Senators call for a GAO probe of IRS’s Free File program

Summary

The Daily Scoop Podcast: Senators Call for a GAO Probe of IRS’s Free File Program

Date: May 19, 2026
Host: Billy Mitchell

---

Episode Overview

This episode delves into two significant developments in federal government policy and oversight:

• Three senators' call for a Government Accountability Office (GAO) investigation into the IRS’s longstanding Free File tax preparation program.
• The introduction of a bipartisan House bill that would require federal agencies to adopt NIST’s AI guidelines, aiming to ensure responsible and standardized use of artificial intelligence across government entities.

---

Key Discussion Points & Insights

1. Senators Request GAO Investigation into IRS Free File Program

[00:36–03:55]

• Following the termination of the IRS’s Direct File program by the Trump administration, Senators Elizabeth Warren (D-MA), Angus King (I-ME), and Ron Wyden (D-OR) have written to the Acting Comptroller General, urging a thorough GAO investigation into the IRS’s Free File program.

• Free File is a public-private partnership that allows taxpayers to file federal taxes for free using private tax preparation companies’ software. Over its 20+ year history, the program has faced criticism regarding:

  • Low consumer adoption rates
  • Hidden industry costs
  • Data privacy risks

• Notable Letter Excerpt [01:31]:
  "Due to the history of misconduct, we have serious concerns that Free File cannot efficiently, effectively and securely serve the taxpayers who are statutorily entitled to free tax filing services."

• Background Context:

  • Direct File was a taxpayer-friendly, IRS-run e-filing tool introduced after a 2022 GAO report recommended more no-cost filing options. The pilot saw initial expansion, doubling participants in its second year, before being terminated by the subsequent administration citing “high costs and low user uptake.”
  • Concerns have been raised about intense lobbying from the tax preparation industry and partisan efforts to suppress government-run solutions.

• Current GAO Inquiry Focus:

  • True costs associated with Free File for taxpayers and the government
  • Transparency reforms—are users adequately informed about potential costs?
  • IRS progress on facilitating free state tax filings—a key benchmark achieved by Direct File
  • Whether Free File is genuinely meeting statutory obligations and serving the public’s best interests

---

2. Bipartisan House Bill: NIST’s AI Guidelines for Federal Agencies

[03:56–04:53]

• Legislative Update:

  • Representative Ted Lieu (D-CA), joined by Zach Nunn (R-IA) and Don Beyer (D-VA), introduced a bipartisan bill Thursday mandating that federal agencies use the AI guidelines developed by the National Institute of Standards and Technology (NIST).
  • The AI Risk Management Framework (developed 2023) would become the baseline for agencies’ adoption, risk mitigation, and acquisition of AI technologies.

• Key Standards and Impacts:

  • Agencies required to:
    • Use the NIST AI Risk Management Framework’s four pillars: govern, map, measure, and manage.
    • Work with NIST to maintain and adapt standards in line with technological advances.
    • Implement training for federal personnel on AI best practices.
  • Limitation: Framework would not apply to national security systems.

• Memorable Quotes:

  • Rep. Don Beyer [04:27]:
    "This bill lays the foundation for harnessing the power of AI for the benefit of the American people while upholding the highest standards of accountability and transparency."

• Standardization Journey:

  • The framework, while originally voluntary, now forms a required foundation for responsible AI use per the National AI Initiative Act.
  • NIST is currently working on a new “trustworthy AI and critical infrastructure” profile for the framework.

---

Notable Quotes & Memorable Moments

• On Free File’s effectiveness [01:31]:
  “Due to the history of misconduct, we have serious concerns that Free File cannot efficiently, effectively and securely serve the taxpayers who are statutorily entitled to free tax filing services.”
  —Letter by Sens. Warren, King & Wyden

• On AI Policy [04:27]:
  “This bill lays the foundation for harnessing the power of AI for the benefit of the American people while upholding the highest standards of accountability and transparency.”
  —Rep. Don Beyer (D-VA)

---

Important Segment Timestamps

• [00:36–03:55]: Deep dive into the senators’ call for a GAO probe of IRS Free File
• [03:56–04:53]: Details and implications of the bipartisan bill on federal AI standards

---

Tone & Takeaways

The episode maintains a measured, informative tone—a hallmark of Billy Mitchell’s government-tech reporting—focusing on transparency, oversight, and the trend toward standardized, responsible technology adoption in federal operations. The interplay between politics, public interest, and technology is front and center, with skepticism about industry influence and optimism for bipartisan, future-focused standards.

---

Transcript

[A]

Today on the Daily Scoop podcast from the Scoop News Group, a trio of senators call for a GAO probe of IRS's Free File Program and a new bipartisan House bill would require federal agencies to use NIST's AI guidelines. It's Tuesday, May 19, 2026. Welcome to the Daily Scoop Podcast where you'll hear the latest news and trends facing government leaders. I'm the host of the Daily Scoop Podcast, Billy Mitchell. Thanks so much for joining me. And now let's dive into the day's top headlines.

