澳洲幸运5官方开奖结果体彩网

FTC Targets H&R Block For Deleting Customer Tax Prep Data

An H & R Block tax preparation office is seen on Flatbush Avenue on February 06, 2024 in the Prospect Heights neighborhood of Brooklyn borough in New York City.

Michael M. Santiago / Getty Images

Key Takeaways

  • The Federal Trade Commission (FTC) filed a complaint against H&R Block Friday.
  • Regulators allege that the company made it hard for customers to downgrade services.
  • The complaint also alleges H&R Block advertised “free” tax prep services without making it clear that most taxpayers don’t qualify.
  • The FTC’s move is the government’s latest in a series of actions against the tax prep industry.

In their latest move against tax prep companies, federal regulators accused H&R Block (HRB) of delibera𝔍tely deleting customer data and airing misleading ads for free tax filing services. 

The 澳洲幸运5官方开奖结果体彩网:Federal Trade Commission (FTC) filed a complaint against the firm Friday, saying the company made filing difficult for customers who started filling out their tax returns with a more expensive service than they needed and then tried to switch to a cheaper option. The company required taxpayers to contact custo🌼mer service to make the switch and then would delete all the information they entered, forcing them to start all over again.

“H&R Block designed its online products to present an obstacle course of tedious challenges to consumers, pressuring them into overpaying for its products,” Samuel Levine, director of the FTC’s Bureau of Consumer Protection, said in a press release. “Today’s action demonstrates that comp💫anies using coercive techniques that harm consumers can expect to hear from the FTC.”

The FTC, a government consumer watchdog agency, also accused the company of advertising “free” tax prep services without making it clear that most taxpayers don’t qualify for the company’s free services and would have to pay. The allegations are similar to those the FTC and state attorneys general have made against Intuit's (INTU) TurboTax, which resulted in Intuit 澳洲幸运5官方开奖结果体彩网:paying a $141 million settlement to the states. Intuit iꦚs disputing the FTC’s complaint.&n💯bsp;

H&R 🃏Block denied its pricing and services were unfair to customer🍎s.

“We believe we provide our clients with a great deal of value, unmatched tax expertise, and fair and tra🃏nsparent pricing,” said H&R Block Chief Legal Officer Dara Redler in a statement. “H&R Block allows consumers to downgrade to a less-expensive DIY Product via multiple mechanisms while ensuring the preparation of accurate tax returns.”

The FTC’s move is the government’s🍸 latest in a series of actions against the tax prep industry. On top of the regulatory actions by the FTC, the IRS is launching a pilot version website that allows taxpayers to file their federal returns online directly toꦜ the tax agency this tax season, bypassing the need for third-party tax prep software.

Consumer advocates and some politicians have long argued that taxpayers should be able to file their taxes online for free 澳洲幸运5官方开奖结果体彩网:without ওa tax prep service acting as a middleman, similar to how filing works in m🐠any other countries. Previous government efforts, such as the li♊ttle-known and seldom-used , worked with the private industry to offer free filing services to people with annual incomes of $79,000 or less.

The 澳洲幸运5官方开奖结果体彩网:Inflation Reduction Act, signed by President Joe Biden in 2022, changed that approach and gave the IRS funding to set up an online tax filing service for the first time in its history.

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