Top Class Actions’s website and social media posts use affiliate links. If you make a purchase using such links, we may receive a commission, but it will not result in any additional charges to you. Please review our Affiliate Link Disclosure for more information.
TurboTax Intuit Free Class Action Settlement Overview:
- Who: TurboTax Owner Intuit, Inc. has agreed to pay a $141 million settlement to consumers nationwide.
- Why: The settlement would end claims the company deceived millions of low-income Americans into paying for tax services that should have been free.
- Where: The settlement will benefit TurboTax consumers nationwide.
The company behind TurboTax has agreed to pay $141 million to consumers to settle claims it tricked people into paying for a commercial tax filing service when they could have used it for free.
In a press release issued May 4, New York Attorney General Letitia James said her office had reached a record multistate agreement with the owner of TurboTax, Intuit Inc.
The settlement would end claims the company deceived low-income Americans into paying for tax services that should have been free, James said.
Intuit will pay $141 million in restitution to millions of consumers across the nation who were unfairly charged. In addition, Intuit must suspend TurboTax’s “free, free, free” ad campaign that lured customers with promises of free tax preparation services only to allegedly deceive them into paying.
All 50 states and the District of Columbia have signed onto the agreement.
TurboTax Investigation Uncovered Deceptive, Unfair Trade Practices, NY Attorney General Says
The settlement comes after James’ multistate investigation allegedly found that Intuit engaged in several deceptive and unfair trade practices that limited consumers’ participation in the IRS Free File Program.
Intuit used confusingly similar names for both its IRS Free File product and commercial “freemium” product, she said. It also offered a “free” product that was not free for most with TurboTax but that people could have used for free through the IRS.
Earlier this year, the Federal Trade Commission (FTC) filed a lawsuit asking for a temporary restraining order to be placed on Intuit Inc.
Barring a temporary restraining order, the FTC says Intuit would “be free to continue disseminating the deceptive claim that consumers can file their taxes for free using TurboTax when, in truth, in numerous instances, defendant does not permit consumers to file their taxes for free using TurboTax.”
In 2020, a judge rejected a proposed $40 million settlement between Intuit and consumers who argued the company had steered them away from using the free edition of TurboTax even though they qualified to use it.
Have you used Intuit’s TurboTax service to file your taxes? Let us know in the comments!
Don’t Miss Out!
Check out our list of Class Action Lawsuits and Class Action Settlements you may qualify to join!
Read About More Class Action Lawsuits & Class Action Settlements:
Honda, Hyundai, Kia, Subaru vehicle data collection class action lawsuit investigation
May 17, 2024 | Legal News
1,310 thoughts onTurboTax Class Action Over ‘Free’ Services Settled For $141M
Add me please TurboTax is how I do my taxes
I use TurboTax yearly
I use TurboTax yearly for years
Does the TurboTax settlement include
TaxAct? I used that for my 2015 taxes. Up front they said it was free. Then, once I had it all done they said if I wanted to get anything from it — even just a printout I had to pay them $19.95. So I’m wondering if this is included with that or if there’s another lawsuit involving TaxAct was doing the same damn thing?
Same. I have been using turbo tax and I always have to pay
I was mislead by TurboTax for saying that it was free, and ended up paying a fee for their services. I’ve used TurboTax since 2013.
Same here! I’ve used them for many years and said, “I thought it was supposed to be free”, during many of those years of filing. When my daughter started filing, I unknowingly referred her to them and said the same thing with her taxes. The fact that they knew they were being deceitful is what bothers me the most. It’s one thing to charge for services but to charge knowing that the service is free is something scammers do…Great job Turbo Tax smh!
PLEASE AD. BEEN USING TURBOTAX SINCE 2010 SO, YES PLEASE!
Add me please. Turbo Tax definitely ripped me off.
Hola como puedo reclamar ese dinero ya que por 5 anos he hecho. Mis taxes con turbotax
I used TurboTax since 2015 except for 1 year. It said free yet to complete or even print a copy I had to pay $39.95 plus taxes. Then they began to throw other “packages” which misled me into thinking I had to pay more. One year, I was forced to pay 89.99. And another year they double charged my bank for the same return, costing me almost $200. I was unable to have the issue resolved as I kept being handed off to a different “support” person. I will never use them again.
Count me in, I have been using them since 1985 over the past few years I am paying for stuff I thought was still free