Residents of 12 states are eligible to participate if they meet certain criteria. But the agency’s plans have already met resistance from tax preparation companies.

Residents of 12 states are eligible to participate if they meet certain criteria. But the agency’s plans have already met resistance from tax preparation companies.

  • ApexHunter
    40·
    10 months ago

    The article “conveniently” omits the names of pilot states and the eligibility criteria, so I dug them up:

    The Direct File pilot is available to eligible taxpayers residing in Arizona, California, Florida, Massachusetts, New Hampshire, New York, Nevada, South Dakota, Tennessee, Texas, Washington, and Wyoming.

    You may be eligible to join the pilot if you live in a pilot state and report these items on your 2023 federal tax return:

    Income

    • W-2 wage income
    • SSA-1099 Social Security and RRB -1099 railroad retirement income
    • 1099-G Unemployment compensation
    • 1099- INT Interest income of $1,500 or less

    Credits

    • Earned Income Tax Credit
    • Child Tax Credit
    • Credit for Other Dependents

    Deductions

    • Standard deduction
    • Student loan interest
    • Educator expenses

    The pilot is not an option for if you:

    • Have other types of income, such as gig economy or business income
    • Itemize deductions
    • Claim other credits like the Child and Dependent Care Credit, Saver’s Credit or the Premium Tax Credit