NASHVILLE, Tenn. (WRKN) — If you qualified to file your taxes for free but ended up having to pay to use TurboTax services, expect a check in your mailbox in the coming weeks.
Tennessee Attorney General Jonathan Skrmetti announced Tuesday that low-income consumers who were deceived into paying to use TurboTax to file their taxes will be getting a piece of a $141 million settlement from the tax preparer’s parent company, Inuit. The settlement was announced one year ago, his office said in a release.
According to the attorney general, approximately 4.4 million consumers nationwide were affected by the deceptive marketing practices, including more than 120,305 Tennesseans. Tennessee will receive at least $3,725,185.16 to compensate them for the charges they incurred from a service that was supposed to be free. Eligible consumers will be contact by email about the settlement, and checks will be mailed throughout May.
The settlement involved multiple states, including New York, Tennessee, Florida, Illinois, New Jersey, North Carolina, Pennsylvania, Texas and Washington. All 50 states and the District of Columbia signed onto the agreement.
Eligible consumers include those who paid to file their federal tax returns through TurboTax for tax years 2016, 2017, and 2018 but were eligible to file for free through the IRS Free File Program. Consumers who are eligible for a payment will be notified by email by the settlement fund administrator, Rust Consulting. These consumers will receive a check in the mail automatically, without having to file a claim. Checks are expected to be mailed out starting next week.
The amount each consumer receives will be based on the number of tax years for which they qualify. Most consumers are expected to receive between $29 and $30.