eFile Using Turbo Tax? Use Refund To Pay Fees? Check’s In the Mail

Candy just told me.
And TurboTax explains it.

What if I paid to file my 2007 taxes with my refund money using Santa Barbara Bank & Trust?
Even if you have received or will receive your tax refund by direct deposit to your bank account, the IRS will not do the same for your tax rebate in this instance. It will mail your rebate instead.

In its preparations for issuing rebates, the IRS decided that taxpayers who entered into financial transactions with third parties, such as Santa Barbara Bank & Trust (the taxpayer and TurboTax being the first two parties), would receive their rebates by mail.

This applies only to TurboTax customers who used the “refund transfer” or RT service when filing their 2007 tax returns. The service lets you pay for your tax preparation and/or e-filing from your refund proceeds, for an additional fee, under an agreement with the bank. This allows customers to pay using their refunds, rather than credit cards.

This IRS decision also applies to taxpayers who used “refund anticipation loans” or RALs (loans made to tax filers against their expected refunds) on their 2007 returns. TurboTax does not offer RALs.

UPDATE: PLEASE READ BOB MEIGHAN’S COMMENTS, BEFORE YOU COMMENT. I know many of you want to vent. And you are free to do so. But be reasonable:

EVERY TAX PREPARER is in the SAME BOAT.

No matter where you went to get your taxes done!

UPDATE: 5/13/08 (Via Bob Meighan) - QUESTIONS ANSWERED IN USA TODAY COLUMN.

Also story in Chicago Tribune.

Related Posts with Thumbnails

Comments

eFile Using Turbo Tax? Use Refund To Pay Fees? Check’s In the Mail — 172 Comments

  1. I’m really confused. When I filed with turbo tax, I entered my bank info for Santa Barbara Bank & Trust deposit, but it also asked about the stimulus check rebate and how I wanted it. I selected direct deposit and had to enter my bank information again. Why would the money not be directly deposited? This makes no sense.

  2. I will never do Turbo Tax Again! I would have never used it if I would have known that Ahead of time.

  3. It’s not TurboTax that’s to blame. It’s the way you all paid your fees. I used TurboTax but I paid my fees with my own bank card. I’ll be receiving my stimulus refund via direct deposit.

  4. @Mary: Probably won’t have a “rebate” on taxes anytime soon.
    @Michelle: Kind of the same answer as Michelle, except it seems to mee Turbo Tax could be more forthcoming in their explanation.
    I’ll keep using TurboTax, have for five years without a glitch.

    thanks to both for your thoughts.

  5. The IRS decided that for those who elected to use a third party to pay their tax processing service fees would receive their rebate via check. This affects only those customers who used Santa Barbara Bank & Trust for their payment. Had we known at the time how the IRS would be processing rebate checks, we would have disclosed that information.

    Bob Meighan
    VP, TurboTax

  6. @Bob: Wow, very impressive. I’m glad your communications people are monitoring what’s being said about TurboTax. Thanks for commenting.

  7. I feel like im being punished because i used turbo tax.

    The IRS knows my address and has all my tax info. Including my bank info.
    I think to have them mailed is not fair. Some of us really in need of the money.

    Shame Turbo tax never stated anything nor sent out emails to all who used their product.

  8. This situation applies regardless of which tax software program, online service or tax preparer you used. It is not just TurboTax. Additionally, if you used your refund to pay your fees the IRS does NOT have your bank account information even if it shows on your printed return. The IRS actually has the funding bank’s account information. The refund is issued to the bank, the bank remits the fees to the software provider or the preparer and the bank then sends the net refund proceeds to the taxpayer. That is why the IRS cannot do a direct deposit. They don’t have the taxpayer’s account information. There is a lot of misinformation on this topic, but this is the answer.

    Bob Meighan
    VP, TurboTax

  9. THIS TOTALLY SUCKS WILL NEVER USED TURBO TAX!! I GOT CHEATED ON MY TAX REBATE! WAS TOLD TWO DIFFERENT AMOUNTS AND WAS GIVEN THE LESS AMOUNT!! Called turbo tax and they said there was nothing they could do even thought the larger amount was showing up!!!

  10. Sorry i miss spelled some words. I am really madd about the whole thing!!

  11. So if I e-filed through Turbo Tax but pd by debit card, will I have to wait for the check or will it be direct deposited? I am totally confused.

  12. Thanks. Tomorrow will either be a good day or bad day as my direct deposit is scheduled for tomorrow!

  13. Anonymous… Your rebate amount may be different than what we computed because you MAY have an outstanding balance with the IRS or some other debt. The IRS can use the rebate to offset any liabilities you may have with them.

    Bob Meighan
    VP, TurboTax

  14. I thought the purpose was to stimulate the economy. Seems like the complete opposite here. Even through the money itself is free (and we cant really complain) it seems like a contradiction to what the government was/is trying to do. In any case, I guess I’m waiting like most everyone else for my check, with great disappointment of course.

  15. OMG I really don’t think these people get it. How is the IRS suppose to have your bank info when it is SBB&T that is actually giving you your tax refund. Then SBB&T files your taxes to the IRS for you then they send the money to your account after they recieve it. How can you blame turbotax? I bet all you guys got your regualar refunds on time and alot quicker than the people who sent it in! You guys are just needing to blame someone. I bet most of you people will continue using Turbotax. People always have to complain about something. Believe me I wish I was one of them getting mine direct deposited! I really can use the money. There is always a price to pay for taking short cuts. Just be thankful your getting one. This only happens once in a blue moon. Now all you guys are going to be closet Turbotax users! LOL P.S. Bob your a pretty decent guy to actually comment on these things. I mean you make enough money not to care about what a few people think, but here your are trying to help people understand! Thanks

  16. how stupid are you people you really think its the VP of turbo tax!?!? LOL Its just one of the many people that go on line and get paid by him to keep his name good!! WAKE UP PEOPLE!

  17. who cares who he is! Stop whining about your stupid checks! Its all turbotax fault cause i can’t get my check. It’s all Turbotax fault cause I didn’t get the right amount! Are you people adults? I feel sorry for your children. Another generation of a bunch of crybabys. Thats whats wrong with america now. You’ll get your money when you get it! Thats the bottom line

  18. Its a good day … the deposit was in my account this morning. Thanks for the info and advice.

  19. I guess I am actually confused. I looked at my 1040 tax return and it has my DD banking info on it. These are records that I am sure go to the IRS. Why will they not use that information to process the checks?

    To me it doesn’t make a lot of sense. Can someone explain it to me please? I gave the IRS my information and they have it and yet are ignoring the information to go a different route?

    Thanks!!!

  20. I’m with you. I feel like I am being punished for not having available funds on my credit card at the time of filing. The forms for my 1040 show MY bank account and routing number. But apparently to utilize that info would involve people actually reading the forms and no one does. It’s all automatic. Hence, we are screwed. Hope the mail doesn’t lose my check next month.

  21. I dont think that people should be upset with people for being angry. This was not clearly explained to anyone from the IRS or Turbo tax. What about the people who had their money put into an IRA! Not really going to help wht economy when your rebate is put back in that! I would be very upset! I think that maybe the IRS should have just sent everyonw out checks and not messed with this whole deposit thing, Turbo tax should have sent out an e-mail or something to their customers when they learned of this problem. Instead people are finding this out when they notice they have not got their money and start researching it! BETTER CIMMUNICATION PEOPLE!

  22. Confused (the poster that is)… It is confusing. Hopefully, I can explain why your printed tax form has your account information but the IRS does not.

