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Predatory Business Practice and Extortion

I don't appreciate Turbotax e-mailing me and threatening that I'm going to be fined for late fees if I don't pay them $150.00 for Live Deluxe only to find out that I do not qualify for a tax return and am currently tax exempt by order of the IRS. This is a predatory business practice that borders on extortion. You may have tricked me out of $150.00 this time but I am fed up with this company and will seek alternatives in the future. These kinds of automated messages using fear tactics to scare people out of their money shows everyone what kind of of business you're really in - scamming working people out of their money. Shameful.

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2 Replies

Predatory Business Practice and Extortion

Those of us who are replying to questions in this user forum are volunteers----other users like you---so we are not predators.   We are here to help by answering questions about income tax rules and how to use the software.  It sounds like you chose to pay your TurboTax fees with your federal refund and then something happened to the refund.  Did the IRS change something and disallow or reduce your refund?  If so you still have to pay for the tax software that you used.  The emails are reminders that you have not yet paid for using TurboTax software.  Use of the software in a paid version means you have to pay for using the software whether you get a refund or if you owe tax to the IRS. 

 

Did you choose to have your TurboTax fees deducted from your federal refund?  Is your refund taking an unusually long time to arrive?  Or was your refund seized to pay a debt you owed? if so, you signed an agreement that says TT can withdraw its fees from your account.  TurboTax would have sent several emails to you before they took the money out of your account.

https://ttlc.intuit.com/questions/1901364-why-was-my-bank-account-auto-debited-for-turbotax-fees

 

 

Turbo Tax says......

We understand that these are unprecedented times and we’re committed to helping our customers who are experiencing hardships. If you’re in need of assistance, call us by the Tuesday prior to your debit date at 1-888-808-1723 to speak with a trained specialist and mention “auto-debit”, or visit TurboTax Support.

 

 

How can I see my TurboTax  fees?   

https://ttlc.intuit.com/questions/2565973-how-do-i-review-my-fees-in-turbotax-online

 

 

 

 

 

You do not have to use TurboTax ever again if you do not want to.   But you need to be aware that no matter what tax software program you choose to use in the future ---- when you choose to have the fees deducted from your federal refund there will always be a fee for that choice, and there will always be a stipulation that you have to pay your fees within an allotted amount of time whether your refund arrives or not.   So avoid that situation.   Pay your software fees upfront.

 

And next time---see if you qualify to use any of the free filing services offered on the IRS site:

 

https://apps.irs.gov/app/freeFile/

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**

Predatory Business Practice and Extortion

It is also possible for scammers to make convincing look-alike emails.  You could forward the email to security@intuit.com for investigation. 

 

Also, as a result of taxpayer privacy laws, the marketing department that sends emails advertising Turbotax does not actually know anything about your finances.  At most, they know if you have an account, and they know if you filed a return from that account.  They don't know your income, or that you didn't file because you weren't required, and they also don't know if you filed with another tax provider.  The message, "if you are late, you might owe penalties" is potentially true for anyone.

 

Lastly, if you log in to your main turbotax account and check your privacy preferences, you may be able to turn off most marketing emails.  I haven't looked at the privacy setting recently but I don't get those emails so there may be a way of turning them off. 

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