Better IRS, also known as the Coalition for Free and Fair Filing, is a left-of-center advocacy campaign focused on reshaping the federal tax filing process, primarily by supporting the creation of a government-run direct tax filing system. The initiative is a project of the Sixteen Thirty Fund, a left-of-center advocacy group and lobbying organization managed by Arabella Advisors, which serves as a “dark money” fiscal sponsor for dozens of left-of-center nonprofits and campaigns. Better IRS has promoted the Internal Revenue Service’s pilot Direct File program and organized public comment efforts and support from left-leaning advocacy groups to push for its expansion. Over 200 left-of-center labor unions and advocacy groups have signed on to Better IRS’s campaign, including the AFL-CIO, the Center for American Progress, and UnidosUS.^{1 2 3}

Organizational Structure and Fiscal Sponsorship
Better IRS is a trade name registered under the Sixteen Thirty Fund, a 501(c)(4) nonprofit managed by Arabella Advisors. The Sixteen Thirty Fund is known for operating a wide array of “pop-up” campaigns that do not independently incorporate or file separate tax returns. Other trade names of the Sixteen Thirty Fund include Defend American Democracy, Families Over Billionaires, Fix Our Senate, Protect Our Care, and the Rural Victory Fund. ^{3 4}

Activity
Better IRS advocates for a system in which the IRS itself provides taxpayers with pre-filled tax returns or a direct online platform for filing federal tax forms. The group argues that the existing system, dominated by private tax preparation firms like Intuit (publisher of the TurboTax software) and H&R Block, imposes undue costs and burdens on low- and middle-income filers. It promotes the IRS Direct File pilot program as an “efficient and secure” alternative that would allow Americans to file directly with the federal government without relying on paid software or services. ^{5  6}

The campaign’s website hosts talking points in support of a government-run tax-preparation service in opposition to criticism of an IRS-operated direct file system, where critics state that an IRS direct-to-e-file system will create a conflict of interest for the IRS, given its role as tax collector, administrator, auditor, and enforcer. Better IRS states that “Government agencies are built to serve the public, and it is a double standard to assume that the IRS is any different.” Better IRS also argues that “The IRS’s only incentive is to follow the law and ensure taxpayers’ filings are conducted correctly – that means getting taxpayers the refunds and credits they deserve.” ^{6 2}

Following the rollout of the IRS’s Direct File pilot in 2023 to 2024, Better IRS promoted the program and opposed efforts to scale it back, and its website hosts talking points supporting improvements to the IRS’s activity and structure. In June 2025, it was reported that lawmakers in the U.S. House and U.S. Senate were looking to eliminate the direct file program. ^{7 8}

Coalition Building and Endorsements

Better IRS coordinated an open letter in 2023 that was signed by more than 200 organizations urging the IRS to expand its Direct File program beyond its limited pilot phase. Signers of the letter included many left-of-center unions and advocacy groups, such as the AFL-CIO, American Friends Service Committee, Americans for Tax Fairness, the Center for American Progress, the Center for Economic and Policy Research, the Center for Employment Opportunities, Common Sense Media, Jobs with Justice, the National Consumer Law Center, Public Citizen, the Economic Security Project, and Indivisible. ²

1. “About.” Better IRS. Accessed June 26, 2025. https://betterirs.org/about/
2. “200+ Orgs Letter to Congress.” Better IRS. Accessed June 26, 2025. https://betterirs.org/wp-content/uploads/sites/283/200-orgs-letter.pdf
3. “Trade Names of the Arabella Advisors Network.” Americans for Public Trust. Accessed June 26, 2025. https://americansforpublictrust.org/document/trade-names-of-the-arabella-advisors-network/
4. Markay, Lachan. “Over 100 Left-Wing Groups Sourced to DC Dark Money Outfit.” Washington Free Beacon. October 22, 2015. Accessed June 27, 2025. http://freebeacon.com/issues/over-100-left-wing-groups-sourced-to-d-c-dark-money-outfit/
5. “Free and Fair Filing.” Better IRS. Accessed June 26, 2025. https://betterirs.org/free-and-fair-filing/
6. “IRS Myth vs. Fact.” Better IRS. Accessed June 26, 2025. https://betterirs.org/wp-content/uploads/sites/283/IRS-Myth_Fact-for-site.pdf
7. “The IRS Is Improving.” Better IRS. Accessed June 26, 2025. https://betterirs.org/the-irs-is-improving/
8. “House and Senate Look to Eliminate IRS Direct File in Reconciliation Bill.” Federal News Network. Accessed June 26, 2025. https://federalnewsnetwork.com/federal-newscast/2025/06/house-and-senate-look-to-eliminate-irs-direct-file-in-reconciliation-bill/