Maryland Launches Free Direct File Tax Program

Maryland will implement a free Direct File program starting in January 2025, allowing approximately 700,000 residents to file both state and federal tax returns online without using third-party services. Comptroller Brooke Lierman emphasized that this initiative, part of the Biden administration's efforts to modernize tax filing, aims to save time and money for taxpayers, particularly those with simpler returns. Governor Wes Moore and other state and federal officials joined Lierman in announcing the program, which follows a successful pilot and is designed to streamline the filing process, making it more secure and efficient. The program targets low-to-moderate earners and is expected to eliminate the average $110 cost and ten hours associated with traditional filing methods. Eligibility requirements will be announced in January 2025, focusing on residents whose income comes primarily from W-2 employment and who utilize common tax deductions. This initiative is viewed as a significant advancement in making tax filing accessible and affordable for Marylanders.