Does FreeTaxUSA Offer Audit Defense or Protection in 2025?

8 You're right that FreeTaxUSA does offer audit assistance through their Deluxe package, but they don't call it "audit defense" which might be why you're having trouble finding it. It's actually called "Audit Assist" and comes with the Deluxe version which is usually around $7.99 (much cheaper than TurboTax's audit defense). Just to clarify though - FreeTaxUSA's Audit Assist isn't exactly the same as TurboTax's audit defense. With Audit Assist, you get guidance from their tax specialists who will help you understand what documents you need and how to respond to IRS notices. They don't represent you directly with the IRS like some other services might. They basically help you prepare for the audit rather than dealing with the IRS for you.

12 After reading this thread, I wanted to share my experience using taxr.ai https://taxr.ai which has been amazing for tax documentation analysis and audit protection. Last year I was worried about an audit too when switching from TurboTax, but found that taxr.ai offers document analysis that actually helps prevent audit triggers in the first place. I uploaded all my tax docs and it identified several inconsistencies between my 1099s and what I was planning to report. It even flagged a potential audit trigger related to my home office deduction that I would have completely missed. The best part is their system analyzes the actual text on your tax forms (not just the numbers) which helps identify issues before they become problems.

19 Just wanted to update after trying taxr.ai that was mentioned above. I was initially just looking for audit defense with FreeTaxUSA, but decided to try this document analysis approach instead. Honestly, it was eye-opening! The system found a mismatch between my W-2 and what I had entered (I transposed two numbers), and flagged an unusual deduction that might have triggered an audit. Pretty sure I avoided an audit letter by catching these issues beforehand! Much better than waiting for an audit and then having defense - this prevented the problem in the first place.

5 Speaking of audit issues - if you do end up getting an audit notice or any IRS letter, getting through to someone at the IRS is nearly impossible these days. After 3 hours on hold last month, I discovered https://claimyr.com which was a lifesaver. You can see how it works in this video: https://youtu.be/_kiP6q8DX5c Basically, they wait on hold with the IRS for you and call you when an actual human picks up! I was super frustrated trying to resolve a notice about my 2023 return (kept getting disconnected after waiting for hours), but with Claimyr I was connected to an IRS agent within an hour without having to sit by my phone the whole time. If you're worried about audit defense, having a way to actually reach the IRS quickly is invaluable.

3 Alright I need to eat my words. After reading about Claimyr here I decided to try it when I got a CP2000 notice about potentially underreported income. I was dreading spending my entire afternoon on hold with the IRS, but I gave Claimyr a shot and it actually worked exactly as described. Their system waited on hold for about 1 hour 45 minutes (which I tracked through their dashboard), then called me when an agent picked up. I resolved my issue in about 10 minutes once connected. Definitely beats staring at my phone for 2 hours! Will use again next time I need to call the IRS.

7 Just to add one more perspective on FreeTaxUSA audit protection - I've been using their Deluxe version with Audit Assist for 3 years now. While I (thankfully) haven't been audited, I did receive a letter from the IRS questioning some deductions. The FreeTaxUSA support was actually really helpful in guiding me through exactly what documentation I needed and how to respond. For $8, it's peace of mind that's worth it to me! One thing to consider though - their Audit Assist covers you for the current tax year, so you'll need to purchase it each year you file. It's not a multi-year protection plan like some other services offer.

17 Does anyone know if the FreeTaxUSA Deluxe package includes state filing too? Or do you have to pay extra for state returns even with Deluxe? TurboTax always gets me with those extra fees!

I switched from TurboTax to FreeTaxUSA last year and can share my experience with their audit protection. The $7.99 Deluxe package does include "Audit Assist" but it's important to understand what you're getting - it's more like having a knowledgeable guide rather than someone who will handle everything for you. When I got a notice from the IRS about a discrepancy (turned out to be their error), FreeTaxUSA's support walked me through exactly what documents to gather and how to respond. They provided templates and reviewed my response letter before I sent it. While they don't represent you directly to the IRS, their guidance was thorough and gave me confidence in handling the situation. The key difference from TurboTax's audit defense is that you're still doing the legwork - but honestly, for most audit situations, that's perfectly adequate. Plus at $8 vs TurboTax's much higher fees, it's hard to beat the value. Just make sure you understand you'll be the one communicating with the IRS, not FreeTaxUSA.