Tax season is upon us once again, and as we step into 2023, many taxpayers are wondering about the availability of free tax filing options. With the ever-increasing cost of living, finding ways to save money, including filing taxes without incurring additional fees, is more important than ever.
Luckily, there are several free tax filing options available for the 2022 tax year, which is what you'll be filing in 2023. These options are designed to help taxpayers, especially those with simple tax situations, file their taxes at no cost. Let's delve into the details of free tax filing for 2023.
Government-Sponsored Free Tax Filing Options
The Internal Revenue Service (IRS) offers free filing options through the Free File program. This program is a partnership between the IRS and the Free File Alliance, a group of tax preparation companies.
Through the Free File program, you can access free tax preparation and e-filing services if your adjusted gross income (AGI) is $73,000 or less in 2022. This covers a significant portion of taxpayers and makes free filing an accessible option for many.
IRS Free File Program
The IRS Free File program offers two main options: Free File Fillable Forms and Free File Software.
Free File Fillable Forms are electronic versions of the IRS tax forms. They are best suited for taxpayers who are comfortable preparing their taxes themselves and know exactly what they need to do. Free File Software, on the other hand, offers guided tax preparation and is a more user-friendly option for those who need a bit more help.
Military OneSource's Free Tax Preparation and Filing Service
Military personnel and their families can also take advantage of free tax preparation and filing services through Military OneSource. This service is available to active duty, National Guard, and Reserve members, as well as their families.
Military OneSource offers in-person, online, and telephone tax preparation services. They also provide access to tax software and can help with tax issues and questions throughout the year.
Free Tax Filing Software and Services
In addition to the IRS's Free File program, several tax preparation software companies offer free filing options for simple tax situations. These options are typically available for taxpayers with incomes below a certain threshold.
Some of these services may offer free federal filing but charge for state returns. It's essential to read the fine print and understand what's included in the free version before starting your tax return.
TurboTax
TurboTax offers a free edition for simple tax situations. This edition covers W-2 income, Earned Income Tax Credit (EITC), child tax credits, and more. However, it does not include deductions and credits like student loan interest or self-employment tax.
TurboTax also offers a free version for military personnel and their families, which includes more comprehensive coverage.
Credit Karma Tax
Credit Karma Tax offers free federal and state tax filing for all tax situations. This includes support for self-employed individuals, investors, and those with more complex tax situations. Credit Karma Tax is now part of the Credit Karma Money app, which also offers free financial services.
While Credit Karma Tax is free to use, it does make money by showing you personalized offers for credit cards and loans based on your tax information.
As we look ahead to the 2023 tax season, it's clear that there are plenty of free tax filing options available. Whether you're a member of the military, have a simple tax situation, or fall within the AGI threshold for the IRS's Free File program, there's a free filing option that can work for you. So, don't let the fear of tax preparation costs hold you back from filing your taxes this year. Take advantage of these free options and get a head start on your financial planning for 2023.