Sherman, Sen. Elizabeth Warren & 160 Lawmakers Introduce Direct File Act to Guarantee Free, Easy Tax Filing for Americans

WASHINGTON, D.C. – Today, Congressman Brad Sherman (D-CA) and Senator Elizabeth Warren (D-MA), along with Reps. Beyer (D-VA), Hoyer (D-MD), Chu (D-CA), Pocan (D-WI) and Senators Wyden (D-OR) and Coons (D-DE) led 160 lawmakers in both the House and Senate in introducing the Direct File Act. This legislation would provide millions of Americans with a free and easy tax filing option. 

In 2024, the IRS launched Direct File, a program that allowed taxpayers to file their taxes online, for free, and directly with the IRS. Direct File saved families time and up to $160 each year by cutting out the middleman. And it was overwhelmingly popular with taxpayers— 94% of Direct File users described their experience as “excellent” or “above average,” and more than 70% of taxpayers said they would use Direct File if they were eligible. 

Despite Direct File’s success, the Trump Administration ended the program after extensive lobbying efforts by tax prep giants like Intuit, hiking costs for Americans and making the tax filing experience more cumbersome.

The Direct File Act would reverse the Trump Administration’s decision and codify the Direct File program, building on the success of the Direct File pilot. In particular, the bill:

1. Prohibits the IRS from entering into agreements that restrict its ability to provide free online tax preparation or filing services.
2. Directs the IRS to establish and operate a free online tax preparation and filing program.
3. Directs the IRS to publish an annual report on use levels, patterns of usage, and ways to improve access to Direct File.
4. Directs the IRS to enable seamless integration between state tax filing systems and Direct File, including through information sharing and a new grant program for states.
5. Reduces tax fraud by getting third-party income information to the IRS earlier in the tax season, allowing the agency to cross-check this information before issuing refunds.

“Americans spend too much time and money filing taxes and deserve a free and easy-to-use filing option,” said Congressman Brad Sherman. “The Direct File Act builds on the success of the 2024 pilot program and provides a commonsense tax filing solution saving American families time and money.”

“It’s a no-brainer: Americans should be able to file their taxes easily and for free. Donald Trump canceled Direct File after giant tax prep companies spent millions lobbying to protect their profits,” said Senator Warren. “We’re fighting to lower costs for families by bringing Direct File back and making it the law of the land.” 

“The senseless destruction of the IRS’ popular Direct File program last year was just another example of the Trump Administration going out of its way to make life more difficult for the American people,” said Representative Beyer. “The program allowed hundreds of thousands of Americans to file their taxes easily and for free directly with the IRS instead of being forced to go through middlemen. This legislation would codify this important program and prioritize ordinary Americans already struggling with high costs of living ahead of special interests.” 

“The federal government requires Americans to pay their taxes, thus it ought to provide them a free and easy way to do so. That's why I helped lead Democrats' efforts to establish Direct File through the Inflation Reduction Act: to save Americans time and money. That logic is lost on the Trump Administration. Trump may not care about lowering Americans' costs, but Democrats still do,” said Representative Hoyer. “We will keep fighting to bring back Direct File and to expand it nationwide.” 

“Direct File worked. It saved everyday taxpayers over $5.5 million in tax preparation fees and it saved them time. But Trump and Republicans killed it, because making the tax filing process simple and free doesn’t benefit their billionaire donors and the giant tax prep companies that profit off of confusion and fees. That’s why I joined Representative Brad Sherman and Senator Elizabeth Warren to introduce the Direct File Act of 2026, which would restore and permanently codify the IRS’s free, government-run online tax filing program so more Americans can file their taxes quickly and at no cost. I am committed to ensuring we bring Direct File back and stop Trump from rigging the system against the people it’s intended to serve,” said Representative Chu. 

“Direct File is a popular program that allows Americans to file their taxes for free, cutting out the middleman. But big tax-prep companies like TurboTax and H&R Block pushed the Trump administration to kill it,” said Representative Pocan. “It's time to bring back Direct File permanently nationwide, saving taxpayers time and money.” 

