File Away

The IRS announced last week that the Free File program for eligible taxpayers is now available. The program lets taxpayers with an Adjusted Gross Income (AGI) of $52,000 or less for tax year 2006 e-file their federal tax returns for free (and here you thought that nothing was free). This means that 70% of all taxpayers – 95 million taxpayers – will have the opportunity to file their federal income tax return for free (there may be a charge for state returns). Free File is also available in Spanish.

If you had hoped to use Free File to get a little extra cash via a Refund Anticipation Loan (RAL), don’t plan on it… Given public opinion (and the judiciary) toward these kinds of loans, the IRS will not allow companies that participate in Free File to offer RALs.

Each company that participates in Free File may have its own criteria – read carefully before getting started.
Interested? Get started now.