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News

Trump Axes IRS Direct File Program—and Taxpayers are Furious!

Published on: November 10, 2025 at 7:02 AM ET

Millions lose access to free and simple filing. Was corporate pressure to blame?

Divya Verma
Written By Divya Verma
Senior Editor
Archana Shenoy
Edited By Archana Shenoy
Managing Editor
direct file cancelled
Trump administration has cancelled the direct file introduced by IRS in 2024. (Image Credit: elitetaxstrategysolutions.com)

The Trump administration has been introducing several new financial decisions and policies that are not being widely welcomed by the public. Among such unpopular moves, one policy in particular has drawn widespread criticism.

The administration has made a decision to cancel the IRS Direct File program. As expected, this decision has sparked nationwide anger and disbelief. Millions of taxpayers rely on the free federal filing options, and this decision feels like a step backward, especially at a time when everyday Americans are already drowning in the rising costs. This move will add to the yearly stress of filing taxes.

🚨 IRS is shutting down Direct File, the free tax-filing tool started by Biden’s team, after one year where it helped about 300,000 people file for free. Now under Trump, they’ll improve the old Free File with companies like TurboTax, but critics say it helps big firms that… pic.twitter.com/uo6ceA9rWR

— Comfortably Broke (@MrMakinMoves) November 7, 2025

The outrage over this decision was swift and immense. Everyone, from policy experts to consumer experts, has voiced their dissatisfaction and frustration over this move.

Social media is flooded with a simple question

How does eliminating free tax filing help taxpayers who are already struggling?

On X (formerly Twitter), one user wrote, “This was the first time I felt like the IRS actually made something easier. Now it’s gone? Who asked for this?” Another user added, “This is a gift to tax prep companies, not the public.”

The backlash is because of a legitimate and urgent concern: without Direct File, taxpayers will once again have to rely on a costly and complicated system, which was explicitly designed to benefit corporations, not the regular people.

The IRS Direct File program was introduced in 2024 with the goal of simplifying tax season for millions of Americans. It is a no-cost, government-run platform which allows eligible Americans to file federal taxes. In the participating states, the returns came within minutes. It eliminated the need for paid software from third-party preparers.

The Direct File was a successful pilot program, and IRS data showed that customer satisfaction reached a peak of 90%.

Customers were most appreciative of its speed and the simplicity of the program. In Pennsylvania alone, it was calculated that the taxpayers saved $311 million in filing fees and an additional $436 million in other factors like time costs and unclaimed credit savings.

A widely shared TikTok review summed it up: “Direct File saved me hours. Why would the government kill something that actually works?”

The Trump administration has killed IRS Direct File, the program that let you file your taxes for free. Direct File will not be operational this coming tax season.

— More Perfect Union (@MorePerfectUS) November 5, 2025

The program was ready for national expansion until the current administration abruptly ended it.
However, this decision has actually not surprised anyone. The pilot program was implemented during the Biden era, and Trump, true to form, has canceled it just as he has done for other Biden-era plans.

Also, all of the policy decisions taken by the Donald Trump administration seem to be more profitable for the companies and big businesses than for American citizens.

The effect of canceling Direct File is immediate and will be costly. Now that there won’t be a free government-backed filing tool, millions of taxpayers will be forced to seek the help of paid tax prep giants.

Tax season is approaching fast, and now, Americans are left wondering:

How will they navigate another year of high fees and complicated paperwork without the Direct File safety net?

Consumer groups are urging taxpayers to speak out. They want people to flood social media and the courthouses with their posts and petitions.

People must also contact their representatives. Several lawmakers have already announced plans to introduce or revive legislation that would reinstate free federal filing options.

TAGGED:Donald TrumpIRS
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