Direct File Act (119th Congress) cosponsors:

House (121) – Brad Sherman*, Don Beyer*, Steny Hoyer*, Judy Chu*, Mark Pocan*, Pete Aguilar, Gabe Amo, Alma Adams, Becca Balint, Nanette Barragán, Joyce Beatty, Suzanne Bonamici, Julia Brownley, Andre Carson, Sean Casten, Kathy Castor, Sheila Cherfilus-McCormick, Gilbert R. Cisneros, Jr., Yvette D. Clarke, Steve Cohen, Herb Conaway, Lou Correa, Jim Costa, Danny K. Davis, Madeleine Dean, Diana DeGette, Rosa L. DeLauro, Suzan K. DelBene, Chris Deluzio, Maxine Dexter, Lloyd Doggett, Sarah Elfreth, Cleo Fields, Lizzie Fletcher, Bill Foster, Valerie Foushee, Lois Frankel, Laura Friedman, Maxwell Alejandro Frost, John Garamendi, Robert Garcia, Sylvia Garcia, Jesús "Chuy" García, Dan Goldman, Jimmy Gomez, Al Green, Adelita Grijalva, Josh Harder, Jahana Hayes, Jim Himes, Steven Horsford, Chrissy Houlahan, Jared Huffman, Glenn Ivey, Sara Jacobs, Pramila Jayapal, Hank Johnson, Robin Kelly, Timothy M. Kennedy, Ro Khanna, Greg Landsman, Rick Larsen, George Latimer, Summer L. Lee, Stephen F. Lynch, John Mannion, Doris Matsui, Sarah McBride, April McClain Delaney, Jennifer McClellan, Betty McCollum, Kristen McDonald Rivet, Jim McGovern, LaMonica McIver, Rob Menendez, Kweisi Mfume, Seth Moulton, Kevin Mullin, Eleanor Holmes Norton, Alexandria Ocasio-Cortez, Johnny Olszewski, Ilhan Omar, Frank Pallone, Chellie Pingree, Ayanna Pressley, Mike Quigley, Delia C. Ramirez, Emily Randall, Jamie Raskin, Andrea Salinas, Linda Sanchez, Mark DeSaulnier, Mary Gay Scanlon, Jan Schakowsky, Kim Schrier, Bobby Scott, David Scott, Lateefah Simon, Adam Smith, Darren Soto, Melanie Stansbury, Suhas Subramanyam, Eric Swalwell, Mark Takano, Shri Thanedar, Bennie G. Thompson, Dina Titus, Rashida Tlaib, Jill Tokuda, Paul Tonko, Lori Trahan, Tom Suozzi, Ritchie Torres, Juan Vargas, Marc Veasey, Nydia M. Velazquez, Eugene Vindman, James R. Walkinshaw, Debbie Wasserman Schultz, Bonnie Watson Coleman, Nikema Williams

Senate (40) – Minority Leader Chuck Schumer (D-N.Y.), Senators Angela Alsobrooks (D-Md.), Tammy Baldwin (D-Wis.), Michael Bennet (D-Colo.), Richard Blumenthal (D-Conn.), Lisa Blunt Rochester (D-Del.), Cory Booker (D-N.J.), Maria Cantwell (D-Wash.), Tammy Duckworth (D-Ill.), Dick Durbin (D-Ill.), John Fetterman (D-Pa.), Ruben Gallego (D-Ariz.), Kirsten Gillibrand (D-N.Y.), Maggie Hassan (D-N.H.), Martin Heinrich (D-N.M.), John Hickenlooper (D-Colo.), Mazie Hirono (D-Hawaii), Tim Kaine (D-Va.), Mark Kelly (D-Ariz.), Andy Kim (D-N.J.), Angus King (I-Maine), Amy Klobuchar (D-Minn.), Ben Ray Luján (D-N.M.), Ed Markey (D-Mass.), Jeff Merkley (D-Ore.), Chris Murphy (D-Conn.), Patty Murray (D-Wash.), Alex Padilla (D-Calif.), Jack Reed (D-R.I.), Bernie Sanders (I-Vt.), Brian Schatz (D-Hawaii), Adam Schiff (D-Calif.), Jeanne Shaheen (D-N.H.), Tina Smith (D-Minn.), Chris Van Hollen (D-Md.), Mark Warner (D-Va.), Peter Welch (D-Vt.), and Sheldon Whitehouse (D-R.I.)

