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IRS would eliminate Direct File under Trump-backed budget reconciliation bill
The budget reconciliation bill would require the Treasury Department to terminate the Direct File program “as soon as practicable."
President Donald Trump has repeatedly called on lawmakers to pass the “big, beautiful bill” as a way to offset the extension of $4.5 trillion in tax cuts. “I will consult and study the program and understand it better and make sure it works to serve the IRS’ three goals of collections, customer service, and privacy,” Bessent told the Senate Finance Committee on Jan. 16. Adam Ruben, vice president of campaigns and political strategy at the Economic Security Project, estimated that Direct File, now available in 25 states, saw double or triple the total number of users compared to last year.
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