If you made less than $50,000 in Adjusted Gross Income (AGI) last year then you qualify to do your taxes online for free through the IRS website. Note that you must go through the IRS website in order to get to the free e-filing's. If you go directly to the website of the company, such as Turbo Tax, then you will not get the free deal.
The IRS website is at www.irs.gov
When you get there you can't miss the big "Check Out Free File" link. Click that and you're on your way.
Online tax filing is great, I've been doing it for years. Free online tax filing is even better!
If you've never prepared your taxes online let me calm your fears of thinking it's some big ugly form like a copy of the 1040 that you just type your data into. What it really amounts to is a big giant questionnaire that walks you step by step through questions like "Are you married?", "Do you have any kids?" and other similar questions like that.
The other nice thing about online filing is that they will do both your federal and state tax at the same time so that you don't have to re-enter data twice. They'll also point out deductions that you may have overlooked and the tax software is up to date on all the latest tax changes.
Of course I'm a weirdo who actually enjoys doing his own taxes and working with all the number and seeing the true picture. Of course it's not a pretty picture, but I still find it fun.
Tipped by: My sister who kicks ass.