Today, Intuit entered into an agreement with the 50 state attorneys general and the District of Columbia that resolved these agencies’ inquiry related to our advertising practices for free tax preparation. As part of the agreement, Intuit admitted no wrongdoing, agreed to pay $141 million to put this matter behind it, and made certain commitments regarding its advertising practices. Intuit already adheres to most of these advertising practices and expects minimal impact to its business from implementing the remaining changes going forward.
The nation’s leader in free tax preparation, Intuit also reaffirmed its commitment to providing Americans with free tax preparation and filing, and expects to help more than 40 million taxpayers prepare and file their tax returns free of charge over the next three years.
“Intuit is pleased to have reached a resolution with the state attorneys general that will ensure the company can return our focus to providing vital services to American taxpayers today and in the future,” said Kerry McLean, Intuit’s executive vice president and general counsel. “Intuit is clear and fair with its customers, including with the nearly 100 million Americans who filed their taxes free of charge with our products over the last 8 years — more than all other tax prep software companies combined. In coming to a resolution on this matter, we admitted no wrongdoing and are pleased to be able to continue our strong partnership with governments to best serve the needs of taxpayers across the country.”
“We believe this settlement with the state attorneys general and the District of Columbia also addresses the issues at the core of the FTC litigation, making that lawsuit entirely unnecessary. Nevertheless, we are fully prepared to litigate with the FTC to prove the merits of our case,” added McLean.
As a believer in providing free tax preparation to Americans, Intuit continues to seek ways to increase the number of taxpayers who file using its free tax preparation products. Last tax season alone, Intuit delivered over 17 million free tax filings, the most in the industry and multiple times more than the IRS Free File program.
“Intuit believes individuals should be at the center of their finances so we are focused on financial empowerment for consumers to ensure individuals and families get every dollar they earned and deserve at tax time, regardless of if they are filing their taxes free of charge. Intuit is committed to helping our customers solve their biggest financial challenges, including helping them not only get their biggest refund, but also increase savings, increase income, pay down debt and have faster access to their money. Intuit is well-positioned to provide the tools and expertise to help customers along their financial journey with its suite of products,” added McLean.