FileYourStateTaxes

Free and easy state tax filing integrated with IRS Direct File

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Following an overwhelmingly popular pilot in 2024, IRS Direct File launched for its first full tax season in January 2025 and is now available to up to 32 million American households in 25 states. This historic new tool allows eligible taxpayers to file their federal returns for free. What’s even more exciting is that this year, certain fields on returns are pre-populated with taxpayers’ data—which the IRS already has on hand—so filers don’t have to input it themselves. This upgrade from last year’s edition of Direct File makes filing a tax return in the U.S. easier and faster than ever before.  

After our previous collaboration with the states of Arizona and New York, Code for America has launched FileYourStateTaxes—a bilingual, mobile-friendly companion filing tool that allows Direct File taxpayers to easily file their state returns, too—in four new states this year.  In 2025, Direct File users in Arizona, Idaho, New Jersey, North Carolina, and Maryland can quickly and easily file both a federal tax return and a state tax return in a single online process using FileYourStateTaxes. 

With FileYourStateTaxes, Code for America has demonstrated the promise and potential of state tax filing integrated with Direct File, proving that taxpayers can file both returns in one seamless experience. Evidence of the program’s success is available in our 2024 FileYourStateTaxes season-end report. We hope our model will inspire even more states around the country to join this powerful project.

How it works

Eligible taxpayers in 25 U.S. states can file their federal returns with Direct File. The tool provides live chat support and walks taxpayers through the steps of filing a tax return, like many other software options.

Upon completing the federal return on the IRS website, taxpayers in Arizona, Idaho, New Jersey, North Carolina, and Maryland export their data from Direct File to FileYourStateTaxes. The state filing tool then asks a few more questions specific to state situations and files the state tax return. Because most state tax return information is on the federal return, it generally takes no more than a few minutes for taxpayers to use FileYourStateTaxes. In fact, from the time of data transfer, 88% of 2024 filers completed and submitted their state return within 15 minutes.

The following brief demo videos offer walkthroughs of the process of filing a state return via FileYourStateTaxes:

Highlights from the 2024 pilot

In Arizona and New York—the two states in which Direct File users were able to complete and submit a state tax return using FileYourStateTaxes in 2024—this state tax filing approach was an incredible success. As we share in our 2024 FileYourStateTaxes season-end report:

  • In our follow-up survey, 96% of taxpayers were “satisfied” or “very satisfied” with FileYourStateTaxes. Reflecting on the federal-state data transfer, the most unique aspect of Direct File integrated state filing, 95% thought the transfer was “seamless and quick.” 
  • 90% of Arizona and New York taxpayers who filed a federal Direct File return went on to complete their state return with FileYourStateTaxes. We expect this high conversion rate to increase with additional user experience improvements in future years. Among those who transferred Direct File data, 98% completed FileYourStateTaxes. 
  • Most taxpayers finished FileYourStateTaxes very quickly. From the time of data transfer, 88% of filers completed and submitted their state return within 15 minutes. 
  • While our research focused on state filing, taxpayers also told us they loved Direct File. Nine out of 10 would recommend Direct File and FileYourStateTaxes to their friends and family, with a Net Promoter Score of 83.

How to file a state tax return with FileYourStateTaxes

To file a state tax return using FileYourStateTaxes, you must first file a federal tax return via Direct File. Learn more at directfile.irs.gov.

Tax departments across the U.S. are excited to offer free, easy tax filing to residents of their states. Code for America looks forward to supporting more states in building a future of free, easy, and accessible tax filing. The 2025 tax season is underway, but state tax departments interested in joining Direct File and FileYourStateTaxes in advance of the 2026 tax season should reach out to Code for America at fileyourstatetaxes@codeforamerica.org.

Are you a government leader who’s interested in bringing free, easy tax filing to your state?

Let’s work together to deliver state filing to your residents.

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