Pennsylvania Attorney General Michelle Henry announced on Thursday, May 4, 2023, that Intuit, the owner of TurboTax, will pay $141 million in a multistate settlement to reimburse millions of Americans who were misled into paying for free tax services. The settlement will benefit approximately 4.4 million consumers nationwide, including 158,779 Pennsylvanians, who were tricked into paying to file their federal tax return.
Pennsylvanians will receive more than $4.76 million from the settlement without having to file a claim. Eligible consumers will receive an email about the settlement and expect to receive checks in the mail in May.
Intuit was accused of illegally requiring consumers to pay for tax-return services that should have been available for free, and its aggressive advertising campaign deceived taxpayers. The settlement was reached by Attorneys General from Pennsylvania, Tennessee, Florida, Illinois, New Jersey, North Carolina, New York, Texas, and Washington. All 50 states and the District of Columbia have signed onto the agreement.
Consumers who paid to file their federal tax returns through TurboTax for tax years 2016, 2017, and 2018 but were eligible to file for free through the IRS Free File Program are eligible for reimbursement. Consumers will receive a check in the mail automatically, without filing a claim. The amount each consumer receives will depend on the number of tax years they qualify for, with most consumers expected to receive between $29 and $30.
Attorney General Henry criticized Intuit’s deceptive practices and emphasized that the IRS offers free tax-return services for eligible consumers. For more information about the settlement fund and eligibility, please visit www.AGTurboTaxSettlement.com.
