Turbo Tax to pay Vermont customers $290K as part of settlement

Turbo Tax, Intuit Inc. has agreed to pay $141 million to customers who used its “free” tax services. The settlement alleged Turbo Tax marketed its free edition to customers who ended up paying for services.

Turbo Tax users in all 50 states could be eligible to receive money from the settlement. Almost $290,000 is available for customers in Vermont.

“This settlement will put money back into the pockets of the service members and low-income Vermonters who were deceived by Turbo Tax,” said Vermont’s Attorney General T.J. Donovan. “I am pleased that, in addition to returning money to Vermonters, this settlement requires Intuit to play by the rules.”

Donovan’s office said it started an investigation after hearing media reports of the company using deceptive marketing techniques that pushed customers away from its free tax services supported by the federal government.

Vermonters who filed their taxes using Turbo Tax’s free service for the 2016, 2017, and 2018 tax years, but ended up paying, will receive $30 for each year they filed using its services. Customers will automatically receive a notice and check by mail, according to Donovan’s office.

Vermont residents can call the Consumer Assistance program at (800) 649-2424 or go to the Attorney General’s website. More information about the settlement can also be found on the Vermont Attorney General’s website.