HAGERSTOWN, MD (September 5, 2024) The Washington County Department of Business and Economic Development is excited to announce that Governor Wes Moore, alongside state and federal leaders, has revealed Maryland’s participation in the IRS Direct File System for the 2025 tax season. This initiative will allow Maryland taxpayers to file their taxes electronically and free of charge, simplifying the process and saving both time and money. Governor Moore made the announcement in Annapolis, joined by Comptroller Brooke Lierman, U.S. Treasury Deputy Secretary Wally Adeyemo, and other prominent officials
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ANNAPOLIS, MD (September 5, 2024) — Governor Wes Moore today announced that Maryland will join the Internal Revenue Service’s Direct File online tool for the 2025 filing season, enabling taxpayers to prepare and file their taxes electronically and free of charge. Governor Moore and Comptroller Brooke Lierman were joined by U.S. Treasury Deputy Secretary Wally Adeyemo; U.S. Senator Ben Cardin; U.S. Senator Chris Van Hollen; Congressman Steny Hoyer; Congressman John Sarbanes; and local volunteer income tax assistance partners for the announcement in Annapolis.
“Today, we take a big step forward to make tax season easier, simpler, and more affordable for all Marylanders,” said Gov. Moore. “I want to thank the Biden-Harris Administration for their support. Maryland doesn’t just talk about partnership, we move in partnership – and this latest win shows what’s possible when the state, federal government, and community partners work together.”
“Thanks to President Biden’s Inflation Reduction Act, more than 700,000 Maryland taxpayers will be able to file their taxes online for free, directly with the IRS this coming filing season. Direct File will save Marylanders time and money and help ensure they receive the tax benefits they are owed,” said U.S. Secretary of the Treasury Janet L. Yellen. “After a successful pilot this filing season, we are pleased to expand the program as a permanent offering and welcome Maryland as the latest new state to offer this free option to taxpayers.”
“Partnering with the IRS to offer Direct File to eligible Maryland taxpayers in the 2025 tax season is an exciting opportunity and fundamental to our core priority of modernizing our agency to make government work better for all Marylanders,” said Comptroller Brooke E. Lierman. “In countries across the globe, residents enjoy much simpler return-free tax systems. While our state and nation are not there yet, with Direct File and our agency’s new Maryland Tax Connect system for individuals coming this term, Maryland will have the most transparent, efficient, and modern system in the nation.”
During the 2024 filing season, the Direct File system launched in 12 states resulting in more than 140,000 Americans successfully filing and claiming more than $90 million in refunds and saving an estimated $5.6 million in tax preparation fees on their federal returns.
For the 2025 filing season, more than 700,000 Marylanders will be eligible to use the Direct File tool. Other states currently using Direct File include Arizona, California, Florida, Massachusetts, Nevada, New Hampshire, New York, South Dakota, Tennessee, Texas, Washington, and Wyoming.
“Tax preparation for the average working American can come with high costs and countless hours filing returns. Fulfilling tax obligations shouldn’t be more difficult than the hours you spend working,” said U.S. Senator Ben Cardin. “Direct File was extremely successful in making tax filing more affordable and accessible. Implementing a permanent Direct File program in Maryland will help lift a significant tax burden and benefit thousands of Maryland taxpayers.”
“Through the Inflation Reduction Act, we provided new resources for the IRS so it can better serve everyday Americans with initiatives like Direct File,” said U.S. Senator Chris Van Hollen. “Our state’s participation in this proven program will offer hundreds of thousands of Marylanders a convenient and free way to do their taxes next year – meaning less time filling out complicated returns and more money in their pockets.”
“Americans want – and deserve – a free, easy, accurate, and secure option to file their taxes,” said Congressman Steny Hoyer. “As House Majority Leader last Congress, I helped secure funding for Direct File in the Inflation Reduction Act to provide them that opportunity. Direct File is yet another example of Democrats’ commitment to lowering costs for Marylanders and all Americans, and I am proud that Maryland will join nineteen other states in participating in the program this next tax filing season. I appreciate the IRS and our partners in the Biden-Harris Administration for making this option permanent and available for all.”
“The Direct File pilot program has proven its ability to ease the burden of tax season by saving taxpayers time, effort and money when filing,” said Congressman John Sarbanes. ”I appreciate the IRS’s work to expand this program across the country and am glad that starting in 2025, Marylanders will be able to use this new tool and experience a smoother, more affordable tax season.”
To help taxpayers with the new Direct File system, Maryland will partner with Code for America, a civic technology company that launched the FileYourStateTaxes tool that allows taxpayers to easily file their state returns. Maryland is the second new partnership Code for America has announced for the 2025 filing season.
“Code for America is committed to ensuring taxpayers across Maryland have access to free, easy online state tax filing,” said Code for America Chief Executive Officer Amanda Renteria. “Through our FileYourStateTaxes tool, more people will be able to file a return and gain access to tax benefits that help working families. We look forward to applying the mindful use of technology to the tax filing process in Maryland and providing this revolutionary service to the state’s people.”
For more information about the IRS Direct File tool, visit the U.S. Department of Treasury webpage.
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