    If you elected to pay your filing fees from your refund, then a bank gets involved to make this happen. In the case of TurboTax, that would be SBBT (this explanation, however, applies regardless of which bank or tax software you use). When you electronically filed with a bank product (payment of fees or a RAL, which TurboTax does NOT offer), the IRS receives a temporary bank account set up by SBBT to temporarily hold your refund. When the IRS proceses your refund, the refund is direct deposited to this temporary account. SBBT then uses these funds to pay TurboTax (or whatever service you used) and the bank direct deposits the balance of the refund in your actual account. Once this transaction is done, your temporary account is deleted.

    Your printed tax return (which was not submitted to the IRS) reflects your bank account information IF you had filed a paper return.

    Therefore, in this case, the IRS does not have your actual bank account information and cannot process your REBATE as a direct deposit. I’m sure if the IRS and the tax preparation industry knew at the beginning of tax season what it now knows about the rebates, a lot of things would have been done differently. Unfortunately, rebates were not even real at the start of tax season.

    I hope this information helps. Again, this is confusing!

    Bob Meighan
    VP, TurboTax

  23. Question-

    I used Turbo Tax to efile my return and had direct debit of balance owed. Will stimulus payment be direct deposit or paper check?

  24. (2) Quesitons:

    Paid Turbo Tax fees with my credit card, does that affect my direct deposit of stimulus payment?

    Was scheduled for direct deposit today (5/9/08), but have not seen deposit yet?

  25. @Chris: I’m no expert, but you didn’t get a refund? So you paid the fees with credit card? Seems to me that the deposit should have been made. But again, I’m no expert!

  26. The last few posts… You should be receiving your rebate by direct deposit. However, if you had a balance due with your return, you would have also had to enter your bank account information for the direct deposit of the rebate. If you filed your return prior to the rebate legislation, there would not have been an option for this in any software. Once the rebate legislation was passed, we updated TurboTax to capture the information for this stuff.

    Also keep in mind that the IRS’ schedule is just a schedule. It may not be exact.

    Bob Meighan
    VP, TurboTax

  27. all i hear is the same thing we all got screwed if you went through TURBO TAX

  28. @Anonymous: You can feel that way, but you shouldn’t. TurboTax – and any other tax preparer – had NO idea there would be a stimulus check. How can you hold them responsible for something the government decided after the tax deadline?
    Let’s be fair.

  29. I used Turbotax the last few years for my returns.This year the refund went through SBB&T but previous years went through the IRS. Will they look at previous returns or just this years?

  30. My last 2 digits are 24. I should have gotten my check yesterday but I didn’t. I used turbo tax and paid my turbo tax fees by credit card. I did summit through turbo tax that irs could take out the 60.00 bucks that I owed to IRS via my bank account on 4/11/08 which the irs did do so why have I not gotten my check ?????

  31. Jarrod… The IRS looks only to the 2007 return to determine how it will send your rebate payment.

    Laurie… Depends on when you filed. If you filed prior to March 21 (give or take a day or two), then your rebate will be mailed to you. If you filed after that date, then the IRS will send your rebate check based on what you specified in TurboTax. The importance of this date is that TurboTax was updated to reflect the new rebate rules. Also remember that the IRS schedule is just a schedule. It’s a guide not an exact science.

    Bob Meighan
    VP, TurboTax

  32. I filed with TurboTax on 4/12, paid balance due on tax return with direct debit from my bank. Turbo tax fees were paid via credit card. My bank info was submitted on my tax return we efiled. I was due my stimulus rebate yesterday (5/9), but have not received it yet. ??

  33. Chris… Did you also select direct deposit for your REBATE? It is a separate question in TurboTax just after you enter your direct debit information. If you did this, then the IRS should have processed it according to their schedule. But keep in mind that it is just a schedule and the bank may take a day to process it.

    Bob Meighan
    VP, TurboTax

  34. I just got notified by my bank that I have been stimulated! So perhaps the banks are just a little slow notifying customers. SSN ends in 48.

  35. THIS IS JUST GREAT,BECAUSE OF TURBO TAX,WHICH I HAVE USED FOR THE
    LAST 5 YEARS I WONT SEE MY (VERY NEEDED)STIMULIS CHECK UNTILL JULY,
    THAT IS JUST WRONG,,,,THANKS FOR NOTHING….

  36. My husband and I are among those who filed through Turbo Tax and had the fees deducted from our refund. We did this because we need every penny we can get our hands on; we couldn’t afford to pay for the service directly.
    How ironic is it that those who need the extra cash the most now have to wait (until mid-July, for us) to receive our desperately needed stimulus payments?

  37. The bigger problem was that Turbo Tax was not clear that this was a third party transaction when the fee deduction was offered. It was not until after I hit the deduct fees option that I realized our refund was being rerouted to Santa Barber. I raised cain immediatly with TurboTax that that should be better stated when filing. I would have used a credit card for fees. I too will no longer use TurboTax. I will go to their competetors.

  38. my ssn ends in 39 & i filed thru turbo tax on jan 31 & paid with debit card & got my state refund direct deposit. Will i get my thru direct or mail?

  39. It’s nice that Turbo Tax is trying to calm down their PR nightmare but it won’t help. I don’t think it is ever made clear that you can get direct deposit without paying any fees. Turbo Tax forcefully persuades you to use Santa Barbara or get your check through the mail. Does it make sense to charge a bunch for a software product and then double charge for e-filing? We all get used to fee scams until something like this happens and hurts us all.

  40. Just got off the phone with a rep from Turbotax. The rep said that “not many” people paid their fees with their return, so it’s only a few that are being screwed over. I beg to differ with that assertions. When I asked him why my banking info was on my tax return but the IRS can’t use it he told me that I needed to call them. So I decided to try. No luck in that. All you get is a message saying that they are experiencing heavy calls and call later. This is all a scam by the govt. They knew that millions would not be getting direct deposit so they touted how they were moving the dates up. They want to string this out as long as possible so that the economy will “grow” .

  41. SteveB… If you selected to have SBBT deduct the fees from your refund, you had to go through at least three interview screens accepting each one. Each one prominently discloses the purpose of SBBT and the fees involved. On the disclosure, we tell you that the refund will go to SBBT who will then pay the fees and deposit the balance in your account. To suggest that this was not clearly communicated really stretches my patience. By the way, going to a competitor would have delivered the same result today. I guess my earlier posts have not been read. This affects you regardless of whether you used TurboTax, a competitor, a tax preparer or a tax franchise. We’re all in this together. Had we known back in tax season that this is how the IRS would be processing rebates, we could have done things differently.

    Joseph Nielsen… The interview clearly tells you that direct deposit is free. The interview question states, “How do you want your federal refund?” The choices are “Direct deposit to my bank account (recommended)… Fastest…It’s free!” or “Mail me a check”. There NEVER is a charge for direct deposit. The SBBT charge comes into play ONLY if you select to have the TurboTax fees deducted from your refund. This is your option and we do NOT default or preselect any option for you. The charge is clearly shown on the interview screen and then follows up with even more disclosures in plain English.

    Although I am very empathetic to the pain and anxiety this has caused each of you, I also want to make sure that incorrect statements are appropriately addressed. I also want to answer questions from you as they come up.

    Bob Meighan
    VP, TurboTax

  42. Why wasn’t an e mail sent to the people affected by this? I think it would have been the least that Turbotax could have done.

  43. @jarrod: because we wouldn’t be having all this fun! :) Seriously, you probably checked a box that said “no email” – and spam filters probably would have killed it.
    I would have been very skeptical if I got an email saying “the check is in the mail” not “has been direct deposited.”

