The Federal Trade Commission is suing TurboTax maker Intuit, saying its ads for “free” tax filing misled consumers. Intuit says it will fight the suit. The consumer protection agency said Tuesday that millions of consumers cannot actually use the free tax-prep software option — two-thirds of tax filers in 2020.
Highlights
- The consumer protection agency said millions of consumers cannot actually use the free tax-prep software option because they are ineligible for it.
- Intuit says it will fight the suit.
- The agency says Intuit has for years focused on the word “free” in its ads, running them during major events like the Super Bowl.
- The FTC has asked a federal judge to order Intuit to stop what it said were Intuit’s deceptive ads during the rush of tax season.
- Intuit, based in Mountain View, California, said in a statement late Monday night that it will challenge the lawsuit.
- The Free File system, a partnership between the tax industry and the IRS, was designed to help low- and middle-income taxpayers file online.