# ![](media/image1.png){width="7.270833333333333in" height="1.1354166666666667in"}Media Relations Office Washington, D.C. Media Contact: 202.622.4000 {#media-relations-office-washington-d.c.-media-contact-202.622.4000 .Folio-Text-1}

[www.IRS.gov/newsroom](http://www.irs.gov/newsroom/index.html) Public
Contact: 800.829.1040

Improved, Expanded Free File Program Opens Today for 95 Million
Taxpayers

IR-2007-11, Jan. 16, 2007

WASHINGTON --- The Internal Revenue Service and its private-sector
partners today announced the opening of this year\'s Free File program
with a series of improvements and changes to help taxpayers. The free
tax preparation and free electronic filing initiative begins its fifth
year with more consumer-friendly features and expanded services for
Spanish-speaking taxpayers.

Seventy percent of the nation's taxpayers -- 95 million Americans --
qualify for Free File. This year, up to 20 Free File Alliance companies
will participate in the program run by the IRS and the Free File
Alliance, a consortium of tax preparation software companies. The
program is available only through IRS.gov.\
\
"The Free File program has significant changes this year that make it an
even better deal for taxpayers," said IRS Commissioner Mark W. Everson.
"A huge part of the taxpayer public can use these free services.
Taxpayers should review the Free File offerings and see which one works
best for them."

Free File Alliance Executive Director Tim Hugo said, \"This year, 95
million Americans will be eligible to participate in a Free File program
that has made dramatic improvements for the taxpaying public. The Free
File program is a public-private partnership at its best.\"

A new agreement reached last month between the IRS and the Free File
Alliance means enhanced services for taxpayers this year. Among the
changes and features of this year's program:

-   Seventy percent of the nation's taxpayers -- those with an adjusted
    gross income of \$52,000 or less -- are eligible for Free File. Each
    company sets its own criteria for who can use the service.

-   Taxpayers will be able to use Free File to request the Telephone
    Excise Tax Refund. Taxpayers can either request the standard amount,
    which ranges from \$30-\$60, or the actual amount. Some alliance
    members will provide free access to Form 1040EZ-T for those people
    who have no legal obligation to file a tax return, but who can
    request the one-time telephone excise tax refund. Some alliance
    members also will offer free access to Form 8913 to request the
    actual amount.

-   Two companies will offer Free File in Spanish.

-   Participants will no longer offer refund anticipation loans (RALs)
    and other ancillary products.

-   Some Alliance members are offering the state return for free. All
    Alliance members' Web sites display whether state online tax
    preparation and filing services are available and the associated
    fees, if any.

-   Taxpayers can use Free File to file a Form 4868, Application for
    Automatic Extension of Time to File.

The Free File Alliance selects its own membership, and all members must
meet the IRS' high standards for security and privacy. The IRS does not
endorse any Free File Alliance company. While the IRS manages the
content of the Free File pages accessible on
[IRS.gov](http://www.IRS.gov/), it does not retain any taxpayer
information entered on the Free File site.

More than 3.9 million taxpayers used Free File last year. Free File
debuted in 2003 with nearly 2.8 million users.

Taxpayers consistently give high marks to Free File in satisfaction
surveys. According to Russell Research, a market research firm
contracted by the IRS, 94 percent said they intend to use Free File
again this year, 96 percent said they found Free File very easy or
somewhat easy to use and 97 percent said they would recommend Free File
to others. Convenience, not the free cost, was the most appealing factor
of Free File.\
\
"This level of public satisfaction with Free File is just astounding,"
Everson said. "This innovative program provides real value to the
taxpayers. Taxpayers will find we've made a great program even better
this year."\
\
**Links:**

[Free File Home](http://www.irs.gov/efile/article/0,,id=118986,00.html)

Free File Press Kit

Telephone Excise Tax Return page

December news release

1040 Central