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The Internal Revenue Service will begin accepting federal tax return filings on January 27, marking the start of the 2025 tax filing season. More than 140 million income tax returns are expected before the April 15 tax filing deadline, with expanded direct file and free file services, faster electronic filing, and upgraded digital tools designed to make it easier for taxpayers to file their taxes and track refunds securely.

When to File Your Federal Tax Return in 2025

The IRS will open its systems to accept returns on January 27. The nationwide filing deadline remains Tuesday, April 15, 2025. Taxpayers can request an automatic six-month extension, but any tax payment owed must still be made by the April deadline to avoid interest and penalties.

The agency expects to process more than 140 million federal income tax returns this year. Those who file electronically typically receive their refund within 21 days, while paper returns sent by mail may take much longer. Individuals who owe or need to make an estimated tax payment can do so online through IRS portals linked directly to a bank account, debit card, or credit card.

Extensions and estimated taxes are especially important for small business owners, freelancers, and others with other income not reported on a W-2 from an employer. Filing early helps taxpayers prepare, check their balance, and ensure returns are accepted without last-minute problems.

IRS Digital Tools for Filing in 2025

Taxpayers logging into their IRS online accounts will notice several upgrades. A locked padlock icon signals secure access, while over 200 electronic forms are available online. Of these, 67 can be opened on mobile devices with save-and-draft capability, allowing a person to start and later complete a tax return without losing progress.

The IRS has also strengthened integration with tax software, making it easier to upload documents, sign electronically, and file electronically. Officials say these improvements should reduce delays in the process and reduce the number of returns sent by mail.

Direct File and Free File Programs Expanded

After a limited pilot in 2024, the direct file program is now offered in 25 states. The Treasury Department estimates more than 30 million taxpayers may qualify for this free tool, which allows them to file for free directly with the IRS.

Meanwhile, free filing remains available nationwide to those with an adjusted gross income of $84,000 or less. These programs provide more ways to file and even pay taxes for free if eligible under program guidelines.

Additional help comes from IRS-supported assistance, such as Volunteer Income Tax Assistance and Tax Counseling for the Elderly, which guide people with low to moderate income, seniors, and first-time filers through their federal return.

How Income Tax Filing Works in 2025

Filing begins with gathering records, such as W-2s from an employer and 1099s reporting other income. Taxpayers then prepare their federal return, report income, apply deductions, and claim eligible tax credit benefits. Missing forms or errors can delay acceptance and may result in penalties.

For those who cannot pay in full, the IRS offers installment payment plans to help manage balances and avoid heavy interest charges on money owed.

Electronic Filing and E-File Growth

The IRS encourages electronic filing because it speeds the process, reduces errors, and gets refunds into a bank account faster. Nearly 97 percent of all income tax returns were filed via e-file in 2024, underscoring the shift from paper.

Taxpayers who file electronically generally see their refunds within 21 days. Filing early increases the chance of being accepted quickly and receiving money on time.

The IRS also highlights cost savings: processing an e-file return costs just 23 cents, compared to $8.65 for a paper return sent by mail. Electronic filing has become the most efficient and secure way for individuals and small business owners to complete a federal income tax return.

Payments, Refunds, and Estimated Tax Deadlines

Not every filer will get a refund. Many will need to make a tax payment, and the IRS urges taxpayers who owe to use its secure online payment system. Options include direct debit from a bank account, credit card, or approved third-party services.

Those with other income, such as freelancers or gig workers, must also meet quarterly estimated tax payment requirements. Missing estimated taxes can lead to fines at the April filing deadline, even if the annual federal tax return is on time.

Refunds tied to specific tax credit claims—including the Earned Income Tax Credit and Additional Child Tax Credit—will be delayed until mid-February, with deposits expected in early March. Filing early helps taxpayers confirm their deductions, manage their balance, and prepare for any payments due.

Why the April Filing Deadline Matters

The April 15 filing deadline has existed since 1955, giving Americans a consistent annual marker for filing obligations. During this three-month window, the IRS processes millions of federal tax filings, issues billions in refunds, and provides services to millions.

Funding from the Inflation Reduction Act has allowed the agency to expand access to digital tools and improve call response times. In 2024, the IRS accepted 174 million returns, 97 percent via electronic filing, but the Government Accountability Office noted persistent challenges in handling paper returns and mail.

Official Comments on IRS Improvements

“This has been a historic period of improvement for the IRS, and people will see additional tools and features to help them with filing their taxes this season,” said IRS Commissioner Danny Werfel.

The Treasury Department projects that more than 30 million taxpayers will be eligible for the expanded direct file program. A GAO report praised better phone service levels but warned of ongoing backlogs with paper correspondence.

How Taxpayers Can File for Free

Families claiming refundable tax credit benefits will see funds available by early March. Small business filers will benefit from expanded electronic filing options. First-time filers can file for free through IRS-certified assistance programs.

The IRS reminds all taxpayers to sign their returns, prepare documents early, and submit any required payment before the April deadline. Filing ahead of schedule reduces errors, avoids last-minute stress, and ensures refunds are deposited on time.

Where to Find More Information