Paying taxes is definitely not high on most people’s list of fun things to do, unless the person is getting a large refund. The main reason that people hate taxes so much is because they don’t like losing their hard earned money. And while the taxes themselves take a big bite out of the average household budget, the cost to have taxes prepared by professionals is also exorbitant.
So here is a little known fact that the IRS doesn’t publicize very well. Seventy percent of tax filers are eligible to prepare and file their taxes online for free. That’s not a typo.
Who is Eligible for Free Online Tax Filing?
According to the IRS Free File website all taxpayers with a 2009 adjusted gross income (AGI) of $57,000 or less to file taxes online for free. This program applies to both single filers and filers with a status of Married Filing Jointly. The AGI requirement was increased from previous years because the IRS program covers 70% of taxpayers who file a form 1040 and the average AGI of that 70% is $57,000. In real numbers, that is 99 million taxpayers who are eligible to file their taxes online for free.