For-profit tax preparation software has been fueling demand for some time for government-run public options that can provide free electronic filing. The IRS Direct File pilot program may be able to do just that, but its success will depend on overcoming significant obstacles such as broadband access in rural areas, availability of Internet-enabled devices, and public library staffing and resources. It depends on whether you can do it or not.
The Direct File initiative should spur widespread action on strengthening digital inclusion and equity. The demand to close the digital divide is becoming more important every day. Successful implementation of Direct File depends on widespread and equitable broadband access, so increased funding and innovative solutions are urgently needed.
Potential paths forward include viable short-term alternatives to widespread broadband. These include patch-over efforts such as subsidized satellite internet and enhanced public library capabilities and funding. In addition to serving as an access point to digital tax services, the library also serves as a key center for tax assistance through an expanded vision of the Volunteer Income Tax Assistance Program.
broadband access
Broadband access across the United States is largely a story of exponential growth, but differences among demographic and regional groups are notable.
According to 2024 Pew Research Center data, nearly 90% of individuals under 50 have broadband access at home, but that number drops to about 70% for those 65 and older. This disparity is similar between white and black households and reflects clear age and racial disparities.
Additionally, a federal program that provides broadband connectivity to low-income households is set to expire in April and run out of funding in May, potentially leaving an additional 23 million households without access, according to the Federal Communications Commission. There is sex.
When it comes to regional dead zones, many Americans living in rural areas and on Native American lands lack reliable broadband access. Coupled with socio-economic stratification, residents living in rural and affordable housing are particularly likely to lack access to home broadband.
High-speed internet access is not required to access the Direct File portal, but consistent and stable internet is essential. Some individuals who would benefit most from the free file option would also find it the most difficult to use.
Given that broadband access gaps persist, especially in rural and indigenous lands, subsidized satellite internet has emerged as a potentially transformative, if temporary, solution. Such access will be a critical lifeline to bring reliable, high-speed internet to underserved communities and ensure fair access to a growing number of government services that require internet connectivity. There is a possibility.
connected device
In 2022 Census data, the most recent available, nearly 95% of households owned a computer when smartphones were included in the definition. A Pew Research study found that as of 2023, approximately 20% of young adults and 16% of adults 65 and older in the United States will rely on their smartphones solely for internet access. It seems safe to say that a significant percentage of Americans rely, in whole or in part, on smartphones for Internet access.
Although IRS language says Direct File is “mobile friendly” and works on smartphones, the promises and features are two entirely different things. It remains to be seen whether smartphone-only households will be at a disadvantage when it comes to using Direct File.
Although many video and audio editing tasks can technically be performed on a smartphone, you’d be hard-pressed to find a regular user of software that relies entirely on a smartphone in either field. Users who only use smartphones may need a more rugged device with a larger screen to handle their filing obligations.
librarian agent
Public libraries play an important role in providing Internet access to low-income people.
As pillars of community support and support, libraries also fill the information gap in the tax field by providing tax forms and hosting tax services. When the two are combined, there is likely to be an increase in tax preparation questions and direct file assistance requests to librarians.
Using existing VITA programs can significantly increase the reach and effectiveness of Direct File. The program traditionally provides tax assistance to individuals who make less than $64,000 a year, have a disability, or have limited English speaking ability, but direct file support and assistance may be extended to explicitly provide
Reliance on public libraries and staff includes targeted training for VITA volunteers on the vagaries of Direct File and explicit promotion of VITA to taxpayers with technical issues. It can be reduced by Taxpayers using Direct File may have questions. If no one else is available to help, library staff must answer your questions.
As scope expands, so too does VITA’s funding and resources. Direct File may eventually replace many of the traditional filing procedures handled by his VITA volunteers, so investing in Direct File training today will pay off tomorrow.
For the future
As government digital services are rolled out and enhanced, it is paramount that we focus on the core goal of increasing access to critical services. Moving to online government platforms has great potential to simplify processes and make services more accessible.
The key to that potential lies in Internet access. Making government services available to anyone with Internet access simply moves gatekeeping from the services to the Internet.
As more government services are built on the open Internet, governments must take greater care to ensure access to these services so that the Internet is not just available, but equitably distributed. Those left on the margins should not be excluded from the digital future.
Andrew Leahey is a tax and technology attorney, principal at Hunter Creek Consulting, and adjunct professor at Drexel Kline School of Law.Follow him on Mastodon at @andrew@esq.social
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