    I think having a V.P. responding to a D list blog post is amazing! I wonder how many other TurboTax staffers/management are doing the same?

    I think marketers will hail this as a real change in the way big corporations deal with the public.

  44. One other point to note why is it we do not read “eFile Using Tax Cut? Use Refund To Pay Fees? Check’s In the Mail
    Published on May 2, 2008 in Money and Technology? Why are there so many people angry at Turbotax and VERY few people with the same problems using the competition? Hmmmmm. Check for yourself. Use google. Bob we are not all stupid. And I am not angry about waiting for my rebate. The confirmation screens did not make clear that the refund were going to a third party and would take longer to recievpre in the first place. The fee was clear. No roblem concerning that.

  45. jarrod…. The reason we did not send an email out is because we did not have a mechanism in place to identify customers who were affected. The season was almost over by the time we understood how the IRS would be processing rebates and there was no reason at the time to add a tracking mechanism in the product since it was our understanding that the IRS would process the rebate based on the election made for the return. Since then we have been working diligently to identify affected customers (a time consuming process) to provide the latest information. Yes, it may be late, but it has not been for lack of effort.

    To whoever is now using my screen name… The reason you don’t see many other cases from the competitors is because they represent a much, much smaller share of the market. Plus, by actively engaging on these blogs and others, we certainly raise our visibility. That may hurt us from a PR perspective, but our view is to assist in every way possible and provide as much transparency as possible.

    Bob Meighan
    VP, TurboTax

  46. So a major company, one that focuses on taxes and account, does not have a “mechanism” in place to see who deducted fees from their return? I’m not buying that one at all. Why not send a mass e mail stating” if you deducted your fees, you will receive a check. Disregard this email if the information does not pertain to you.” ? The fact is, you didn’t want to deal with the situation that your comapnay is dealing with now. Instead of informing us, you hoped that the probelm would be small. Now that you realize that many of your customers are screwed, your trying to come off as the good guy. Too late. Next year, maybe you’ll take care of your customers. I will not be one of them. Also, get rid of the call center in India. I could barely understand the customer rep and she was only reading a script.

  47. Bob Meighan, VP Turbo Tax

    Thank you for explaining how the refund will be sent to those of us who chose Turbo Tax for the 2007 tax season. I am very satisfied with your service, and have no problem waiting for my check to come in the mail. I will continue to use Turbo Tax as it has helped me with my earned deductions each year. The system provides more information than the IRS forms and it is very user friendly. You are taking a lot of heat for the service you provide, but I can honestly say that you have been a great service for me. I have a question that you may be able to answer however. I have moved since filing. Will the check be forwarded to my new address once I do the address change? I know that usually the IRS will not forward refunds. If you have any information on that issue, I would appreciate you contacting me with the answer. Thanks again for a job well done.

  48. @Jarrod: you’re starting to turn into a troll, keep it up and I will not publish your comments anymore. You are not adding anything except vitriol to the blog.

      This is your one and only warning.

  49. Okay so here is something, that may or may not have been asked prior but I couldn’t find an answer so here we go….
    What about the fact that the IRS actually has the direct deposit info on the 1040A form, line 44b,c,d. Or is that information actually disclosed as well when the return is submitted to them?
    And yes, we filed w/ Turbo Tax and so I am upset because we probably won’t get our stimulus this Friday but hey who would have known…by the way we just paid the fees from the refund because it was just the easy way – lesson learned!
    However we will use Turbo Tax again, after all we never had an issue.
    Maybe that is what we should learn from this,
    “DO NOT COUNT ON MONEY YOU DO NOT HAVE YET!!!”

  50. I not real sure about this, but if I used Turbo Tax and paid the processing fee with my tax return how will my stimulus check be sent and where can I find the IRS schedule?

  51. Sherry…., I would think you are in the same boat as us, you will get a paper check mailed to you because you paid the fees directly from your tax refund. When you will receive the check depends on your last 2 digits of your SSN#. There is a list available on http://www.irs.gov. Go to individual, then rebate questions, now click on payment schedule under payment in progress. Here you find the paper check list with the expected dates for your stimulus payment. Hope your not in the last badge…like us…life is a joker!

  52. Everyone who is upset at turbo tax needs to take responsibility for their own decisions…For those who had the fees deducted from their refund-I BET YOU WERENT COMPLAINING WHEN YOU HAD NO MONEY TO PAY THE FEES AND TURBO TAX HELPED YOU OUT!!!!
    Im in the same situation —I had to file my taxes for gradschool and didnt have money at the time so I was relieved that I didnt have to pay upfront and I know Im not alone!!! This is not turbo taxes fault its no ones fault–policies do exist and maybe those that don’t understand this policy should when they get their paper check invest in taking a course in english to better understand what their signing when signing a contract !!! I know this is upsetting because it seems unfair but why is it that that instead of looking at it like “hey when everyone else spent their borrowed from a foreign country money on gas bills.. I will have a check in my mail !” People need to relax its just a little money… and there is people in the world who who die to have just a morsel of food … people check yourselves !!

  53. Relax everyone! Your money is on the way regardless it be direct deposit or in the mail. I use Turbo Tax and will continue to do so.
    Inhale—Exhale—it’s just a couple of weeks away.

  54. Cynthia… Whether the post office forwards your rebate check to you new mailing address is a 50/50 thing. My postman forwards everything, but others will not forward mail like federal refunds/rebates.

    Bob Meighan
    VP, TurboTax

  55. Jarrod… I know nothing about why your post was deleted, but here is my response to why we did not send out a mass email.

    1. Your tax return data is private. By law, we cannot mine your return looking for specifics that will identify if you are affected.
    2. A mass email would have caused far more questions from customers who were NOT affected. Even if the email said something like “this may NOT apply to you”, we would be overwhelmed with contacts from everyone.
    3. Because the rebate legislation and the details of how the rebates would be processed were not finalized by the IRS until nearly the end of tax season, we did have in place a mechanism to identify those who might be affected. As a result, we have had to do a lot of system queries to identify affected customers. We now have that list and will begin emailing tomorrow. We will email in batches over the next couple of days. While some may argue this is somewhat late, it’s the best we could do and I’d rather provide customers with accurate information vs the rumors and misstatements we’re seeing on the web.

    I wholeheartedly agree with you that the delay between direct deposit and checks for many people is a hardship. I’ve read enough posts and talked to enough customers to know that any delay is causing lots of stress and anxiety.

    Bob Meighan
    VP, TurboTax

  56. Its good to see Bob here from turbo tax that is a sign of great customer care for him to be here helping answer questions on this topic. I am a bit disappointed that i will get a paper check just wish there was a way to sign back into turbo tax to update the info for the irs to send it direct deposit.

  57. Personnaly, I am upset with the IRS for coming out saying if you received your refund by DD, then you will receive your rebate the same way WITHOUT expressing the exceptions. They did post 2 small sentences on their website, but that doesn’t really work, now does it. Upset with TurboTax because only until this month, when the first DD’s were sent, did they fully explain everything. Day late and a dollar short. Irritated again with the Treasury Dept. for saying that they were able to move everything up a week. Duh! They found out that they didn’t have as many DD’s to do as they thought because a VAST majority made SBB rich with processing fees. This has been a true Charlie Foxtrot. Me, I have no choice but to wait until June and juggle some bills so as to go on vacation early June. Learned my lesson. Will use TurboTax to do my taxes, but I will MAIL them for now on. SBB will NEVER get any money from me again.

