The IRS has taken pity on taxpayers and in partnership with the top filing companies has introduced free online e-filing. There is a caveat that requires adjusted gross income be less than $30,000. However, TaxAct and TurboTax say, hey, whatever your income, we'll offer free filing.
Whichever company you choose, however, you must approach them via the IRS.gov site to get the free filing. You signup, log on, and start working on your taxes. Also, state taxes are not included in the package. State filings can cost from $8.00 on up. You fill out the forms online and must file electronically. No printing out the form for envelope and postage, although you can print them for your records. There is no hardware download, so if your internet connection cuts off frequently, this may not be a good option for you.