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Less than a month until Tax Day; How to prepare and file taxes for free


With April 15 approaching, many people still have to get around to filing their annual income tax forms.

With April 15 approaching, many people still have to get around to filing their annual income tax forms.

“Preparing our taxes has become so complicated that each year, Americans spend an average of $250 to have someone else do it for them,” said Kevin Brasler, executive editor of Washington Consumers’ Checkbook, citing figures from the IRS Taxpayer Advocate Service.

Many taxpayers can get free help in preparing and filing their tax returns.

“Cash App now offers a free online software tool to anyone, and it can handle most returns,” Brasler said. “The thing is, you have to set up an account with it — they’re driving people to their tool, because Cash App wants more customers.”

Cash App will require more manual input than other tax-prep companies.

“The downside is that if you have any questions, Cash App isn’t providing any staff to provide guidance or answers,” Brasler said. “It’s just purely a do-it-yourself tool.”

“Free File” is a partnership between the IRS and eight companies to provide free tax preparation and filing services for people and families with Adjusted Gross Incomes of $89,000 or less, according to Washington Consumers’ Checkbook.

This year, the participating companies are: 1040.com, 1040NOW.net, ezTaxReturn.com, FileYourTaxes.com, FreeTaxUSA.com, OLT.com, TaxAct.com and TaxSlayer.com.

H&R Block and TurboTax, the most popular tax prep software companies, don’t participate in the IRS’ Free File program.

“Generally you can use those free options, if you take the standard deduction and have a fairly straightforward return,” Brasler said.

Not everyone is comfortable filing online.

For Americans who make less than about $70,000, there’s free in person help through the Volunteer Income Tax Assistance Program. The IRS website has a searchable database to find a location.

For military service members and recent veterans, MilTax is a free resource backed by the Department of Defense. It’s free for service members, eligible family members, survivors and recent veterans, up to a year from their separation or retirement date.

The Tax Counseling for the Elderly program helps community nonprofits provide free tax help to older adults. The AARP Foundation’s Tax Aide program staffs most sites, and many advisers specialize in pension and retirement issues unique to seniors. Between now and April 15, consumers can use the AARP’s “Tax-Aide Site Locator” webpage to find nearby help.

Brasler recommended protecting your personal information and privacy, whether you’ll be using tax-prep software or getting in-person help: “Go ahead and opt-out of any data sharing — all these companies love to get a hold of all your income info and sell it to financial advisers and other people who want to sell you stuff.”

“Protect yourself from problems, protect your privacy and also protect yourself against potential future data breaches down the road, just be opting out of that type of sharing,” he said.

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