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TurboTax has been lobbying to make taxes more difficult for years in order to make money off tax-paying Americans, and they're finally going to pay for it thanks to a class action lawsuit which will put money back in the pockets of some customers.

The $141 million settlement stems from Intuit, TuboTax's parent company, using the classic bait-and-switch tactic of offering free tax prep heavily in its advertisements. As anyone who's ever used the software for filing their taxes is aware, it's hardly ever free, and that's because TurboTax tricks customers into paying for its services instead of steering eligible tax payers to federally supported free filing services. 

Who is eligible for the TurboTax settlement money?

About 4.4 million Intuit customers are eligible for a settlement payment. To receive money, you must have paid to use TurboTax in the 2016, 2017, or 2018 tax years while also being eligible for an IRS free file program. 

To qualify for the IRS free file program in 2016, you would have needed to make $64,000 or less. That means that TurboTax told its lowest-income customers that they were not eligible for free filing, and instead directed them to pay for tax preparations, lining their own pockets. 

How to Get Your TurboTax Settlement Money

Unlike most class action lawsuit settlements where you have to sign up and provide proof that you qualify, getting your money from Intuit will be easy: You don't have to do anything.

@dukelovestaxes Replying to @Diana Saetern TurboTax emails have started to go out #taxtok #taxnews #taxes #tax #dukelovestaxes #turbotax ♬ original sound - Duke Tax

If you're eligible based on Intuit's records, the settlement fund administrator will email you with the approximate amount you'll be receiving. Then they'll mail you a check automatically throughout May 2023, so watch your inbox and your mailbox this month.

How much money you get from the settlement will depend on how many years you qualified. According to the settlement website, most people will get between $29 and $30, while some, who qualify for all three years, could get as much as $85. 

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While it's not exactly a windfall — and it only makes us even angrier with TurboTax and America's screwed-up lobbying system — an unexpected check in any amount is always a welcome sight.

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