Checks Will Soon Be Sent to 4.4 Million TurboTax Customers as Part of $141M Settlement From 2022
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New York Attorney General Letitia James, who led the multistate lawsuit, says checks will be mailed out throughout the month of May
About 4.4 million Americans will soon receive a check in the mail as part of a settlement with TurboTax — and they won't have to file a single claim.
TurboTax's owner Intuit has been ordered to pay out $141 million to consumers "who were tricked" into paying for tax services that were advertised as free between 2016 and 2018, New York Attorney General Letitia James said in a press release on Thursday.
Checks will be mailed out to eligible consumers this month, according to the attorney general, who led the multistate effort.
"TurboTax's predatory and deceptive marketing cheated millions of low-income Americans who were trying to fulfill their legal duties to file their taxes," James said in the press release.
"Today we are righting that wrong and putting money back into the pockets of hardworking taxpayers who should have never paid to file their taxes," she added.
Intuit did not immediately respond to PEOPLE's request for comment.
The Office of the Attorney General (OAG) opened an investigation into Intuit after a 2019 report published by ProPublica said the company was misleading low-income consumers and pushing them away from federally-supported free tax services.
Jones announced the settlement with Intuit last year. At the time, the attorney general said Intuit "cheated millions of low-income Americans out of free tax filing services they were entitled to" with a "deceptive" marketing ploy.
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As part of the agreement, Intuit was ordered to suspend TurboTax's "free, free, free" ad campaign, which Jones said, "lured customers with promises of free tax preparation services."
"For years, Intuit misled the most vulnerable among us to make a profit," Jones said in a press release at the time.
In her latest statement, James thanked her fellow attorneys general for standing up with her to support ordinary Americans "and hold companies who cheat consumers accountable."
Intuit previously said it had "admitted no wrongdoing" as part of the agreement, according to CNN.
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Settlement checks will go out to taxpayers who used TurboTax to file federal tax returns in 2016, 2017 and 2018, but were eligible to file for free through the IRS Free File Program, according to the attorney general's office.
Most consumers are expected to receive about $30, though those who filed for three consecutive years could receive up to $85, Thursday's press release said.
Anyone interested in additional information about the settlement can visit www.AGTurboTaxSettlement.com.
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