Today, the U.S. Department of the Treasury and Internal Revenue Service (IRS) announced that Oregon will be the first new state to join IRS Direct File in Filing Season 2025. IRS Direct File was made possible by President Biden’s Inflation Reduction Act, which provided new resources for the IRS to improve customer service and ensure taxpayers claim the benefits and deductions for which they are eligible.
Today’s announcement follows 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 costs using the new free online filing tool from the IRS. At least 580,000 Oregonians will be eligible to use the free online filing tool next Filing Season.
“Thanks to President Biden’s Inflation Reduction Act, hundreds of thousands of Oregonians will be able to file their taxes online for free, directly with the IRS next year. Direct File will save Oregonians time and money and ensure they receive the tax benefits they are owed,” said U.S. Secretary of the Treasury Janet L. Yellen. “After a successful pilot this Filing Season, we are pleased to expand the program as a permanent offering and welcome Oregon as the first new state to offer this free new option to taxpayers.”
“This is a happy day for Oregonian taxpayers who are tired of getting ripped off by the big tax software companies year after year,” said U.S. Senator Ron Wyden. “Direct File is long overdue, and it’s the kind of public service the federal government ought to be providing to Americans wherever it can. With Direct File, the IRS built a great tool that people like because it saves time and money. No surprise then that the people who oppose it are acting as if Direct File is going to bring on the end of Western Civilization. If Donald Trump and Republicans in Congress have the opportunity, they’re going to put an end to it, and Oregon taxpayers will be back at the mercy of the big tax software companies who routinely pick their pockets. I’m going to fight with everything I’ve got to protect Direct File.”
“The Direct File Program is a game-changer for taxpayers. This free filing option will save Oregonians time and money when filing next year,” said Oregon Governor Tina Kotek. “Oregon is grateful for Senator Wyden’s efforts to champion direct file and the leadership of the Biden-Harris Administration in providing equitable tax filing options for individuals nationwide – regardless of their income.”
The Treasury Department’s goal in the coming years is to expand the reach and tax scope of Direct File to provide an option for working-and middle-class taxpayers nationwide. Direct File is central to the Biden-Harris Administration’s efforts to deliver modern, world-class customer service using Inflation Reduction Act resources. Direct File also advances a goal of the IRS’s Strategic Operation Plan (SOP) to ensure that taxpayers receive tax credits that they are eligible for, including the Child Tax Credit and Earned Income Tax Credit. The IRS will continue to improve the product over time and ensure that it remains free, secure, and easy to use.
Source: Oregon Senator Ron Wyden