What’s up with TurboTax?
Recently my favorite tax software, TurboTax, announced that their 2008 version will cost about 40% more, and would only allow a buyer to prepare 5 individual returns and 1 electronic filing. After that, each return prepared would require the software buyer to send an additional 9.95 to Intuit. What?
Of course, public response to this major policy change was not favorable. Lots of unhappy customers even before tax season. Amazingly, Intuit recently changed their MBA minds and decided to cancel the policy changes (not the price increase), and change their software.
I am proud of Intuit for listening to their customers and changing their changed policy. I have used Turbotax, Quicken, Quickbooks, and NAV for many years, and I agree that their customer service/support over the years has pretty much disappeared. I had not yet purchased my Turbotax software for this year, so I was not sure that they were actually limiting the number of returns one could prepare, but if it was true, I would have changed to Taxcut.
My feeling is that if I purchase their software, I should be able to use it as often as I wish, knowing, of course, that it is obsolete after one year. I certainly would not purchase Photoshop or Dreamweaver or similiar software if I knew that I could only use it one time or process one photo without extra fees.
I can understand Intuit charging a fee for every electronic filing, but even that discourages the IRS’ goal of getting everyone to file electronically. I read one comment from an American in Australia, where they are encouraged by the government to file electronically, FOR FREE, and that makes sense to me. The IRS would save money just in the cost of paper processing and error corrections.
Thanks, Intuit.
Now on January 20, TT did a $10 discount on their software, so I went out and bought a copy. Time to start getting my taxstuff in order. But when I arrived home, the daily mail included a FREE copy of tax software from TurboTax’ top rival, TaxCut. No, really! Including 5 free efiles. Now I have been using TT for many years, mostly out of habit I suppose, plus I have never been fond of Taxcut’s publishers, H&R Bloch. Their tax prep advertising usually contains enough confusion, uncertainty, veiled threats, exaggerations, and outright lies (We’ll save YOU $XXXX on your taxes! Guaranteed!) to make the IRS or even a Dick Cheney proud. But hey, the price is right on their software, so why not give it a try. Great marketing strategy! Maybe Turbotax will use it next year. Maybe I will plug my numbers into both and see who saves me more. Maybe I will return my turbotax. Maybe I will buy Taxcut next year. Hmmmmm.
Not only did we (TurboTax) drop the fee for additional returns, but we also allow you to e-file up to 5 federal returns (the IRS mandated maximum) free. Previously, e-filed returns cost $17.95 each. There is no limit to the number of printed returns you can prepare and file. These changes make TurboTax an even better deal.
I hope this information helps.
Bob Meigan
VP, TurboTax
[...] the policy, and their employees are finding mentions of the fiasco on blogs, even obscure ones, and commenting to correct any misconceptions. Posted in Companies, Do the Right Thing, Personal Finance, Products, Retail, The interwebs [...]
And now I just read that New York’s governor patterson proposes to charge every taxpayer $10 for filing his taxes on a paper return. I think the average cost to file electronically is about $20. A lot of negative reinforcement here. I would think they would want to encourage people to file-maybe even free electronic filing for ALL?
I wanted to respond to some of the comments regarding the tax stimulus checks. My husband and I use TurboTax computer software to do our taxes. It is a great program. We do not file our taxes electronically, we print out the tax forms and mail them. We also do not have any refunds direct deposited. I read somewhere that if there is an error on the direct deposit amount, it would be difficult to trace. Don’ t know if that is true or not, but just something to keep in mind.
Great work! You are still #1.