  58. The President as well as the Irs knew this information and still claimed People would see direct deposit and that payments were being sent sooner then later due to the economy.It’s hard to beleive what comes out anyones mouth these days.We will not use Turbo Tax again

  59. Ok! I have a question? I chose direct deposit of course but had my fees come out of my refund! can’t the Irs see that we wanted direct deposit and maybe move us up on the ladder to get ours sent out earlier than scheduled for people who chose checks by mail. It seems really unfair that we chose that option and still have to wait.. because my #’s are 98. I will definitely be among the last to receive mine. could really use it with three kids :(

  60. i will no longer use turbo tax after this. not mainly because of the rabte thing. but the rebate thing made me make my decision on wheather or not i should keep using them anymore. i have been using them for 7 years ……… screw turbo tax

  61. Paul… The VAST majority of TurboTax customers and taxpayers as a whole do not use SBBT or any bank. The number of taxpayers that use a bank in connection with filing their return is very small. This whole issue has nothing to do with SBBT or any bank. It just so happens that the way the process works when you use a bank product puts the IRS in a position where they don’t have the taxpayer’s account information. Again, this is a case where the rebate legislation wasn’t resolved until most of the tax season was done. If we all had a crystal ball that would have told everyone in the tax industry what would happen, everyone could have done things better to eliminate the problems we’re seeing now.

    Tonya… There is no way the IRS will be changing their process. Their decision was made a few weeks ago and as far as I can tell, it’s set in stone. The check process based on last two digits of SSN happens to be the way it is. While it may not be fair in your opinion, it’s the way it is.

    Bob Meighan
    VP, TurboTax

  62. This may not ne Turbo Taxes fault but I have a feeling that SBBT will be losing alot of of processing fees come next tax season. This may cost Turbo Tax some customers in the future. P.S. I am one of the the many who have to wait for my check to be mailed, I elected to have my fee deducted from my refund.

  63. 1. I beleive that the number of people that used SBB&T is much larger than you stated.

    2. The IRS does have our direct deposit infromation. It is on our tax returns.

  64. @Jarrod: (with different IP address) If you are the one I deleted before, Arguing the point doesn’t change a darn thing. So once again, stop whining and singling out Turbo Tax. Angling for a refund of fees? Or just one of those who likes to get into forums and blogs and complain.
    Whichever, why don’t you just go away?

  65. Jarrod…

    1. The number is not large. We know the number.
    2. The IRS does NOT have your direct deposit information. It may be on your printed return, but the electronically filed return has a temporary bank account number that is used to process the tax filing fee and the ultimate sending of the net proceeds to your account. My posts above describe this in more detail. But again, the IRS does NOT have your bank account information for direct deposit. That is not an opinion, it is a fact.

    Bob Meighan
    VP, TurboTax

  66. So if the IRS has only the account numbers provided by SBBT, why couldn’t the funds be sent there again and then redeposited in to our accounts the same way it was on the original return?

  67. Dear Fellow Consumers of Turbo Tax and alike,

    I have been using TT without any issues for years (until now)I filed my taxes way back in the beginning of Feb (just as all this stimulus talk was being blasted on all the news channels -TV, Net,paper, etc)

    Reading it all, I was confident that (because) I had selected direct deposit and did NOT request a ‘rapid refund or RAL’ I was going to get this money direct deposit… that was the one of conditions early on that would bump a tax payer into the paper check critera.

    All the hype in the beginning saying if you filed and receive direct deposit – you will receive your rebate the same way, was what the vast population believed, IF they did not file for a RAL/Rapid Refund…

    Then once the IRS published the ‘scheule’ and then revised it to get the DD’s out even earlier…. as people began dogging their bank accounts looking for the deposit they believed should be there, not until that moment, and after searching high & low for answers did they discover they were on the paper check list for paying the fee’s out of their refund.

    I for one have always been a happy turbotax user and have always used the easy way of paying for my filing fee’s (deducted from my refund) And now because my ss # ends with 93 I’m at the end of processing (not to happy about that) sometime after July 11 !

    I’m just greatful that I pay my bills, and wasn’t depending on this check to bail me out of a bad situation, there is a lesson to be learned here, don’t count on money you haven’t physically received to buy , pay or whatever until you actually get it, #1 reason I never do a ‘post dated check’ because what if the money doesn’t get there before the check….. Save yourself all those NSF fee’s.. Don’t spend what you don’t have.

  68. Ahmed… That’s a good question and one the IRS has addressed with the banks. Unfortunately, in many bank transactions it’s the tax preparer who actually ends up printing the check for the taxpayer and these tax preparers close down their shop after April 15. That was the biggest problem with doing what you suggested. So even though SBBT knows who its customers are, the IRS cannot tell from its end who is an SBBT customer vs one who may have gone through HRBlock or Jackson Hewitt, etc. I can assure you, however, that the IRS looked at this issue seriously.

    Diana… I’m glad you picked up on the fact that not all facts were available to the tax community until almost the end of the season. We all knew that RALs (which TurboTax does NOT offer) would be impacted, but did not believe that refund transfers (paying your fees from your tax refund) would also. This information was clarified by the IRS on May 7, 2008.

    Bob Meighan
    VP, TurboTax

  69. Hi Bob,
    Please let me know the reason why my rebate was not direct deposited. Here are my info:

    1. I have paid to turbo tax via credit card.
    2. I owed money to IRS which was paid throuh Bank of America. IRS has taken money from my bank
    3.Turbo tax asked me whether I want my rebate direct deposited, I answered yes

    Even I check in IRS website with my ss number it says it is not scheduled yet.

    How do I know that there is nothing wrong in my case.

    Thanks for your reply.

  70. Austin… Sounds like you did everything right. When you selected direct deposit for your rebate, did you also enter the account information (because we don’t assume it is the same for your direct debit) in addition to just saying Yes? Last thing, if you filed prior to April 16, it should be processed based on the IRS schedule. After this, you’d have to ask the IRS (I hear the IRS have very long wait times when you call). We do not have any information that tells us where your rebate is with the IRS.

    Bob Meighan
    VP, TurboTax

  71. Dear Bob, TT VP,

    While yes using the online version of TT for years now has been ‘uneventful’, there is this part of me that is somewhat concerned that, come January 2009 (like years before) I’ll get many letters, advertisements, etc. sent to my home address and my email. As many do, and as many here have voiced, they as I do, feel somewhat hmmmmm ‘overlooked’ that a simple post card allerting your clientel (us) that these rebates could be delayed IF we had the processing fee’s deducted from our federal refunds….

    However the vast majority of us went by the orginal statements (back in Feb/March)from all the media and when it came to checking on the deposit (going by the revised schedule), thats why so many were totally confused, bewildered, upset, to down right p***ed-off to find out they were not getting a DD.

    According to the IRS the cut off date to call the IRS with bank info was April 13, which didn’t do any of us any good as we found out about the mix up after the 1st batch of DD were sent out April 28….. I blame the media for this too, they put out so much hype about who’s getting what and how much, when they could have published a few ‘important’ faq’s as to WHO is NOT getting a DD and why…..

    Will I come back to TT next year ? Honestly I’m not sure. Why? As most of us know, the IRS allerts the tax preparers about any changes way BEFORE the public learns of the changes, so I can’t help but to wonder if TT and the others knew in advance that paying the fee’s and how that would grossly delay this rebate….. Also, I feel it might be ‘safer’ to self prepare my taxes as I did before TT (by hand) and mail it in. As I’m not that pleased to learn my tax forms were altered when transmitted to the IRS, that in itself makes me wonder what else might be changed or omitted in the future. As I sure don’t need to have the IRS pounding on my front door. I’m have enough stress .