[B]

After the White House's move last year

[A]

to kill Direct File, three senators are asking the congressional watchdog to examine the alternative program the Trump administration is now pushing the IRS's beleaguered free file system. In a letter sent Sunday to Acting Comptroller General Oris Williams Brown, Senators Elizabeth Warren, Democrat of Massachusetts Angus King, an independent out of Maine, and Ron Wyden, a Democrat of Oregon, requested a Government Accountability Office investigation into Free File, an IRS partnership with private tax prep companies. The partnership has been heavily scrutinized over the course of Free File's 20 plus year existence, with critics pointing to scant consumer use, hidden industry costs and data privacy issues. The lawmakers wrote in their letter, quote, due to the history of misconduct, we have serious concerns that freefile cannot efficiently, effectively and securely serve the taxpayers who are statutorily entitled to free tax filing services. Direct file, the IRS's consumer praised free electronic filing tool, was launched in the aftermath of an April 2022 GAO report that recommended the tax agency develop new no cost filing options under the Biden administration. The IRS launched a pilot program of Direct File in a dozen states in 2023 and doubled the number of participants the following year. The Trump administration quickly terminated the program, however, pointing to high costs and low user uptake during the purposefully limited pilot seasons. The lucrative tax preparation industry lobbied heavily against Direct File, and congressional Republicans long had the tool in their crosshairs. The Treasury Department put out a subsequent report touting freefile's supposed benefits. Warren, King and Wyden posed a litany of questions in their letter that they'd like the GAO to attempt to answer, starting with the costs associated with Free File. The lawmakers are specifically curious about what reforms the IRS and its partners have made to clearly show users what potential costs may pop up and what progress the tax agency has made on state filing, a key win for the Direct File team in its second year. Now, moving on to other news, federal agencies would be required to develop artificial intelligence standards and use the National Institute of Standards Standards and Technologies AI guidelines under a bipartisan bill introduced Thursday led by Representative Ted Lieu, Democrat of California. The bill would require agencies to use the Artificial Intelligence Risk Management Framework developed by NIST in 2023 and work with the agency in developing other consistent standards and guidelines. Representative Zach Nunn, an Iowa Republican, and Don Beyer, a Virginia Democrat, co sponsored the bill with Bayer, calling it a natural starting point to ensure agencies have the tools they need to navigate AI's complexities, Bayer said in a statement. This bill lays the foundation for harnessing the power of AI for the benefit of the American people while upholding the highest standards of accountability and transparency. The bill would also direct NIST to recommend training and use the standards when acquiring any AI systems or services. The guidelines would not apply to national security systems. Originally designed as voluntary, the framework provides a structure to manage AI risk and promote responsible use through four core govern, map, measure and manage. It was created to fulfill a requirement under the National AI Initiative act, part of the enacted fiscal 2021 National Defense Authorization Act. Congressman Lu, who previously co led the House's bipartisan Artificial Intelligence Task Force, also sponsored legislation last month that combines bipartisan bills resulting from task force recommendations and a report. The task force report also said the NIST framework only sets the theoretical baseline and so it is not a standards document. While NIST said it does not comment on pending legislation, the institute announced last month that it is currently developing a new profile for the framework on trustworthy AI and critical infrastructure. The bill has been referred to the House Science, Space and Technology Committee for further action. For more news at the intersection of the federal government and technology, make sure to visit FedScoop.

[B]

The battlespace has entered a new era of relentless multi domain competition spanning land, air, sea, space, cyber and beyond. In this rapidly shifting environment, speed, precision, technology and information superiority are not just advantages, they are critical to modern warfare. Register today for GDIT's Emerge Battlespace of the Future June 2 at the Waldorf Astoria in Washington, D.C. where military leaders, technologists and industry leaders will converge to explore the breakthroughs defining the future of warfighting and what it takes to secure and maintain strategic dominance in an increasingly contested world. For more information about the event and to register, make sure to visit gdit battlespace.upgather.com or visit the events page on

[A]

fedscoop.com

[C]

thanks so much for tuning in

[A]

to another episode of the Daily Scoop

[C]

podcast, available on all podcast platforms. If you've already rated the podcast on your platform of choice, thanks so much high ratings and good reviews of the show help more people to find it. The Daily Scoop Podcast is a production of the Scoop News Group in Washington, D.C. adam Butler and Carlin Fisher help put the show together, and the entire Scoop News Group team contributes. We'll be back tomorrow with more top headlines. Until then, I'm your host. As always, Billy Mitchell. Thanks so much for listening.