Intuit reverses unpopular changes in TurboTax software

Mark Davis
Kansas City Star

Intuit Inc., having admitted one mistake, says it will undo another.

Changes in its popular TurboTax software for this tax season caught many users by surprise. The changes required them to upgrade — and pay more — to use some of the same tax forms this tax season as last year.

Intuit already had apologized for surprising its customers, saying it should have told them more clearly about the changes to its software. Now that company has said, in an emailed announcement, that it will “restore TurboTax desktop software products for next year.” The restoration will “cover the entire product line with all forms in all products.”

Intuit also said buyers of this year’s Deluxe software will be able to upgrade free and seamlessly to the more expensive version they need this year.

It continues to offer $25 to those who already have paid for an upgrade, though some TurboTax users said their upgrades have cost more than that.

And, about the refunds, TurboTax said it’s working to simplify that process.

Intuit chief executive Brad Smith has posted his thoughts about the mistakes and the process of correcting them.

In one, he acknowledged Thursday that his first fix “didn’t go far enough,” and that he learned this from the response it brought from business leaders and customers.

In another he said, “Our apology and the way we handled the situation significantly missed the mark.”

It’s also clear that the mistakes, coming at the onset of the tax season, threaten to hurt the company financially.

Intuit is expected to report Feb. 20 on its financial results, and investors will be looking for an update on this tax season so far.