  72. Stuff Jarrod wrote deleted except for this…

    “…I just want truthful answers…”

    My reaction: YOU WANT THE TRUTH? YOU CAN’T HANDLE THE TRUTH.
    Can’t we all just get along? Rodney King
    There is no free lunch. Milton Friedman
    I’m from the government and I’m here to help. Ronald Reagan

    Anybody else want to weigh in with appropriate quotes?

  73. Diana and Jarrod… Here is a cut and paste that I just posted elsewhere that basically addresses your questions.

    There were no drafts of how the IRS would be processing the rebate checks. The manner and timing of when rebate checks would be direct deposited or mailed were posted on the IRS web site as they were decided. In mid-to-late March, the IRS announced that taxpayers who elected to have their tax preparation fees deducted from their refund would receive their rebate via mail after direct deposits were completed. Just after the IRS provided this information, we posted it on our web site. The reason we did not contact customers directly is because we could not accurately identify affected customers at the time because IRS regulations restrict our review of our customers’ tax returns. Broadly contacting all 20 million people who filed with TurboTax (the vast majority of whom were not affected) would have caused more confusion and stress than any benefit it would have created. This was supported by many discussions with industry officials and the IRS. Since then, we have used other means (and a lot of work) to identify those who MAY be affected. Beginning tomorrow, we will be emailing those customers with the latest information.

    So yes, we were surprised when we learned that these rebates would be flipped to paper checks.

    Please know that we never compromise in doing what we believe is the right thing for our customers. We’re not perfect. There are some things we could have done better and we’ll continue to work this issue to the best of our ability.

    These are the facts. As to your opinions, everyone is welcome to form their own based on the facts.

    Bob Meighan
    VP, TurboTax

  74. “This information was clarified by the IRS on May 7, 2008.” –Bob Meighan

    “In mid-to-late March, the IRS announced that taxpayers who elected to have their tax preparation fees deducted from their refund would receive their rebate via mail after direct deposits were completed.” –Bob Meighan

    So which is it ? Did you’s find out in March or May? OR was it actually Feb when the stimulus was signed into congress?
    This is why the American people feel we’ve been lied to… No one can keep the answers consistant not even you when it’s on the same page.

    oh and I read Jarods post before it was taken down yesterday, at least he has the backbone to come back after posting, it’s shameful that you welcome the posts and then ‘edit’ the ones you don’t agree with. Apparently the posts are not truely welcomed here if we can not express ourselfs for fear that we might not be heard when all we want is (as Jarod said) truthful answers. Oh anyone not pleased can voice their complaint at the comsumersaffairs website. This was a mistake to come here, this is like talking to a brickwall, useless.

  75. @Diana: HEY HEY HEY… This is my blog and I will delete anything I want. And YOU’RE NEXT: FINAL WARNING.

      Jarrod is just being critical to be a troll. You are approaching the same line.

      Bob Meighan is a guest on this blog, and like any other commenter/guest should be treated with respect. When I think that line is crossed, you are gone!

  76. It sucks that we’re getting our checks by mail, but that’s the way it goes. No use whining about it, at least your getting money back.

  77. Diana… The communications from the IRS in March specifically referred to Refund Anticipation Loans (RALs, which we don’t offer) that would be flipped to paper checks. Then on May 7, the IRS clarified that to include all bank products (including those where the bank pays the filing fees on your behalf, which we do support through SBBT). I hope that eliminates the confusion.

    I will continue to monitor this site for questions that have not already been answered. However, at this point I’m simply rehashing points already made in earlier postings. I’ve done my best to answer these questions honestly and openingly. You can accept them, go on with life, or continue to blame us or anyone else. That is your choice. The fact is that the rebates weren’t passed until Feb 13, the implementation details were communicated piecemeal up until May 7, and in hindsight, we could have done things better and differently had we known some of this earlier.

    I hope all you get surprised and receive your rebate earlier than you expect.

    Thanks,
    Bob Meighan
    VP, TurboTax

  78. I have NOT been disrespectful, just pointing out a few facts, nothing personal- and no disrespect intended to you or Bob, but you asked for views, opinions etc. I sincerely thought this was a discussion, I understand removing posts with profanity, threats, etc. but because WE come back and question the answers given here??? Or point out inconsistancies with those answers, removing a post souly because of THAT is not fair to those who are reading this. Oh by the way, threating me is uncalled for even if this is your blog.

  79. Diana: Chill. Not a threat, a warning.

    So, Bob is gone, at least until something new pops up.

    Again, thanks to Bob (my new best friend) and TurboTax for hanging out here and trying to offer answers and solutions.

    (I have no affiliation with TurboTax or Bob – other than he is a commenter. I think will now go “friend” him because he needs all the love he can get. ) :-)

  80. Just a quick word of thanks, and a clear statement from my part, I think that Bob from TT coming here and tring to answer these posts was very nice, not that Bob has all the answers, nor can he fix this mess created by our goverment, but just the same, its nice he came here, when he could have passed this on to a CS rep from India.

    By the way, Goinglikesixty, is that you in the pictures under chief typesetter ? If so, the dogs with cones was cuter. LOL Sorry could resist. (Smiling)

    Have a good day and hope for the best for everyone.

  81. I know, I have 3 beagles and trust me, they snoor louder then my husband !

  82. I also can’t believe that those of us who chose to deduct our tax fees from our refund are being treated as though we didn’t pay our tax fees like everyone else.A valuable lesson to learn as Diana stated that we should not count on money that we don’t even have..
    My #85,so looks like Ill be getting a check in the mail which is not fair,but why cry about it.The IRS doesn’t care about how bad you need the money or if your last to get your money.The government is real quick though to take your hard earned money with every paycheck.Yet
    with the economy as it is,seems like as long as someone gets a check no matter who it is,our job is done…
    My husband and I have always used Turbo Tax and has never had a problem.Turbo Tax is not to blame for the
    IRS and their policies.I will continue to be a customer of Turbo Tax,even though things ended up in the favor of those who payed their tax fees with their banks..:(
    I learned that the IRS loves to be in control and make us tax payers know who is in charge…

  83. Here is some late breaking news that may be of interest.

    Here’s an explanation that might explain some inconsistencies we’re seeing and reading about. The link below refers to an article in the Chicago Tribune reporting some problems with the rebate checks.

    http://www.chicagotribune.com/topic/ny-listim0515,0,4165183.story

    After reading that you’re probably wondering what else can the IRS do wrong. Well, I actually am astounded at how much the IRS did well this year. Congress threw very substantial tax legislation at the IRS on Dec 26 forcing them to rewrite many forms that had already been mailed, create new forms, reprogram their computer systems, etc. This was very substantial rework. Then, they learn on Feb 13 that they’re going to have to mail out 130 million rebate checks. While this may not seem like much, it is when you’re dealing with 30 year old computer systems. Plus, the devil is in the details as we have all since learned. A lot of credit goes to the IRS employees in spite of some of these mishaps. I hate paying taxes, but I also realize that it is the not the IRS who implements the laws. The IRS simply carries out Congress’ intentions even when it’s at the last second.

    Plus, here is additional information that was reported in USA Today today.

    http://www.usatoday.com/money/perfi/columnist/block/2008-05-12-tax-rebates_N.htm

    Bob Meighan
    VP, TurboTax

  84. I used turbo tax to e-file. The processing fee was taken out of my refund. The deposit said “Tax Refund PerRalDept”.
    Does this mean a thrid party was used like SBBT? If so, should I assume I will be getting a paper check.

  85. I just find it a little frustrating that the day before I am suppose to receive this check, I get an email from TT saying that it is going to be mailed to me. All of this “We didn’t know” stuff just seems to be complete BS..

