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Most Americans could file their taxes for free, but don’t

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FILE - A sign is displayed outside the Internal Revenue Service building May 4, 2021, in Washington.A new government watchdog report finds that while most Americans are eligible to file their taxes for free, only a fraction use the services provided through the government. (AP Photo/Patrick Semansky, File)

A new government watchdog report finds that while most Americans are eligible to file their taxes for free, only a fraction use the services provided through the government.

Instead, many taxpayers utilized other methods, “which they may have paid to use,” according to a new U.S. Government Accountability Office study on the 2020 tax filing season.

The GAO report, issued Thursday, found that while 70% of taxpayers were eligible for the Internal Revenue Service’s free-filing program, only 3%b of taxpayers actually use the service.

IRS’ free file program consists of a public-private partnership of tax software companies that offers free services to tax payers outside of the IRS website.

Taxpayers whose incomes are below a certain threshold can use the free file program — which this season accounts for any person or family with an adjusted gross income of $73,000 or less in 2021.

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