How do I file my 2016 Return now for free?

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The only way to do that is to print out the paper forms and prepare them by hand:

  (if you want to prepare on paper for free:  )

PRIOR YEAR FORMS FROM IRS

2016

Form 1040  https://www.irs.gov/pub/irs-prior/f1040--2016.pdf

Form 1040 Instructions https://www.irs.gov/pub/irs-prior/i1040gi--2016.pdf

Form 1040A https://www.irs.gov/pub/irs-pdf/f1040a.pdf

Form 1040AInstructions https://www.irs.gov/pub/irs-prior/i1040a--2016.pdf

Form1040EZ https://www.irs.gov/pub/irs-prior/f1040ez--2015.pdf

Form1040EZ Instructions  https://www.irs.gov/pub/irs-pdf/i1040ez.pdf

https://www.irs.gov/filing/where-to-file-paper-tax-returns-with-or-without-a-payment

Online preparation and e-filing for 2016 is permanently closed.

To file a return for a prior tax year

If you need to prepare a return for 2015, 2016, or 2017 you can purchase and download desktop software to do it, then print, sign,  and mail the return(s)

https://turbotax.intuit.com/personal-taxes/past-years-products/

Remember to prepare your state return as well—if you live in a state that has a state income tax.

When you mail a tax return, you need to attach any documents showing tax withheld, such as your W-2’s or any 1099’s.  Use a mailing service that will track it, such as UPS or certified mail so you will know the IRS/state received the return.

Note:  The desktop software you need to prepare the prior year return must be installed/downloaded to a full PC or Mac.  It cannot be used on a mobile device.

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Remember to prepare your state return as well—if you live in a state that has a state income tax.

To find forms for your state:

https://ttlc.intuit.com/questions/1901670-how-do-i-contact-my-state-department-of-revenue

And remember that federal and state returns get mailed in separate envelopes to different addresses.