IRS Direct File Is Gone for 2026: Here Are Your 5 Best Free (and Affordable) Tax Filing Options in New Haven

February 2, 2026 • News, Tax Planning

New Haven, CT : February 2, 2026 : The IRS Direct File pilot program has officially ended. New Haven taxpayers who relied on this service must now find alternative filing options for the 2026 tax season.

The good news? Multiple free and affordable alternatives exist. Understanding your eligibility and which option fits your tax situation can save you money and time before the April 15th deadline.

Why IRS Direct File Is No Longer Available

The IRS Direct File program was a pilot initiative that allowed eligible taxpayers to file their federal returns directly with the IRS at no cost. The program has been discontinued for 2026, leaving approximately 70% of American taxpayers searching for new filing solutions.

If you previously used Direct File, you must select a new filing method this year. Do not wait until the last minute. Review your options now to avoid delays in receiving your refund.

Option #1: IRS Free File Guided Tax Software : Best for Most New Haven Taxpayers!

Eligibility: Adjusted Gross Income (AGI) of $89,000 or less in 2025.

The IRS Free File program partners with eight trusted tax software companies to provide completely free federal tax return preparation and filing. This option works well for W-2 employees, freelancers with straightforward income, and families claiming standard deductions.

How to Access IRS Free File:

Visit IRS.gov and navigate to the Free File portal
Answer eligibility questions to find your match
Select a partner company based on your specific situation
Complete your return using guided interview-style questions
File your federal return electronically at no cost

Important: Each partner company sets additional eligibility requirements. These may include age restrictions, state residency, military status, or income from specific sources. Some partners offer free state tax return preparation as well.

What You Can Expect:

Step-by-step guidance through your entire return
Automatic calculation of credits and deductions
Error-checking before submission
Electronic filing with faster refund processing
Free federal filing guaranteed if you qualify

Who Should Use This: New Haven residents with simple to moderately complex returns who meet the income threshold. This option provides professional-grade software without the cost.

Option #2: IRS Free File Fillable Forms : For Tax-Savvy Filers Only

Eligibility: All income levels. No income restrictions apply.

Free File Fillable Forms are electronic versions of IRS paper forms. You complete the forms yourself, and the system performs basic calculations. This option requires tax knowledge and familiarity with IRS forms and schedules.

Key Differences from Guided Software:

No interview-style questions or guidance
You must know which forms and schedules to use
Limited help and no customer support
Does not include state tax filing
Requires understanding of tax law and form instructions

Warning: If you make errors on Free File Fillable Forms, the IRS may delay your refund or request additional documentation. Incorrect entries can lead to penalties or interest charges.

Who Should Use This: New Haven taxpayers with advanced tax knowledge or those with simple returns who are comfortable reading IRS instructions. Not recommended for first-time filers or anyone claiming complex credits.

Option #3: Volunteer Income Tax Assistance (VITA) : Free In-Person Help in New Haven!

Eligibility: Generally for taxpayers earning $64,000 or less, persons with disabilities, and limited English speakers.

VITA sites operate throughout New Haven during tax season, offering free tax preparation by IRS-certified volunteers. You meet with a preparer in person who completes your return while you wait.

VITA Services Include:

Free federal and state tax return preparation
Electronic filing with direct deposit setup
Review of prior year returns for missed credits
Basic tax questions answered on the spot
Assistance in multiple languages

How to Find VITA Sites in New Haven:

Call 211 or visit 211ct.org
Use the IRS VITA Locator tool online
Check with local libraries, community centers, and churches
Contact United Way of Greater New Haven for locations

Appointment Required: Most VITA sites require appointments. Book early in the season, as slots fill quickly between January and April.

Who Should Use This: New Haven residents who prefer face-to-face assistance, taxpayers with language barriers, or anyone who wants free professional preparation without navigating software.

Option #4: Tax Counseling for the Elderly (TCE) : Specialized Help for Seniors

Eligibility: Taxpayers aged 60 and older. No income restrictions.

The TCE program focuses on pension, retirement, and senior-specific tax issues. IRS-certified volunteers specialize in questions unique to older taxpayers.

TCE Services Cover:

Social Security income reporting
Required Minimum Distributions (RMDs) from retirement accounts
Medicare premium deductions
Pension and annuity taxation
Senior tax credits and deductions

TCE sites are often located at senior centers, retirement communities, and AARP locations throughout New Haven. The program operates similarly to VITA but with expertise in retirement tax matters.

Who Should Use This: New Haven seniors navigating retirement income, Social Security benefits, and Medicare-related tax questions.

Option #5: Affordable Professional Preparation at Jose's Tax Service

Cost: Starting at competitive rates with personalized service.

Not everyone qualifies for free filing, and some tax situations require professional expertise. If your AGI exceeds $89,000, you own a small business, have rental properties, or need state-specific guidance, professional preparation may be your best option.

Why Choose Jose's Tax Service in New Haven:

Over 20 years serving New Haven taxpayers
In-person consultation with experienced tax professionals
Comprehensive review of deductions and credits specific to Connecticut residents
Year-round support for tax questions and IRS notices
Audit assistance and representation if needed
Same-day appointment availability during peak season

What Sets Us Apart: We review every return for maximum refund potential. Many clients discover deductions they would have missed using software alone. Our personalized service means you speak with a real person who understands New Haven's local tax landscape.

Tax Situations That Benefit from Professional Preparation:

Self-employment or 1099-MISC/1099-NEC income
Rental property ownership
Investment income and capital gains
Multi-state income or residency changes
Home office deductions
Cryptocurrency transactions
Prior year amended returns
IRS notices or audits

Cost-Benefit Reality: Paying for professional preparation often results in larger refunds or reduced tax liability. A qualified preparer can identify overlooked deductions that more than cover the preparation fee.

Which Option Should You Choose?

Choose IRS Free File Guided Software if:

Your AGI is $89,000 or less
Your return is straightforward with W-2 income
You're comfortable using online tools
You want free federal and potentially free state filing

Choose Free File Fillable Forms if:

You have advanced tax knowledge
Your income exceeds $89,000
You want to save money and don't need guidance
Your return is simple with few deductions

Choose VITA or TCE if:

You qualify based on income or age
You prefer in-person assistance
You have language barriers or disabilities
You want completely free preparation with support

Choose Jose's Tax Service if:

You have complex tax situations
You own a business or rental property
You want maximum refund strategies
You value personalized, year-round support

Don't Wait Until April 14th!

The April 15, 2026 deadline approaches faster than most taxpayers expect. Start gathering your documents now. Delays in filing can result in delayed refunds, especially for returns claiming Earned Income Tax Credit (EITC) or Additional Child Tax Credit (ACTC).

Action Steps to Take This Week:

Gather all W-2s, 1099s, and income documents
Determine your AGI from your 2025 return
Choose your filing method based on eligibility
Schedule appointments for VITA, TCE, or professional services
File electronically with direct deposit for fastest refunds

Whether you choose free software, volunteer assistance, or professional preparation at Jose's Tax Service, the most important decision is to file accurately and on time.

Need help deciding which option is right for your situation? Contact Jose's Tax Service in New Haven at josestaxservice.com. We offer free consultations to review your tax situation and recommend the best filing approach for your needs.