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Tax season 2020 wrap-up

August 2021

Federal forecasting last year predicted flat growth in e-filers. However, actual numbers showed paper filing retained more filers than expected. Prior to 2020, e-filings had grown every year since 2016, but the number of e-filers decreased 2% in 2021 due to filing trends normalizing. In addition to this federal level e-filing softness, advertiser density was the lowest in four years for the majority of 2021. The majority of users started searching before February, declining further into tax season with a soft second peak. While the number of days was long due to the extended season, the number of searches returned to pre-2020 levels. 2021 saw a dip in searches but this is likely due to inflated searches in 2020.

We expect search volume to rebound and grow into this next year. To find out more details regarding this tax season and learn recommendations on preparing for next year, download the insights today.

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