 2026

1040.com is the best starting point for most Direct File users. The interface is cleaner than most, no mid-return upsell prompts, and it handles W-2 income, standard deductions, and basic retirement income without friction. If your taxes are straightforward, start here.

FreeTaxUSA is the most flexible of the group. Free federal filing regardless of whether you access it through the Free File portal or directly, though state returns cost $14.99. If you’re close to the $89K threshold and worried about eligibility, FreeTaxUSA direct is the safe fallback since it doesn’t require AGI qualification. Full breakdown of how it handles Schedule 1-A in the Schedule 1-A tax software comparison.

TurboTax (via Free File only) gives you TurboTax’s interview interface without paying. The catch: TurboTax has historically steered Free File users toward commercial paid products mid-return. Read each screen before clicking through. If you see a price pop up and you came from the IRS portal, something went wrong.

TaxSlayer works but pushes upgrades more than the others. Use it if the eligibility tool points you there and you’re comfortable clicking past upsell screens.

The remaining four (ezTaxReturn, FileYourTaxes.com, OLT.com, and OnLineTaxes) are functional. Use them if they’re where the eligibility tool sends you.

Who Qualifies for IRS Free File

AGI under $89,000. That’s the main gate.

A few things that reduce AGI before the threshold is calculated: traditional 401(k) and IRA contributions, student loan interest, HSA contributions. A household earning $95,000 with $8,000 in traditional retirement contributions has an AGI of $87,000 and qualifies. Run the IRS eligibility tool first. It’s faster than guessing.

Cash App Taxes: Best for Anyone Over $89K

Cash App Taxes (formerly Credit Karma Tax, owned by Block/Square) is the only major platform with no income limit and no upsell path. Federal and state filing both free. Schedule C, Schedule D, HSA contributions all included.

No AI features. No CPA access. No hand-holding. It’s a self-directed tool. But if you’re a Direct File user who just wants free filing without a means test, this is the cleanest option.

Data practice caveat: Block can use aggregated tax data for product development. Privacy policy is worth a read if that matters to you. See the IRS Free File and AI tax tools comparison for a side-by-side of how each platform handles your data.

FreeTaxUSA: Best If Your Taxes Are More Complex

FreeTaxUSA costs nothing for federal and $14.99 for state. It handles Schedule C (self-employment), Schedule D (investments), rental income, and multiple states. Other free platforms either block you or push you to paid tiers for those same situations.

For Schedule 1-A specifically (the 2025 deduction for tips, overtime, car loan interest, and the enhanced senior deduction), FreeTaxUSA handles the transition year complexity better than most competitors. If your W-2 doesn’t have overtime clearly broken out in Box 14, FreeTaxUSA walks you through calculating it yourself. Others make you figure it out in a separate worksheet.

No mobile app, which actually reduces attack surface. Data deleted after three years. Probably the most privacy-forward option after IRS Free File itself.

What’s New for 2025 Returns: Schedule 1-A

If you earned tips or overtime in 2025, you have a new deduction available. Schedule 1-A covers:

• Tips: Up to $25,000 ($37,500 married filing jointly) for W-2 tip workers
• Overtime: One-third of qualified overtime pay, up to $12,500 single ($25,000 married)
• Car loan interest: Deductible for vehicles assembled in the US
• Enhanced senior deduction: Additional $6,000 for taxpayers 65+

All eight Free File partners support Schedule 1-A. So does Cash App Taxes and FreeTaxUSA. The platforms that don’t support it in free tiers (TaxAct, some TaxSlayer configurations) aren’t worth your time this year. The deduction is real money. Tip workers average $1,500 in tax savings, overtime workers average $2,000.

For a full breakdown of how each platform handles Schedule 1-A, including the transition-year overtime calculation mess: Schedule 1-A tax software comparison 2026.

The Paid Options: When Free Isn’t Enough

For most W-2 employees, free filing covers everything. But a few situations push you toward paid software.

H&R Block Deluxe ($35 federal + $36.99 state) makes sense if you might need in-person help. You can start online and finish at a physical location if something goes wrong. Nobody else offers this. H&R Block also has AI Tax Assist in paid tiers, which calculates standard vs. itemized deductions for your specific numbers rather than giving you a generic answer.