  86. Maurice… Pls read my posts above to get a better understanding of the issue and its timing. I can understand your perspective, but mapping affected customers to names/email addresses was a challenge. As I’ve stated above more times than I care to count “if we knew in tax season what we now know, we could have done more.”

    Bob Meighan
    VP, TurboTax

  87. Bob, I understand your point, I really do but, for those of us who use your software, we enter a lot of personal information into your software. For someone who works with computers and databases on a daily basis, I am a little skeptical when you say that you had a tough time “mapping” information to affected customers. I do understand that this situation was not TT fault, I just wish that as a paying customer, I could have gotten an earlier notice.. This whole stimulus package has been completely misrepresented by the government and the media anyway.. Just like with anything else, you gotta read the fine print..

  88. Maurice… Your tax return data is off limits to data mining by law. As a result, we had to work with SBBT and other systems to map affected customers to email addresses. The one thing that we all overlook (me included) is that the devil is in the details.

    By the way, I would not say “misrepresented by the government”. It was a case of where they were overwhelmed with a lot of priorities this year and the details surprised them. That’s why they issued so many updated FAQs and press releases. As they learned more, they communicated that asap. As for the media, there was an overwhelming amount of misrepresentation (just because they didn’t fully understand the details). I’m not trying to be critical of the press, but this is a messy issue.

    I hope this helps Maurice, and thanks for your business.

    Bob Meighan
    VP, TurboTax

  89. I really don’t me to beat a dead horse but, just like you were able to work with SBBT and find out who I was and what my email address happens to be, why wasnt that same effort put forth to find out where to deposit peoples stimulus payment? And I still say the government misrepresented this. It was reported as if people were automatically going to be getting a $600 check. No stipulations. It was reported that you were going to have this deposited by a certain date, No stipulations. But when the truth comes out, you will get $600 if you meet this criteria and your check with be deposited if you didnt do such and such… Its not so much that people are disgruntled and upset with TT and SBBT, they are upset and disgruntled by the misrepresentation and misleading of the whole process. I can get by without the check but, there are some who really need this to come through for them but, they are getting the run around. On a different note, I really think it is commendable of you and your company to participate in something like this. I have read a lot of the posts here and have noticed that someone even tried to impersonate you and for you to continue to be here is very honorable. You still have me as a customer..

  90. im like everyone else out there. ive used turbo tax for years, always got my direct deposit tax refund real fast. i have been happy, except for the 70 dollar fees. i work 60 hours a week, and have bills like most people, im sorry if i dont have 70 bucks to just give away. id rather use it to buy food or gas for my vehicle, or for rent. so i have them take it out of my refund. now i have seen the tv commercials and have gotten the notices from the irs about my stimulus. not once did they say” hey, if you used turbo tax and had them take there fee’s out of your check your screwed” im one of the unlucky bastards who have 76 ssn . so i wont get a check mailed til july freaking aye. if i was told id have to wait that long, id be fine. yes its free money and im grateful. but… and i say but. its the principal . don’t get peoples hopes up and then crush them, i need that money. i feel like i was robbed.i guess its saltine crackers for dinner for the next month. peace.

  91. Well I didn’t get my refund as expected and been trying to find out why thanks to your sight and Bob, with Turbo Tax I now know why I am not getting my DD and will be getting a check instead. I understand why some of you are hammering Turbo Tax but its not there fault that we will not be getting a direct deposit.

    It is there fault though not contacting there customers who this would effect. Instead the customers who did not get there money start investigating for them self’s stumbling around on the net and run across these post
    I have been using TT since it came out and have been a loyal customer and am a little ticked off that you have not showed the same loyalty in contacting even if we are a few the minority of this situation as you was aware of it instead of letting us run across it on some blog…

  92. “…letting us run across it on some blog…”

    Wha? Wha? Sputter, spit. SOME BLOG? I pour my soul into providing enlightenment and entertainment to Blogonia and you call it “some blog?”

    You sire, are no gentlemen. You may return only 27 more times this month as punishment for your lack of respect.

  93. Maurice… The IRS and banks did discuss sharing account information to make the direct deposit happen, but there were so many hurdles and difficulties encountered that there was no hope of it happening. So, yes, the IRS did pursue this course.

    Steve E… My earlier posts explained why we were unable to identify affected customers in a timely manner (some had to do with the fact that privacy/tax laws preclude us from mining tax return information).

    Bob Meighan
    VP, TurboTax

  94. I have to thank the VP of Turbo tax for quickly answering peoples questions, we will still use turbo tax in the future. And now instead of using our refund check now we will be able to put it to good use when we go on vacation in JULY! And today we actually received a letter from Turbo tax today saying that we won’t be getting it tomorrow-it sucks that we were kinda looking forward to having extra money. But people should not have depended on this money anyhow-it is extra money the gov is giving to us-so I’m sure when everybody does get it they will be just as excited to go out and spend it!~

  95. Jarrod… I think you’ve received a sufficient number of responses from me, but continually asking the same question over again is not going to get you a different answer. Insanity has been described as asking the same question and expecting a different answer. I trust you are not at this point. I’ve taken the time to respectfully respond to each of your questions and have done so honestly and transparently. Just because you don’t like the answer shouldn’t prompt you to call us liars. The facts are out there. You’re entitled to your opinion, but I’m at a loss on how you could have formed that opinion based on the data I’ve provided here.

    As for my opinion on the rebates, this is extra money for taxpayers. The income tax laws as they were written when tax year 2007 ended did not provide any provision for a tax rebate. None of the tax forms to my knowledge offer any calculation for the tax rebate. In fact, the tax liability reflected on the 2007 tax forms does not reflect anything about a rebate. As almost all politicians have suggested, rebates are extra money that they hope will be spent to stimulate the economy. I guess one could argue that once the law was passed, then maybe it is our money and not extra money. But I look at it as money that was not anticipated at the beginning of the year.

    We staggered the release of the email over two days. The balance will be going out tomorrow and I’m sure you’ll be very happy to read another message from me.

    Bob Meighan
    VP, TurboTax

  96. Pingback: Regulars: You Invited to Participate in Pranking Noobs to Going Like Sixty. | Baby Boomer Going Like Sixty

  97. Bob, the sooner the better the 16th deadline is today… Thanks for your time and effort in getting the confusion cleared up about all this mess! Ill see you next year when filing my taxes.

  98. What’s this Turbo Tax that you speak of? Doesn’t everyone have a MIL who has worked for H&R Block for more than 30 years who does their taxes for free every year?

    Or is that just me?

    Krissi’s last blog post..My Introduction to Elaine

  99. I find it utterly rediculous that so many people are ticked off that they will have to drive to the bank with their rebate checks rather than poof it in their account. Who gives a flip how you get it as long as you get it?

    If you all dont want to drive to the bank have them put my name on your checks and I will gladly drive them to the bank… ha ha

    as for Turbo Tax they make it so easy to file… and as long as I get my money sometime this year I’ll be happy…

  100. I got my deposit today…used TaxCut online. SO MUCH EASIER than stupid lame turbotax. TaxCut even saves your info for the next year, and charges your bank account directly instead of pulling it from your refund or debit card. ALL WITHOUT CRAP SOFTWARE! Use it next year!

    Suckers…

  101. @Big D: Of course, TurboTax has the online service too. And saves info too. Different strokes for different folks.
    TurboTax is always ranked higher by Consumer Reports and USA Today when they do their annual reviews.
    TaxCut is in the same boat as TurboTax when it comes to handling the stimulus check.

