Starting next year, New Jersey’s Direct File program will allow up to 1.3 million taxpayers to file federal and state taxes online for free, simplifying the process and saving time and money for those with simple tax situations.
New Jersey Taxpayers to Enjoy Simplified Filing with Direct File Program
Starting next year, New Jersey taxpayers will have a new way to file their income taxes through the Direct File program announced on Wednesday. Governor Phil Murphy said that this program will let up to 1.3 million people file both federal and state taxes online for free. It will be easy to use, fast, and secure especially for those with simple tax situations.
Simplify Your Tax Filing Experience
The Direct File program is designed to make tax filing easier and cheaper. Normally, taxpayers spend around $270 and 13 hours preparing their taxes. In tests done in 12 other states, the program showed it could save time and cut costs by about $5.6 million in fees. About 140,000 people used the service during the trial and received more than $90 million in refunds proving it works well.
To use Direct File, families must earn less than $200,000 and individuals less than $125,000, and they need to have simple W-2 or 1099 forms for Social Security or unemployment income. People who earn from tips, gig work, rental properties, or online payment apps are not eligible. This program is meant to simplify the tax filing process and help users get all the refunds and credits they deserve making tax season less stressful and costly, according to the report of Audacy.