
TurboTax customers to receive checks for $141M settlement
Millions of Americans who qualified for free tax services—but were instead deceived into paying TurboTax for their returns—will soon get settlement checks in the mail.
Millions of Americans who qualified for free tax services—but were instead deceived into paying TurboTax for their returns—will soon get settlement checks in the mail.
The filing deadline for most taxpayers is Tuesday, though it has been extended for parts of Indiana, California, Alabama, Georgia, New York, Tennessee, Arkansas and Mississippi that were hard hit by severe weather.
Big tax preparation companies have millions of dollars to lose if the program comes to fruition. Last year, more than 60 million taxpayers were serviced by Intuit, the parent company of TurboTax, and H&R Block.
IRS and Treasury Department officials said Thursday that they will use part of the $80 billion in new funding for the tax service to claw back unpaid balances from high-income earners and complex businesses.
Commissioner Danny Werfel delivered a tax-season pledge Tuesday that the agency will use an $80 billion infusion of cash to become faster, more tech-savvy and provide “real-world improvements” to taxpayers.
The proposal would form the State and Local Tax Review Commission to study the feasibility of ending Indiana’s income tax and reforming property taxes for Hoosiers.
The IRS announced Friday that most relief checks issued last year by states, including Indiana, aren’t subject to federal taxes, providing 11th hour guidance as tax returns start to pour in.
A bill that would divert some $6 million in state and local tax revenue annually to state-certified technology parks has passed the Senate and is headed to the House, where similar legislation died two years ago.
A report released by the Democratic majority on the House Ways and Means Committee indicated the Trump administration may have disregarded an IRS requirement dating back to 1977 that mandates audits of a president’s tax filings.
Taxpayers will get fatter standard deductions for 2023 and all seven federal income tax bracket levels will be revised upward as the government allows people to shield more of their money from taxation.
The auditor said that while most eligible Hoosiers have received their refunds, “we are aware that many need further assistance to claim it.”
The IRS has lacked the funding—or the clout to outmaneuver private lobbyists—to seriously consider its own e-filing platform, current and former officials say, forcing taxpayers instead to deal with a consortium of private providers.
The GAO report, issued Thursday, found that while 70% of taxpayers were eligible for the Internal Revenue Service’s free-filing program, only 3% of taxpayers actually use the service.
Monday is Tax Day—the federal deadline for individual tax filing and payments. About 40% of this year’s taxpayers still haven’t filed a return.
Hoosiers should expect to start receiving a $125 automatic taxpayer refund in May, Indiana Gov. Eric Holcomb announced Wednesday.
The plan would cut the income tax rate to 3.15% from 3.23% for 2023, which would amount to a $40 savings for those with $50,000 in taxable income. The tax rate would be cut further in 2025, 2027 and 2029, but only if state tax revenue grows by at least 2% in the previous budget year.
Republicans on the Indiana House Ways and Means Committee passed their $1 billion tax-cut proposal Wednesday night on a 15-7 party-line vote, sending it to the full House for consideration.
The Indiana Senate’s top Republican said tax cuts and limits on employer vaccine mandates didn’t land on his priority list because they are “controversial” and “more complicated to work through.” But that won’t stop House Republicans from pursuing them.
The plan proposes lowering or eliminating four separate taxes on sales, business personal property, individual income and utility receipts.
Indiana House Speaker Todd Huston says the state’s burgeoning surplus, forecast to grow to $5.1 billion by the end of June, gives him even more reason to pursue tax cuts.