Free File Alliance

The Free File Alliance is a consortium of tax preparation companies that operate a public-private partnership with the Internal Revenue Service (IRS) to provide free electronic tax filing services through the IRS Free File program for eligible United States taxpayers. To qualify for the program in tax year 2025, taxpayers must have an adjusted gross income (AGI) of $89,000 or less, as set by the IRS. However, participating companies may impose additional requirements and restrictions. The Free File program represents a public-private partnership between the IRS and private tax software providers, allowing lower- and middle-income taxpayers to file their taxes at no cost.

Free File Alliance is a 501(c)(4) organization registered as Free File, Inc., and based in Clifton, Virginia. Its executive director is Tim Hugo. While many of the Free File Companies offer free state income tax returns, some companies do charge additional fees of $10 to $30 to electronically prepare state returns.

As of the 2021 tax filing season, the two most used tax-filing software programs (TurboTax and H&R Block) no longer participate in the Free File program. With the two largest members of the Free File Alliance ending their participation in the Free File Program, there have been renewed calls for the IRS to develop and offer its own free tax-filing software to taxpayers.

For tax-filing season 2024, the IRS announced a pilot of Direct File, where people can calculate and submit their federal taxes and some state taxes in partnership with select state tax agencies for free. This initiative came as a result of the two largest members of the Free File Alliance ending their participation as well as the 2022 Inflation Reduction Act, signed into law by President Joe Biden. The second Trump administration canceled the Direct File program in November 2025.