Elizabeth Warren

01/15/2025 | Press release | Distributed by Public on 01/15/2025 13:53

Warren, Coons, Sherman, Pocan, Chu, Hoyer Lead Over 130 Members of Congress Urging Trump Nominees to Expand Popular IRS Direct File Program

January 15, 2025

Warren, Coons, Sherman, Pocan, Chu, Hoyer Lead Over 130 Members of Congress Urging Trump Nominees to Expand Popular IRS Direct File Program

Free Filing Program Will Save Taxpayers $11 Billion

"The Direct File pilot program has proved that it is efficient, cost-effective, user-friendly, and secure-a pilot program that already meets the DOGE leaders' goals."

Text of Letter (PDF)

Washington, D.C. - U.S. Senator Elizabeth Warren (D-Mass.), Ranking Member of the Senate Committee on Banking, Housing, and Urban Affairs and member of the Senate Committee on Finance, Senator Chris Coons (D-Del.), U.S. Representatives Brad Sherman (D-Calif.), Mark Pocan (D-Wisc.), Judy Chu (D-Calif.), and Steny Hoyer (D-Md.), led over 130 members of Congress in writing to Treasury Secretary-Designate Scott Bessent and Internal Revenue Services' (IRS) Commissioner-Designate Billy Long, urging them to maintain and expand the IRS' Direct File program. The letter is signed by 25 senators and 115 members of Congress.

In 2024, in red and blue states, Direct File, a new tool for taxpayers to file their taxes online for free with the IRS, helped thousands of taxpayers file accurately and securely. The program received excellent reviews and is set to expand this month to 25 states and over 30 million eligible Americans.

"This program is efficient and effective, providing a vital service for millions of Americans, while also keeping their data safe from misuse," wrote the lawmakers. "Congress does not need to pass legislation to continue this progress. If confirmed, we urge you to maintain and expand it."

Direct File was created to save taxpayers time and money. Right now, Americans spend $160 and eight hours on average to file their taxes, often losing a chunk of their refund to do so. Giving taxpayers the option to file for free through the Direct File program has saved filers approximately $5.6 million in federal tax preparation fees in just its pilot year and is projected to save filers $11 billion a year at scale.

The 2024 Direct File pilot proved to be a success. Used by more than 140,000 taxpayers, nearly 90 percent of surveyed filers said Direct File increased their trust in the IRS, and nearly 90 percent had "above average" or "excellent" experiences with the program. Indeed, the pilot was so successful that, when the IRS announced it would make Direct File a permanent program, 13 additional states elected to offer this option to their taxpayers.

"Taxpayers' embrace of Direct File is indicative of their interest in a free, easy, private, and secure method of filing," wrote the lawmakers. "We disagree with our colleagues who are calling on the President to pull the plug, harming taxpayers and undermining the work that two dozen state governments in red and blue states have done to support taxpayers for the upcoming 2025 tax filing season."

The letter notes that Elon Musk and Vivek Ramaswamy, "[t]he leaders of President-elect Donald Trump's Department of Government Efficiency (DOGE), have discussed trying to create a mobile app for Americans to file their taxes free with the Internal Revenue Service." The lawmakers argue that Direct File "fits the bill."

"The Direct File pilot program has proved that it is efficient, cost-effective, user-friendly, and secure-a pilot program that already meets the DOGE leaders' goals," wrote the lawmakers. "As Mr. Musk and Ms. Ramaswamy have said, Americans deserve a simple and free way to meet their tax obligations online. Ending Direct File would hurt everyday Americans."

The over 130 members of Congress urge the nominees to work with them to maintain and expand the IRS program if confirmed.

###