How To: File Taxes for Free

In response to readers' questions about free tax-preparation tools and software, I've pulled together this list. All seem best for taxpayers with straightforward, uncomplicated tax returns. A few have been recommended by readers, but I have yet to try them. If you have worked with any of them, let us know the good and the bad.

The Internal Revenue Service deems that taxpayers with an adjusted gross income of $52,000 or less in 2006 can file taxes at no charge. That means 70 percent of taxpayers (95 million) can file their taxes for free. Here's a full list of IRS-approved services you can use for e-filing.

All of the following services are on that list and some basic versions are available for free for others taxpayers, too.

TaxACT Standard - Free for filling out and e-filing federal tax forms, either on web-based forms or by downloading forms onto your computer. The free service says it includes over-the-phone and web technical support, but it does not include state tax forms. You'll pay $12.95 for those.

TaxSlayer - Free for active duty military personnel. And only $9.95 to prepare federal and state tax returns online.

H&R Block TaxCut Free File - For taxpayers age 50 and under with an adjusted gross income of $52,000.

TurboTax Freedom Edition - Free for taxpayers with an adjusted gross income (AGI) of $28,500; taxpayers who qualify for the Earned Income Tax Credit and have an and AGI of $38,348; and active duty military members with an AGI of $52,000.

CompleteTax - Free for taxpayers with an AGI of $29,000.

For more info, check out this about.com page, which has reviews on free and for-fee tax-preparation tools and software.

Related:

Tick, Tick, Tick: Tax Time Approaches
A Closer Look at TurboTax