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That is not true. In fact, Intuit and H&R Block dropped out of the Free File Alliance primarily because of the following change made at the end of 2019 to the
by PopAlongKid 5y ago
That is not true. In fact, Intuit and H&R Block dropped out of the Free File Alliance primarily because of the following change made at the end of 2019 to the Memorandum of Understanding.
The following sentence in Article 2 of the MOU is hereby stricken from the MOU: "In recognition of this commitment, the federal government has pledged to not enter the tax return software and e-file services marketplace."[1]
[1]https://www.irs.gov/pub/irs-utl/FFI%20Signed%20MOU%20Addendum%2012-26-19.pdf https://www.irs.gov/pub/irs-utl/FFI%20Signed%20MOU%20Addendu...
- gamblor956 5y agoYou are confusing two different (but related) things. The Free File Allowance is intended for lower-income individuals to e-file for free. (Some tax service providers still participate.) The IRS withdrew from the agreement preventing them from providing their own such software to low-income taxpayers, but it's a moot point since they don't have the resources to create such software. What the parent commenter was referring to was the EU-style tax systems, where they send you a pre-filled in tax return, you verify the amounts and sign, with minimal input/preparation required by the taxpayer. That is what the IRS is prevented from doing, by law, as a result of Intuit's lobbying.
- PopAlongKid 5y agoCan you provide a cite for the law you refer to? I just reviewed all the section descriptions in the IRC (USC Title 26, Subtitle F - Procedure and Administration §§ 6001 - 7874) and can find nothing like that.