TurboTax users will get up to $85 each in settlement over free filing deception

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The company agreed to pay $141 million to certain low-income tax filers who were tricked into paying.

At least 4.4 million TurboTax users are getting a refund this month under a $141 million multistate settlement with parent company Intuit.Thursday that eligible TurboTax users will get an email about their settlement and checks should arrive throughout May.for tricking millions of low-income tax filers into paying for services that should have been free..

Intuit also used paid search advertisements to redirect consumers who were looking for the IRS Free File service to the TurboTax “freemium” product.“TurboTax’s predatory and deceptive marketing cheated millions of low-income Americans who were trying to fulfill their legal duties to file their taxes,” James said in a statement. “Today we are righting that wrong and putting money back into the pockets of hardworking taxpayers who should have never paid to file their taxes.

WASHINGTON, DC – APRIL 17: Advocates gather in Washington, DC to call out tax prep companies like Intuit TurboTax and H&R Block for blocking simplified filing and to support Internal Revenue Service exploration of alternative free tax filing on April 17, 2023 in Washington, DC.

 

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