Overview
- Senator Elizabeth Warren criticizes TurboTax for misleading tax filers with unnecessary 'junk fees' and aggressive upselling tactics.
- Warren's letter to the FTC details how TurboTax diverts users from free services, charging $133 for simple tax returns that could be filed for free.
- The FTC had previously banned TurboTax from falsely advertising free services, a rule stemming from a settlement where Intuit paid $141 million for misleading claims.
- Warren supports the IRS's Direct File system, currently in a pilot program in 13 states, which offers automatic and free tax return processing.
- Intuit continues to challenge FTC regulations and oppose the IRS Direct File program, despite ongoing legal pressures.