[paxys]

It isn't the software that is complicated, it's the intricate knowledge of the tax laws at the Federal and state level that goes behind building it. If you can find a team of lawyers and tax accountants willing to work on it for free (and update it every year) then building something like TurboTax wouldn't be too difficult.

[mywittyname]

Open source software can be paid for. With a bit of funding, I bet an OSS-clone of TT could be produced and the organization can host and offer e-filing for a nominal fee.

I think the IRS will actually pay a service fee to small companies that file the free federal returns for individuals.