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posted by martyb on Wednesday July 17 2019, @08:55PM   Printer-friendly
from the making-money dept.

Trump’s Tax Law Threatened TurboTax’s Profits. So the Company Started Charging the Disabled, the Unemployed and Students.

The 2017 tax overhaul vastly expanded the number of people who could file simplified tax returns, a boon to millions of Americans.

But the new law directly threatened the lucrative business of Intuit, the maker of TurboTax.

Although the company draws in customers with the promise of a "free" product, its fortunes depend on getting as many customers as possible to pay. It had been regularly charging $100 or more for returns that included itemized deductions for mortgage interest and charitable donations. Under the new law, many wealthier taxpayers would no longer be filing that form, qualifying them to use the company's free software.

Intuit executives came up with a way to preserve the company's hefty profit margins: It began charging more low-income people. Which ones? Individuals with disabilities, the unemployed and people who owe money on student loans, all of whom use tax forms that TurboTax previously included for free.


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  • (Score: 2) by c0lo on Thursday July 18 2019, @10:32PM

    by c0lo (156) Subscriber Badge on Thursday July 18 2019, @10:32PM (#868718) Journal

    Does it really matter which aspect of the laws were bought and sold to favor one business or individual over another?

    Yes, when it comes to corruption and/or dictatorship, it matters
    E.g. if the laws impacting free-speech are "sold", you'll be able to live (if you keep the offending speech not know to authorities).
    If the laws regarding the private property are "sold", you may very quickly expropriated "by the eminent authority", a destitute and dead in 30 days of hunger.

    The communist regimes started with the second; they used the first only as a pretext to apply the second, but you could be subject to the second even if you kept your mouth shut.

    --
    https://www.youtube.com/watch?v=aoFiw2jMy-0 https://soylentnews.org/~MichaelDavidCrawford
    Starting Score:    1  point
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    Total Score:   2