Is this true from ProPublica? About the settlement with IRS and Intuit?

[jtuck723-gmail-c]

Is this true from ProPublica? About the settlement with IRS and Intuit?

[rjs]

Is what true? There is a settlement agreement between Intuit and the attorneys general of the states. I am not aware of any settlement with the IRS. Please post a link to the ProPublica article that you are asking about.

[Opus 17]

There is a current/recent ProPublica article that talks about Turbotax's efforts to try and block the IRS from offering free e-filing instead of using third party software.  (Personally, I would rather have my choice of tax providers rather than a government only program because most things the government tries to do, private business does better.  But that's just my opinion.  I guess it would be fine if the IRS did its own e-file site as long as I could still choose a private company if I wanted to.)

Separately, there was a legal settlement last year, involving certain Turbotax customers who paid to file when they could have filed for free.  Customers in that situation were automatically contacted and sent refund checks.

https://agturbotaxsettlement.com/Home/portalid/0?portalid=0

[jtuck723-gmail-c]

[link removed]

[rjs]

Your link got chopped up by the forum filtering software. Is this the article you are referring to? It doesn't say anything about a settlement.

TurboTax Parent Company’s Latest Argument Against Free Tax Filing: It Will Harm Black Taxpayers

https://www.propublica.org/article/turbotax-intuit-black-taxpayers-irs-free-file-marketing

[jtuck723-gmail-c]

I've received an article from ProPublica which included that link.

Thank you for your persistence.

Here's that letter.

Hi Reader,

ProPublica’s longest-running investigation is out with yet another story just this week, and it’s a perfect illustration of how we follow every thread of injustice for as long as it takes to see that the wrongs we uncover get righted.

Back in 2013, ProPublica reported that Intuit, the maker of TurboTax, had successfully lobbied to stop the IRS from creating an easy way for millions of taxpayers to file online for free (something many other countries provide). Instead, the IRS struck a deal with Intuit and other for-profit tax preparation companies to offer their products for free to qualifying taxpayers, while the government pledged not to create its own competing system.

In 2019, as Intuit was lobbying Congress to make this agreement permanent, ProPublica exposed how TurboTax was using deceptive design and misleading tactics to steer low-income filers to paid versions of its service when they were eligible to file for free. This shady behavior worked. Only a tiny percentage of eligible taxpayers actually used the free products. Our investigation spurred public outcry, federal and state investigations, lawsuits and more. The IRS announced major reforms to its agreement with the tax prep software industry; more than 4 million people received refunds from Intuit as part of a $141 million settlement; and in May, the IRS announced plans to test a free, publicly funded tool to file taxes online.

Yesterday, ProPublica reported on how this major development has Intuit returning to some of its tried-and-true tactics: deploying lobbyists to stalk the halls of government, while op-eds and stories with Intuit talking points have begun appearing in publications across the county. The op-eds center around a study published this year that found racial disparities in IRS audits. They claim that an IRS tax filing tool would make things worse for Black taxpayers — a conclusion rejected by authors of that research. This pattern of eye-catching headlines is familiar territory for Intuit. ProPublica has previously reported on the company’s strategy of manufacturing “grassroots” support through op-eds. While ProPublica did not find evidence that Intuit has financed the stories this year (and a company spokesperson denied paying to secure the pieces in a statement to ProPublica), the current PR campaign seems to be in line with past behavior.

This entire investigation represents how powerful and wide-reaching journalism can be when published in the public interest. And with the public’s support, we’re able to really dig deep and uncover practices that corporations would much rather remain hidden.

Help us continue this critical work by joining us today with your donation of any amount. Journalism for the people is also powered by the people, and we’re counting on you to stand with us.

Thanks so much,
Jill Shepherd
Proud ProPublican

[rjs]

The only mention of a settlement in that letter is this sentence:

"more than 4 million people received refunds from Intuit as part of a $141 million settlement"

That is true. But the settlement it's referring to is the Multi-State Settlement with the attorneys general of the states, not a settlement with the IRS. The Multi-State Settlement was made over a year ago, in May 2022. If you have any further questions about the settlement, please see the settlement web site. You can also click the Common Questions link on that site.