Economy

Free IRS Direct File system opens for eligible filers in Wisconsin

A federal program now allows eligible Wisconsinites to directly file their federal taxes online with the IRS in 2025, while a state-level named WisTax allows the free filing of state taxes online.

The Badger Project

January 29, 2025

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An illustration shows stylized versions of a laptop computer, monitor, smart phone and tablet with graphics on their screens with the words Join the IRS Direct File pilot, with the IRS wordmark at top next to the words Direct File.

(Source: U.S. Internal Revenue Service)


Badger Project

By Peter Cameron, The Badger Project

Americans spend billions getting help filing their taxes every year. But a new online system with the IRS allows eligible taxpayers to file for free, including in Wisconsin.

The federal Direct File system “integrates seamlessly” with the state’s free online filing program WisTax, the state Department of Revenue said in a press release, allowing eligible filers to submit their state return as well.

You can check if you are eligible on the IRS website. More than 600,000 Wisconsin residents, those who have simple tax situations, can use Direct File in 2025, the IRS says.

The systems began allowing usage on Jan. 27. Tax filings are generally due by April 15.

Direct File can save taxpayers time and money by importing their tax information directly from the IRS, the agency says.

Live support from IRS staff is available Mondays through Fridays.

Funding for the Direct File system was included in the massive American investment bill the Inflation Reduction Act, passed by congressional Democrats with no votes from Republicans, in 2022.

After seeing its funding cut for many years, the IRS got a restoration of $60 billion in that bill to do things like increase enforcement on corporations and the wealthiest Americans, which projects to raise tax revenue, as well as provide better customer service for tax filers.

The bill also paid for the Direct File system. A trial run in 2024 allowed tens of thousands of taxpayers in several states to use the free program. They saved about $5.6 million in filing costs, according to an IRS estimate.

Tax-filing software companies like Intuit, which makes TurboTax, have spent years hiring former government officials and lobbying Congress to prevent a free system from launching, ProPublica found in an investigation.

Receive in-person tax help from a volunteer instead

For those who would rather get help from a person and have income under $67,000, you can use the IRS’s Volunteer Income Tax Assistance (VITA) program, which provides free tax prep services. The program can handle a broader range of tax situations than Direct File, and their tax centers are open in many parts of the state. To find the one closest to you, call 1-800-906-9887, or check the VITA Locator Tool.

The Badger Project is a nonpartisan, citizen-supported journalism nonprofit in Wisconsin.


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