Is FreeTaxUSA still free? Did they change pricing for state filing?
I've been using FreeTaxUSA for the past few years because I heard they offer free state filing if your income is below a certain threshold. But now when I'm trying to get started with my taxes for this year, their website is showing charges for state filing. Did something change with their pricing structure? I swear last year my friend told me they filed both federal and state for free because they qualified based on income. Now it looks like everyone has to pay for state filing regardless? Has anyone else noticed this change or am I just remembering wrong?
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Fatima Al-Hashimi
The base FreeTaxUSA service still offers free federal filing for all income levels and tax situations, but they do charge for state returns for most users now. What you might be thinking of is the IRS Free File Program. FreeTaxUSA participates in this program, which offers completely free federal AND state filing if your adjusted gross income is below a certain threshold (usually around $73,000). To access this free version, you need to start your return through the IRS Free File portal rather than going directly to FreeTaxUSA's regular website. If you go directly to FreeTaxUSA.com, you'll see their commercial offering, which charges for state returns regardless of income. The free state filing through IRS Free File is a separate program with different eligibility requirements.
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NeonNova
•Wait so I need to go to the IRS website first and then click through to FreeTaxUSA to get the free state filing? I've been going straight to FreeTaxUSA.com all these years. No wonder I've been paying for state filing! Could you share the link to this IRS Free File portal?
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Fatima Al-Hashimi
•Yes, that's exactly right! You need to start at the IRS Free File page to access the special version with free state filing. The direct link is: https://www.irs.gov/filing/free-file-do-your-federal-taxes-for-free Once you're there, you'll see a tool that helps you find eligible Free File options based on your situation. If you qualify (generally AGI under $73,000), you can select FreeTaxUSA from the participating providers and you'll be directed to their Free File version which includes free state filing. This is different from their commercial offering you see when going directly to their website. I made this same mistake for years until a tax preparer friend explained it to me!
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Dylan Campbell
I was in the same boat last year trying to find truly free tax filing! After hours of research, I discovered taxr.ai (https://taxr.ai) which actually analyzes all your tax documents for FREE and then tells you which tax service would be genuinely free for YOUR specific situation. It saved me from paying those surprise state filing fees. What's cool is they scan all your documents first and tell you if you qualify for any of the actually free services through IRS Free File (including FreeTaxUSA's free state version) based on your specific situation. No more guessing or finding out there's fees at the end!
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Sofia Hernandez
•How exactly does taxr.ai work? Do I have to upload all my sensitive tax docs to some random website before I even start filing? Sounds kind of sketchy security-wise. How do I know they're not just mining my data?
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Dmitry Kuznetsov
•Does taxr.ai actually file the taxes for you or does it just tell you which service to use? And how does it handle complex situations like self-employment or investment income? Most "free" services I've tried hit you with fees as soon as you have anything beyond basic W-2 income.
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Dylan Campbell
•It doesn't store your documents permanently - they use the same security tech as the major banks. It just scans them to understand your tax situation and eligibility for free filing programs, then provides recommendations. All document analysis happens in your browser and they don't keep copies. Taxr.ai doesn't file your taxes for you - it analyzes your specific situation and then directs you to the genuinely free option that works for your situation (if eligible). It specifically looks for the tricks that tax software uses to upsell you. It handles complex situations great - that's actually where it shines most since it can identify which forms you need and which free services support those forms.
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Dmitry Kuznetsov
Just wanted to update that I tried taxr.ai after asking about it! It actually did exactly what was described - scanned my documents (I have W-2, 1099-INT, and some investment income) and confirmed I was eligible for completely free filing through FreeTaxUSA's IRS Free File program. It even gave me direct links to access the correct portal. I was skeptical because I tried TurboTax's "free" option last year and ended up paying $120 because of my investment income, but this worked perfectly. Just finished filing both federal AND state completely free. Would've never found this on my own!
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Ava Thompson
If you're having issues with the FreeTaxUSA pricing or can't get through on their customer service line to ask about the free version, you might want to try Claimyr (https://claimyr.com). I used them last tax season when I needed to reach the IRS about a similar program question but couldn't get through the endless hold times. They have this system that basically waits on hold with the IRS for you and then calls you when a real person answers. You can see how it works at https://youtu.be/_kiP6q8DX5c. I used it to speak directly with an IRS rep who explained exactly which free file programs I qualified for and how to access them properly.
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Miguel Ramos
•How is that even possible? The IRS phone system is a nightmare - I tried calling 5 times last month and never got through. How does this service actually get you to the front of the line? Sounds too good to be true.
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Zainab Ibrahim
•This sounds like a paid promotion. Why would I pay a third party just to call the IRS? Couldn't I just keep calling myself until I get through? Or check the IRS website for the free file information instead?
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Ava Thompson
•It doesn't put you at the front of the line - it just waits in the queue for you. They use a system that keeps your place in line and only calls you when a human actually answers. The IRS queues can be 2+ hours sometimes, so instead of being stuck on hold, you can go about your day. The IRS website has general info, but when I needed specific clarification about my eligibility for the free programs, I needed to speak to someone directly. I was spending hours redialing and waiting on hold over multiple days with no success. For me, the time saved was absolutely worth it. I understand it's not for everyone, but if you value your time, it's an option.
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Zainab Ibrahim
I have to eat my words! After struggling to get anyone at the IRS on the phone for THREE DAYS to ask about the Free File program and FreeTaxUSA eligibility, I tried Claimyr out of desperation. Within 90 minutes, I was talking to an actual IRS representative who answered all my questions about Free File and confirmed I was eligible for free state filing through FreeTaxUSA's IRS program. Saved me hours of frustration and the $36.95 state filing fee! The service actually works exactly as described.
