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The Federal file may be free but it may be a charge to file your state taxes. I went bonkers trying to figure that out as well, then I realized that I needed to pay the $25 fee to e-file my California state income taxes. I don't know if the fee is different by state, but that was my experience.
The $29 charge is for Plus. This service includes Audit Defense and identity theft monitoring and restoration.
Follow this link to remove Plus: Can I remove PLUS Benefits before I pay?
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