Intuit Inc. shares dropped significantly after the company reported losing 1 million free TurboTax users, coinciding with the IRS introducing its own free tax filing option. Despite this, Intuit's revenue and profit exceeded expectations, driven by higher spending from remaining users and growth in its business-oriented products. The company is focusing on customers with more complex tax needs and integrating AI features, while downplaying the importance of free users.
The Federal Trade Commission (FTC) has accused H&R Block of deleting the tax data of customers who attempt to downgrade to less expensive options, effectively pressuring them into paying for pricier services. The FTC also alleges that H&R Block engaged in deceptive advertising by marketing its online tax preparation services as free when many customers end up having to pay. H&R Block's chief legal officer maintains that the company provides fair and transparent pricing and allows consumers to downgrade to less expensive products, while the FTC's claim comes shortly after a similar ruling against Intuit's TurboTax.
A former IRS worker on TikTok advises against using TurboTax for filing taxes, claiming that the software funds efforts to keep tax returns complicated and pricey. She recommends using free options such as the IRS Free File option and the Volunteer Income Tax Assistance program for those with simpler tax situations. Intuit, TurboTax's parent company, is accused of lobbying against efforts to create a free federal tax filing service, while claiming to provide free tax preparation to 100% of American taxpayers. Some users report confusion and unexpected charges when using TurboTax's supposedly free filing options.
The IRS is introducing a new free way to file taxes online, but it won't be widely available until March and is only being piloted in 12 states. This Direct File program is designed for relatively simple tax situations, and taxpayers in participating states could potentially file their federal taxes for free. However, the IRS Free File program offered through private companies is confusing and underused, with only 3% of eligible taxpayers using it in 2020. Additionally, the FTC has ordered TurboTax to change the way it advertises its free federal tax prep service, as many users end up having to pay after starting the process.
The FTC has issued a final order against Intuit for deceptive advertising of TurboTax as a free service, prompting inquiries about free tax help options. IRS Free File offers guidance for those with an annual gross income of $79,000 or less, while Free File Fillable Forms are available for those making more. Miltax provides free tax software and assistance to servicemembers and veterans, and the Volunteer Income Tax Assistance program aids individuals with lower incomes, disabilities, or language barriers. Additionally, some tax software providers offer free tiers for simpler returns.
The FTC has found that Intuit's TurboTax is not free for everyone, prompting many to seek free tax help options. The IRS Free File and Free File Fillable Forms are available for individuals with different income levels, while Miltax provides free tax software and assistance to servicemembers and veterans. Additionally, the Volunteer Income Tax Assistance program and certain tax software providers offer free services for eligible individuals.
The FTC has found that TurboTax's advertising of free services was deceptive, prompting many to seek free tax help options. The IRS Free File and Free Fillable Forms are available for those with different income levels, while Miltax provides free tax software and assistance to servicemembers and veterans. Additionally, the Volunteer Income Tax Assistance program and certain tax software providers offer free services for individuals meeting specific criteria.
The FTC has issued a final order against Intuit for deceptive advertising of TurboTax as a free service, prompting individuals to seek free tax help options. IRS Free File offers guidance for those with an annual gross income of $79,000 or less, while Free File Fillable Forms are available for those making more than $79,000. Miltax provides free tax software and assistance to servicemembers and veterans, and the Volunteer Income Tax Assistance program aids individuals with disabilities or limited English proficiency. Additionally, some tax software providers offer free tiers for simpler returns.
The FTC has found that TurboTax's advertising of free services was deceptive, prompting many to seek free tax help options. IRS Free File offers guidance for those with an annual gross income of $79,000 or less, while Free File Fillable Forms are available for those making more, but without assistance. Miltax provides free tax software and help to servicemembers and veterans, and the Volunteer Income Tax Assistance program aids those with lower incomes, disabilities, or language barriers. Additionally, some tax software providers offer free tiers for simpler returns, including H&R Block, TurboTax, TaxAct, and TaxSlayer.
Apple's Project Titan, the rumored Apple car, is still in progress but has shifted from fully self-driving to an electric vehicle more like Tesla's, with its autonomous features downgraded to a Level 2+ system. The company has reportedly discussed updated plans with potential manufacturing partners in Europe and still aims to offer a Level 4 autonomous system in the future. In other news, TurboTax's maker, Intuit, faces an FTC ban on advertising free services due to misleading claims, and the OnePlus 12 flagship smartphone has been announced with a starting price of $799.
The New York Times Audio app covers the New Hampshire Primary, Israeli soldiers killed in Gaza, Alabama's new execution method, TurboTax's advertising restrictions, and China's waning interest in Hollywood movies.
The Federal Trade Commission has ordered the maker of TurboTax, Intuit, to cease its "deceptive" advertising for "free" tax-filing software after a four-year investigation prompted by ProPublica's reporting. The order requires clear disclosures in the company's ads, stating that most filers won't qualify for free filing, and prohibits misrepresenting any material fact. Intuit plans to appeal the order in federal court, arguing that it has always been clear, fair, and transparent with its customers.
The US Federal Trade Commission has barred TurboTax maker Intuit from advertising services as "free" when many consumers were ineligible, citing deceptive practices. Intuit plans to appeal the decision and claims to have always been clear and transparent with its customers. The company previously agreed to pay $141m in restitution to settle claims by all 50 US states and Washington DC that it deceptively advertised TurboTax products as "free".
The Federal Trade Commission has ruled that Intuit, the maker of TurboTax, must stop marketing its tax-filing services as free unless they are free to everyone or exceptions are clearly disclosed. The commission found that TurboTax's advertising claiming customers could file their taxes online for free was deceptive, as two-thirds of taxpayers were not eligible for the free product. Intuit has been ordered to clearly and conspicuously disclose the percentage of taxpayers who qualify for the free product or service, and the company has stated that it will appeal the decision. This ruling follows a previous settlement in which Intuit agreed to pay back $141 million to more than four million Americans who had been unfairly charged for tax services falsely advertised as free.
The Federal Trade Commission has barred Intuit, the maker of TurboTax, from advertising "deceptive" free tax services, stating that the company's ads for free products were often ineligible for many customers and led them to costly deluxe and premium products. Intuit was ordered to cease advertising any free products unless they are truly free for all consumers or disclose the percentage of eligible users. The FTC's opinion upheld a ruling that found Intuit engaged in deceptive marketing, and the company is appealing the decision in federal court. This comes after Intuit agreed to pay $141 million to customers as part of a settlement with all 50 states' attorneys general over similar complaints.
