Section VI: Next Steps

While this report lays out our initial evaluation of the Direct File pilot, it is only the beginning of

our work. There is additional work to be done to evaluate the pilot itself, understand its impact,

and identify changes and enhancements to Direct File that would improve the user experience

for possible future years.

Stakeholder engagement

In addition to data and analysis around the pilot itself, the IRS will be engaging with

stakeholders in the coming weeks to talk to them about Direct File and hear their feedback

and thoughts. This includes talking to individuals on the Hill, industry, states, taxpayer-facing

groups, and partners. The IRS will engage in a series of conversations and roundtables to

both talk about what we learned during the pilot and hear from others on their thoughts about

Direct File.

Additional analysis of pilot data

As noted, the data contained in this report is not comprehensive. There is additional analysis

of pilot data that is needed and will occur over the coming months. Some areas the team will

explore include:

• A deeper analysis of Direct File usage, including barriers to usage and the cause for

user drop-off to identify potential future changes and enhancements.

• An analysis of post-filing season data, including looking at amendment rates as well as

audit selections and the reasons for those selections to identify potential adjustments

to the Direct File tax logic or potential enhancements to the user experience to avoid

future errors.

• Gathering a better understanding of who used Direct File, how they chose to use it,

and whether any information we learn creates an opportunity for potential future

changes or expansion.

• Study whether Direct File was successful in ensuring that taxpayers received the

credits and benefits to which they were eligible and any effect on benefits uptake.

Follow on surveys – ITB and TES

As part of the Direct File evaluation plan, there is also additional survey work still to be done

related to Direct File. Every year Research, Applied Analytics and Sciences (RAAS) conducts

the Individual Taxpayer Burden survey (ITB), which is a voluntary survey of taxpayers

designed to learn more about the time and expense involved in preparing and filing taxes. The

goal of the survey is to gather information to learn how to reduce taxpayer burden. This year,

RAAS allocated 5,000 surveys to users of Direct File, and the results of that survey will

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provide valuable information about the taxpayer experience while using Direct File and

whether taxpayers found Direct File to reduce burdens.

The IRS also conducts an annual Taxpayer Experience Survey (TES). The 2022 TES provided

valuable feedback about taxpayer interested in using Direct File that was analyzed in the

report to Congress. The 2024 TES will contain Direct File-specific questions designed to

identify taxpayers’ impressions and interest in using Direct File as well as their experience with

and interest in using chat-based customer support.

User research

One of the foundations of the development of Direct File is that the service was built with

taxpayers, not just for taxpayers. The commitment to ongoing user research does not end now

that the pilot is over. Throughout the pilot the team continued to engage in user research with

Direct File users who wanted to provide feedback on the product. We will continue this user

research both to understand the experience of taxpayers who used Direct File, taxpayers who

tried to use Direct File and were unable to, and taxpayers who have not yet tried Direct File

but can provide valuable feedback, nonetheless.

The Future of Direct File

At the time of this report's release, May 3, 2024, the IRS has not made a decision about the

future of Direct File. The Direct File team and IRS leadership will examine data from the pilot,

user feedback, and discussions with stakeholders, and the IRS Commissioner anticipates

making a decision about Direct File's future later in the Spring of 2024.

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