I became curious of this after seeing some “life pro tips” posts about which tax-filing services are *actually* free. Obviously the big sites will try to squeeze every dime they can out of you, while claiming to be free. But some of these sites are legitimate **and** free, and I don’t understand how they can offer these services and still turn a profit.
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The answer is upsells.
Example, I file my taxes in 2021 and it took 30 minutes to fill in all the personal details, like ssn, wife’s ssn, address, etc.
In 2022 they allow me free service but I cannot import last years stuff. So to save a half hour, I buy the cheapest version.
That’s just one example. They got so good at forcing (well I should say, making convenient) upgrades that few people use the free service.
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