  102. Bob,
    I think you and Turbo Tax are doing a fine job.

    I have used turbo tax for years and it doesn’t matter to me how long it takes my check to get to me… I’m just going to spend it on my kids :)

    I hope you have a great weekend.

    Barbara

  103. interesting… i I aint get my stimulus check yet.. & i DONT OWE the IRS any money… & like i stated a couple days ago.. i efiled back in jan & paid with debit card & got a refund But no stimulus check as of yet! & TT aint emailed me about jack doo doo about anythang..i agree with JARROD!

  104. s due today but I haven’t received anything. It states on the site that deposits will be made until the end of the day.

  105. My number ends in 88, has anyone with those last two numbers received anything?

  106. Lolo… We don’t mail doo doo. However, we do email you if you are affected by the tax rebate issue. Based on your description of how you filed, you should be receiving a direct deposit. Please check the IRS’ schedule and give them a few days +-.

    Bob Meighan
    VP, TurboTax

  107. Bob what happens to line 74 a,b,c,and d.Am I understand this line is deleted or changed when transmitted to IRS ?

  108. Bob if you need to add a prompt on short notice next year my 16 year old could help you out.I chated with TT and recieved a refund confirmation # thanks,vacation in July instead of easy money on Big Brown today.

  109. Similar to a posing above but a tad different so I’ll just ask……

    ….filed with Turbo Tax (downloaded online, paid for with credit card)
    ….I owed this year and payed by check
    ….paid e-file fees with credit card
    ….checked box for direct deposit of stimulus check and provided checking account info (shows on printed copy)
    ….return accepted on 04/14
    ….last SS# digits are 41 (May 9th) and, obviously, no deposit yet and IRS site has no info

    It seems from the info that I have gathered that my direct deposit should have gone through but it hasn’t. Is it possible that even though I provided the deposit info that the IRS didn’t receive it or dumped it since my actual return didn’t get a refund? Am I missing something else or should I just assume that I was a “victim” of some other glitch.

    It’s not that big of a deal (as long as I eventually get it), I’m just curious as to why.

  110. Sorry for spell check miss…..

    “Similar to a posTing above but a tad different so I’ll just ask……”

    :-)

  111. Well, I’m not happy about my tax rebate being delayed. I was really upset because – like most everyone – I needed the money. But truth is I will continue to use Turbo Tax. Much better than paper filed – and refund check – going through a lot of different hands. And a lot faster too. As far as the SBBT fees go, I would still reather do that than use credit card or debit card online. Two instances of stolen/used cc and dc numbers that had been used online stopped us from doing that.

  112. Dave G…. If you chose to have your fees deducted from your refund, the temporary bank account that the bank created for you is sent to the IRS. When the IRS issues the refund, it goes directly to this temporary account. The bank then pulls out the fees, pays us, and remits the net refund directly to the taxpayer’s bank account.

    Shekkie… Sounds like you did everything right. However, the IRS’ schedule is based on returns accepted AND processed by April 14 (+-). I’m not positive if there really is a distinction between accepted and processed, but that may account for no rebate yet. Otherwise, you could be one of the 350,000 rebates that the IRS processed incorrectly. Check http://www.irs.gov for more information.

    Bob Meighan
    VP, TurboTax

  113. Bob Meighan your notification as to the problem with my stimulas check was a little on the late side if your company has known for as long as it has than every one should have been told much much earlier than you have. This is an irrespossible and bull*&^% low down corporate diseption and I will be sure to voice my displeasure with your company and from now on never ever use or endorse your products ever again but discourage people from using them. We have used your products for many years and this circumstance shows the level that corporate America will go to hide a error on their behalf. If your company would have just be up front with your customers and been more customer caring instead of a greedy good for nothing corporation.

  114. Anonymous… I appreciate your feedback. If you have not yet read the IRS and TurboTax FAQs that are linked from my email, please do so because it appears that you may not have all the facts.

    Bob Meighan
    VP, TurboTax

  115. So we got ripped off when we paid too much for TurboTax and now we are getting ripped off on our rebates(no direct deposit) because we used TurboTaxes system. I know Bob (or whoever he says he is) says it is not just TT, but I haven’t heard of any one else having a problem. Intuit would like to blame it on the IRS, but they are the ones that failed to give the IRS our bank numbers. As much as they charge for the software, there is no reason to rip us off for more money when we do direct deposit. The IRS will do it if they only would give them the numbers. Instead they use this Bank and temp accounts so they can rip us off for more money. It is shameful. Next year, I will use TaxCut or some other software.

  116. Angry TurboTax User… Your statements are absolutely incorrect. TurboTax and the banks did everything correctly and in accordance with your instructions. Over 350,000 taxpayers are affected by this and it is NOT unique to TurboTax.

    The best source for current information on the overall rebate program and payments is http://www.irs.gov “Rebate Payment Questions.” Also, the IRS issued additional information (May 7) on rebates that can be found at:
    http://www.irs.gov/newsroom/article/0,,id=182734,00.html
    http://www.irs.gov/newsroom/article/0,,id=182735,00.html
    For more information on TurboTax and rebates, please visit:
    http://turbotax.intuit.com/support/kb/tax-content/tax-tips/5961.html

    Bob Meighan
    VP, TurboTax

  117. My statements are not absolutely incorrect. It is true that other companies that rip their customers off with electronic filing fees are in the same boat as TurboTax if they used a intermediary banking company. What is true is there is no reason but greed for companies to do this. The IRS does not charge a fee for electronic filing. We are being overcharged for this by greedy companies like Intuit. After paying $79 for software, it is shameful to have someone charge you $29 for something that is basically free. It costs very little for that kind of electronic data to be sent.

  118. TurboTax Online charges NO FEE for electronic filing and never has. The majority of our customers use this online service. A smaller number still use the CD version of TurboTax where we do charge for electronic filing. However, the software generally costs less than the equivalent Online service. The IRS does not charge a fee for electronic filing because they don’t offer the functionality. Instead they offload this activity (and its support) to private enterprise.

    The $29 fee that you refer to is NOT an electronic filing fee. It is an OPTIONAL fee for an OPTIONAL service that customers can OPT to use. The fee allows you to use a bank to pay your TurboTax fee (or any type of fee) from the proceeds of your refund. Your alternative, and the one selected by almost all TurboTax customers is to pay the fee using a credit card. There is no fee for this.

    Additionally, some people mistakenly believe that this same fee is for the privilege of direct depositing your refund. Again, this is not true. TurboTax has never charged for the direct deposit of your refund into your bank account. Never.

    I hope these facts help people form their own opinions.

    Bob Meighan
    VP, TurboTax

  119. Bob, could you provide us with a breakdown on the percentage of users that paid with a credit card verus those that deducted their fees. You keep stating that the vast majority pay with credit card’s, but you provide no numbers to back this up. I bet that the numbers are not as high as you are implying. And please, do not post that you have no way of knowing. After compiling a lsit for the mass e mailing that went out, I’m sure that you have those numbers at hand.

  120. Jarrod… Yes, we do have that information, but we do not publicly disclose financial details at this level. This is consistent with our public reporting rules for publicly traded companies. I will stand by the statement that the VAST majority of our customers do NOT pay their fees from their refund.

    Bob Meighan
    VP, TurboTax

  121. hmm… wow a lot of posts on here. Here is the problem I have with the whole situation. I have been using Turbo Tax for several years.. Have never had a problem. My problem is that (2 Fold) I received a preliminary letter from the IRS approximatly 2 months ago. In this letter it stated I would be receiving a stimulous package. It went over how to calculate it and so forth. However, NO WHERE did it state that if you used a THIRD PARTY BANK (IE SBBT). You would get a check. It said.. Tax Return = DD … so SP = DD. I come to find it hidden on the IRS website 1 day before I am supposed to get my DD. Here is the kicker. Turbo Tax then sends me an automated email end of last week (two weeks AFTER I was supposed to have gotten it) letting me know that because I used my tax return to pay for my fees I am getting a check. I would not have a problem with any of this if I would have known BEFORE HAND.