Endorsing Organizations (115) – Public Citizen, Americans for Tax Fairness, Economic Security Project Action, Groundwork Collaborative, AFL-CIO, American Federation of Teachers (AFT), American Federation of State, County and Municipal Employees (AFSCME), Service Employees International Union (SEIU), Communications Workers of America, Americans for Financial Reform, National Consumer Law Center (on behalf of its low-income clients), Center for Law and Social Policy (CLASP), Main Street Alliance, Institute on Taxation and Economic Policy, P Street, Patriotic Millionaires, Institute for Policy Studies - Program on Inequality, MoveOn, UnidosUS, 20/20 Vision, Advancing CT Together, Alliance for Retired Americans, Allons Babies, Americans for Democratic Action (ADA), Arkansas Asset Builders, Brazilian Worker Center Inc, California Alliance of Caregivers, CASH Campaign of Maryland, Catalyst Miami, Center for New Revenue, Center for the Study of Social Policy, Children's HealthWatch, Church Women United in New York State, Coalition on Human Needs, Color Of Change, Colorado Consumer Health Initiative, Colorado Fiscal Institute, Community Change Action, Connecticut Voices for Children, Consumer Action, Courage California, Demand Progress, Elevate Idaho Families, End Child Poverty CA powered by GRACE, Fair Share America, Faith in Minnesota, Financial Empowerment Network, Futures Without Violence, Garrett County Community Action Committee, Inc., Golden State Opportunity, Grow Brooklyn, Hawaii Children's Action Network Speaks!, Housing Action Illinois, Idaho Center for Fiscal Policy, In the Public Interest, Income Movement, Indivisible Georgia Coalition, ISAIAH (MN), Jobs with Justice, LIFT Inc, LIFT-DC, Maine Center for Economic Policy, Maine Equal Justice, MakingChange, Inc, Marion County Commission on Youth (MCCOY), Maryland Center on Economic Policy, Maryland Volunteer Lawyers Service, Meals4Families, Minnesota Budget Project, Mothers Outreach Network, My Money Story, National Association of Social Workers, National Coalition for Asian Pacific American Community Development, National Committee to Preserve Social Security and Medicare, National Council of Jewish Women Los Angeles, National Organization for Women, National Rural Social Work Caucus, NETWORK Lobby for Catholic Social Justice, New Jersey Policy Perspective, New Mexico Voices for Children, Northern Santa Barbara County United Way, Northwest Progressive Institute, Oregon Center for Public Policy, Oxfam America, Prepare + Prosper, Prosperity Indiana, Public Good Law Center, RAISE Texas, Responsible Wealth, RESULTS, RESULTS DC/MD, RESULTS.org-Massachusetts, Rise Up WV, RootsAction, San Diego for Every Child, SiX Action, Social Work Grand Challenge to Reduce Extreme Economic Inequality, State Innovation Exchange, Strong Economy For All Coalition, The Arc of the United States, Touch Stones Financial Wellness Services, Unitarian Universalist Fellowship of Hidalgo County Texas, Unitarian Universalists for Social Justice, United for a Fair Economy, United for Respect, United Way of Frederick County, United Ways of the Pacific Northwest, Upper West Side Action Group, Vesta Prosperity, Voices for Progress, Washington Anti-Hunger & Nutrition Coalition, Washington State Budget and Policy Center, Women Employed, and Young Invincibles.

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