Direct File Tool Hated by Tax Prep Firms Target in GOP Bill (1)

Jan. 15, 2025, 9:45 AM UTCUpdated: Jan. 15, 2025, 9:54 PM UTC

Republicans in Congress are floating legislation that would halt the IRS’s new free digital tax-filing tool, the latest volley in efforts by the GOP and private-sector tax preparers to roll back the service.

A pair of bills introduced by Sen. Marsha Blackburn (R-Tenn.) and Rep. Adrian Smith (R-Neb.), both members of their respective chambers’ tax-writing committees, would halt operation of Direct File or any successor program.

Smith and Rep. Chuck Edwards (R-N.C.) filed similar legislation last summer. The current bill is one of many proposals Republicans are considering as they kick off the budget reconciliation process, which allows them ...

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