FTC-PR-241112-1 (11-12-24)
FTC Action Stops H&R Block’s Unfair Downgrading Practices and Deceptive Promises of ‘Free’ Filing – Proposed settlement would require company to pay $7 million for consumer redress and make changes for consumers in tax filing seasons 2025 and 2026
A Federal Trade Commission lawsuit is leading to changes for consumers who use H&R Block’s do-it-yourself online tax filing products. A proposed FTC settlement would stop H&R Block from unfairly requiring consumers seeking to downgrade to a cheaper H&R Block product to contact customer service, from unfairly deleting users’ previously entered data and from making deceptive claims about “free” tax filing.
The tax-filing company has agreed to a proposed settlement (PDF) that will require the company to make a number of changes for the 2025 tax filing season in addition to longer-term changes. The settlement would also require the company to pay $7 million to the FTC to be used to redress consumers harmed by the company’s unlawful practices.
“American taxpayers who seek tax-filing help should be able to choose the services they need—and know the truth about how much they’ll pay,” said Samuel Levine, Director of the FTC’s Bureau of Consumer Protection. “The FTC’s action today will help lower the stress and expense of tax season for millions of taxpayers.”
FTC-PR-241112-1 (11-12-24)