TurboTax Deluxe ($59 federal + $49 state) is harder to recommend this year. H&R Block Deluxe covers similar complexity for less than half the total cost. The one exception is TurboTax Live ($89+), where a licensed CPA reviews and co-signs your return. If you have a complex situation and want someone accountable, that has real value.

For Schedule C income (DoorDash, freelance, side business): FreeTaxUSA at $14.99 state is still the most cost-effective. H&R Block Self-Employed at $85 is the step up if you want guided help.

Platform	Federal	State	Good For
IRS Free File	$0	$0-15	Under $89K AGI, simple returns
Cash App Taxes	$0	$0	Any income, self-directed
FreeTaxUSA	$0	$14.99	Complex returns, privacy-forward
H&R Block Deluxe	$35	$36.99	Moderate complexity, in-person backup
TurboTax Deluxe	$59	$49	Guided experience (worse value than H&R Block)
TurboTax Live	$89+	$49+	CPA review, complex situations

How to Choose Based on Your Situation

You used Direct File last year and your taxes are simple (W-2, standard deduction): IRS Free File through 1040.com. The experience will be less polished than Direct File, but it’s government-adjacent, zero cost, and zero data sharing with commercial companies.

You’re over $89,000 AGI: Cash App Taxes. Free federal and state, no means test, handles most common situations.

You earned tips or significant overtime in 2025: FreeTaxUSA handles the transition year complexity best. Free federal, $14.99 state. For a full comparison, see the Schedule 1-A tax software comparison.

You have freelance or side income: FreeTaxUSA at $14.99 state is still the best value. If you want hand-holding, H&R Block Self-Employed at $85.

You want someone to actually review your return: TurboTax Live. The only DIY platform with CPA review and sign-off.

You’re worried about data privacy: IRS Free File through any partner (government-hosted, no commercial data use) or FreeTaxUSA (data deleted after three years). Avoid TurboTax if Intuit’s data-sharing practices bother you. They share aggregated data with partners.

Security Across the Platforms

Every platform here uses bank-level encryption and multi-factor authentication. The differences are in data retention and commercial sharing.

IRS Free File partners: Government-hosted data. No commercial sharing. Retention policies vary by partner but are typically aligned with IRS record-keeping requirements.

FreeTaxUSA: No mobile app (less attack surface). Data deleted after three years. No commercial data sharing mentioned in privacy policy.

Cash App Taxes: Block uses aggregated tax data for product development. Standard for fintech but worth knowing.

TurboTax: Retains data indefinitely for “tax insights.” Shares aggregated data with Intuit partners. Had data breach disclosures in 2022 and 2023.

H&R Block: Retains data seven years. Had a breach in 2019. In-person offices add a physical security dimension.

None of this is a dealbreaker for typical use, but if you’re choosing between equivalent options, the IRS Free File partners and FreeTaxUSA are cleaner on the data side.

The April 15 Deadline

Six weeks. Federal returns for 2025 taxes are due April 15, 2026.

If you need more time, file Form 4868 for a six-month extension (to October 15). This extends your filing deadline, not your payment deadline. If you owe taxes, you still need to estimate and pay by April 15 to avoid penalties.

State deadlines mostly match federal, but check your state’s revenue department if you’re uncertain.

If you’re getting a refund, there’s no penalty for filing late. But you also won’t get your money until you file.

What Tax Software Can’t Do

Any platform you use finds deductions you tell it to look for. The AI features in TurboTax and H&R Block ask better questions than standard interview flows, but they can’t audit your year retroactively.

If you paid home office expenses, tracked business mileage, or made charitable contributions in 2025, the software finds those deductions when you answer yes to the right question. If you never tracked them, better software doesn’t help.

For anyone with ongoing freelance income, the real money is in recordkeeping throughout the year, not in which platform you use to file. A budgeting app that syncs your business and personal accounts makes that easier. For what that looks like in practice, the best budgeting apps for tax season 2026 covers the tools that make next year’s filing less painful.

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Verified February 26, 2026. IRS Free File partner list and income thresholds current as of this date. Tax software pricing changes during filing season. Verify before purchasing.