  122. no need to call people stupid there are a lot of people looking to get their check to help them out so this site will educate them> I think it is a shame that we have to revert to calling someone stupid.

  123. Erich… I would not have a problem either if we had known about this BEFORE HAND too. And that is the issue. We did not know how the IRS would be processing the rebate checks either.

    Bob Meighan
    VP, TurboTax

  124. I complained on TurboTaxes website and they emailed me saying I am getting a $65 refund from them. I hope this is true because it would be a classy thing to do. TBH I don’t understand why they did not have SBBT reset up the temp accounts and have the IRS direct deposit into them. Bob, thanks for your convulsed explanation of why I didn’t pay for direct deposit. However, you still took money from me for it so …meh… I will keep you informed of whether I receive the refund from TT they promised or not. I know I asked for a refund from TT a few years ago when they put the c-dilla root kit (malware?) in TT to prevent copying. I had to get rid of my computer to get completely rid of it. I never got anything then. So, I won’t hold my breath.

  125. F.Y.I. BOB, i still aint get an “EMAIL aka DOO DOO” from ur lameass company!… ALSO no gd STIMULUS check as of yet!!!! for now on ima take ma ass 2 the mofo library & get a FREE 1040 form & do it ma gdself!

  126. I did dd to with tax brain i was to get my refund may 16 my number is 83. and i to have to wait until july 4

  127. From Bob Meighan’s Amazon blog, “If you selected direct deposit, look for the money in your account by April 25. An added bonus for those that selected direct deposit is that your Economic Stimulus rebate will also be processed by the IRS as a direct deposit.” http://www.amazon.com/gp/blog/A3OCVWHV411C0A

    Thanks, Bob. That information from April 15, 2008 shows us you are a man with the answers.

  128. Tell no lies… That was the situation at that time. Please refer to the press release dated May 7 from the IRS site.

    Bob Meighan
    VP, TurboTax

  129. From Bob Meighan’s Amazon blog April 9, 2008: “The last point I’ll make so you can get started on your own return is direct deposit. If you’re getting a refund, I highly, highly recommend you select direct deposit for your refund. This will shave off a few more days from the refund cycle and ensure that your refund is safely deposited in your bank account. As an added benefit of selecting direct deposit, the IRS will use this in processing your rebate (the Economic Stimulus rebate) in May.

    So enough said for tonight! You need to get started on your return and I need to do the same.http://www.amazon.com/gp/blog/post/PLNK1CXRHQ53V3HI3
    Thanks, Bob.

  130. “Tell no lies… That was the situation at that time. Please refer to the press release dated May 7 from the IRS site.

    Bob Meighan
    VP, TurboTax”

    So all those highly paid accountants and CPA’s like you at Intuit couldn’t figure out that the IRS could not direct deposit into the SBBT temp accounts because they did not exist anymore?

  131. I still have not got a e-mail from you guys @TT but I suppose it really does not matter any longer I know whats up now I did check Bobs blog and he does still have that old info up on his sight but you can tell his last post was on the April 15th deadline. Bob you might want to up date your blog to represent the current situation. BTW did I hear refund from TT?? LOL…

  132. Tell no lies… Those posts certainly reflect our understanding of the rebates at that time don’t they?

    Steve E… Make sure your the email is not in your spam folder or blocked by your ISP.

    Bob Meighan
    VP, TurboTax

  133. Will not be using TT next year. I think is amazing that on those forms you have to give every piece of personal information about yourself (minus your blood type) and they can’t figure out how to send out a simple post card explaining this ‘glitch’? Sounds like cost-cutting to me. Lack of communication will bring down the best of plans.

  134. Annie… This is not about cost cutting. It’s about being able to match up contact information to those who are affected while not running afoul of privacy rules protecting your tax return information.

    Bob Meighan
    VP, TurboTax

  135. Well the 16th has come and gone!! Im another one that 1st thing May 2nd went to my bank account only to fine it not there!! According to the IRS its suppose to be mailed “BY” the 16th. Well here it is the 20th and no rebate check!! Also the IRS on their website said something about the 23rd. AND if you dont get it by June 20th call them. …Till then dont bother them!!! BTW my SS # ended in 02. What a Rip off!! And yeah I used TT!!

  136. Cliff, I’m also waiting on the “check in the mail”, could you let us know when you do get it. My date is June 6th, I’m very curious about how long it will actually take. Also, if you go to https://sa1.www4.irs.gov/irfof/IRServlet?app=IRACTC, and enter your info, does it say anything useful? It just tells me “We are sorry. Specific information about your Stimulus Payment is not available, blah, blah, and blah”.

  137. Yeah, I’m one of those silly “let’s pay the bank more fees” and now I’m waiting for my paper check. (To be mailed out by June 6) I was VERY upset at first until I realized there was nothing I could do and sitting around and getting all upset about it wasn’t going to help anything. Of course by June 6th,the goverment may change their minds again and say something like….ok, anyone who banks at a certain bank will not be getting a paper check, now they will recieve gift cards to buy U.S.goverment coins, and you will be getting the gift cards in the mail before Christmas, the schedule will be the following: If you have a seven in your ss# you will be first, then if you have an 8, you will be second. Sorry went a little nutty there, I thought it was funny though….I mean I’m still waiting for $37,659 for child support from over 8 years ago and still haven’t seen a dime. But its going through “the state’s process”. Bottom line: Learned my lesson NEVER NEVER NEVER pay bank fees again to get my money from Turbo Tax faster!!!! Bob: THanks for sharing and is it true you guys are offering a little refund to customers for all the confusion? :) Happy Memorial Day Weekend!!!

  138. I too am waiting…I used TT, had my fees deducted and both deadlines for direct deposit and mailing have passed and I have no rebate. Has anyone in the same situation actually received their check? Irs website where’s my rebate tool tells me nothing. The only thing I ever got in the mail was a letter telling me I would have my rebate by the 23 of May. What a mess this is….

  139. I suppose I don’t understand the bigger picture, so I should not be upset, I should feel blessed to get the money, though still a lot of me feels angry cause I thought the whole time I did things right for the direct deposit, and like most set aside the money for a vacation, or what have you. Well this time it will be a few less beverages on this trip.

  140. I am not sixty. And not being sixty and financially responsible I chose to put certain things like food, and other small items on my credit/debit card. I spent freely ‘knowing’ my 600 dollars from the stimulus check was suppose to be deposited anytime the following week. I also quit my job and and got cashed out with 1500 dollars. Anyways I never put the 1500 in the bank. I kept it cash in my guitar case. 2100 dollars in May, not bad, I thought. No. I never got the 600 dollars, I still haven’t. instead I get an email from turbo tax to saying I will no be receiving the direct deposit. Beautiful. My SSN ends in 29(FYI).

    To make a long story short: I am now 720 dollars over balance on my bank account.

    I feel like shit.

  141. I just just like millions of other males out there detest this system, it can have its weak spots… get behind a day and definitely feel it virtually all year long, literally.

  142. Some one want to answer this??? My refund WAS on a turbotax card used yesterday… Same day Turbotax closed it with my money on it… Called and was told it was for my “security” Faxed everything to turbotax as asked still have my money locked up some one tell me what’s that about