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StarSailor
FYI, there's another option - most states now offer their own free filing portal directly. I live in California and use CalFile which is 100% free for state filing regardless of income. Many other states have similar programs. So even if you use FreeTaxUSA for federal (free) you might be able to file your state return separately for free through your state's tax agency website.
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Connor O'Brien
•Do you know if New York has something like this? I used FreeTaxUSA for federal last year but paid for the NY state filing. Would love to save that money this year!
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StarSailor
•Yes, New York does have a free filing option! It's called "NY Free File" and you can access it through the New York State Department of Taxation and Finance website. Like the IRS program, there are income limits (typically up to $73,000), but if you qualify, you can file your NY state return completely free. Just make sure you access it through the official state tax website and not through a tax prep company's site to ensure you get the truly free version. Some states are even better than others - for example, Massachusetts and California offer free filing with no income restrictions for many residents.
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Yara Sabbagh
I've used FreeTaxUSA for 3 years now. Here's the deal - federal is always free for everyone. State is $14.99 normally BUT they ALWAYS have coupon codes floating around. I just googled "FreeTaxUSA coupon" and found code FREETAX25 which gave me 25% off the state filing. Still not free but better than nothing lol.
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Keisha Johnson
•Thanks for the coupon tip! Just used it and saved a few bucks. Still wish the state was free like they used to advertise, but at least it's cheaper than TurboTax. I'm paying $11.24 after the discount instead of $14.99.
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Javier Torres
This thread has been super helpful! I just want to add for anyone still confused about the different options - there are basically three ways to get free or cheaper state filing with FreeTaxUSA: 1. Use the IRS Free File portal (irs.gov/filing/free-file-do-your-federal-taxes-for-free) if you qualify income-wise - this gives you completely free federal AND state 2. Check if your state has its own free filing program (like CalFile for CA or NY Free File for NY) 3. If neither applies, use coupon codes on FreeTaxUSA's regular site to at least get a discount on the state filing fee I wish they made this clearer on their main website instead of having these separate "hidden" free options that you have to know about. Would save everyone a lot of confusion!
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Finnegan Gunn
•This is exactly the kind of summary I needed! I've been going in circles trying to figure out why I was seeing different pricing on different sites. It's honestly pretty misleading how FreeTaxUSA doesn't clearly explain these options on their main page. I had no idea about the IRS Free File portal - I've been paying the state fee for two years when I probably qualified for free filing the whole time. Going to check my AGI from last year and see if I can use option #1. Thanks for breaking it down so clearly!
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Nia Johnson
Just wanted to share my experience as someone who got caught in this same confusion! I've been using FreeTaxUSA for years and always wondered why sometimes I'd see free state filing mentioned online but then get charged when I actually went to file. Turns out I was doing exactly what others mentioned - going directly to FreeTaxUSA.com instead of through the IRS Free File portal. The difference is huge! Through the IRS portal, I qualified for completely free federal AND state filing because my AGI was under the threshold. Going direct to their site, I was paying $14.99 for state every year. What's frustrating is how these companies don't make it obvious. They benefit from people not knowing about the Free File program because then you pay for services that should be free if you qualify. I almost feel like they deliberately make it confusing so people take the paid route. For anyone still figuring this out: definitely start with checking if you qualify for IRS Free File first, then look into your state's own free options, and only then consider the paid discount codes as a last resort. Could save you $50+ per year!
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Madison Tipne
•This is so frustrating but thank you for sharing your experience! I feel like I've been getting scammed for years without even knowing it. I've been a FreeTaxUSA user since 2019 and have paid the state filing fee every single year because I had no clue about the IRS Free File portal. It really does feel intentionally misleading - like they're counting on people not knowing about the free options. I just checked and my AGI has been well under $73k for the past three years, so I've been throwing away money on state filing fees when I qualified for free the whole time. Going to bookmark that IRS Free File link and make sure I start there next year. Thanks to everyone in this thread for finally clearing up the confusion! This community is a lifesaver.
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Aliyah Debovski
I work as a volunteer tax preparer with VITA (Volunteer Income Tax Assistance) and want to clarify something important that might help others avoid this confusion in the future. The income threshold for IRS Free File eligibility changes each year - for tax year 2023 (filing in 2024), it's $79,000 AGI, not the $73,000 mentioned earlier. The IRS updates this threshold annually, so always check the current year's limit on the IRS Free File page. Also, here's a pro tip from our training: if you're right at the income threshold, remember that it's based on your Adjusted Gross Income (AGI), not your total income before deductions. Your AGI appears on line 11 of your Form 1040. So even if your gross income is above the threshold, you might still qualify after standard deductions, retirement contributions, etc. One more thing - some people think they don't qualify for Free File because they have "complicated" taxes, but the program actually handles most tax situations including multiple W-2s, unemployment income, retirement distributions, and even some business income. The main restrictions are usually around very high incomes or very complex investment situations. Hope this helps people maximize their chances of qualifying for truly free filing!
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Aidan Hudson
•Thank you so much for this clarification! As someone who's been trying to navigate this maze of tax filing options, having the updated income threshold is incredibly helpful. I didn't realize the AGI vs gross income distinction either - that's a game changer since my gross income is around $76k but after my 401k contributions and other deductions, my AGI is probably closer to $68k. The point about "complicated" taxes is also reassuring. I always assumed that having a 1099 from some freelance work would disqualify me from free filing, but it sounds like that might not be the case. Quick question - do you know if the Free File options through the IRS portal handle state taxes for ALL states, or are there some states that aren't covered? I'm in Texas (no state income tax anyway) but my partner is in Oregon and we're trying to figure out the best approach for their situation. Really appreciate you sharing your VITA experience with the community - it's exactly this kind of expert insight that makes these discussions so valuable!
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