FTC sues Intuit to stop 'bait-and-switch' TurboTax ads

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FTC sues Intuit to stop 'bait-and-switch' TurboTax ads
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The Federal Trade Commission is suing TurboTax maker Intuit, saying its ads for “free” tax filing misled consumers

The consumer protection agency said Tuesday that millions of consumers cannot actually use the free tax-prep software option — two-thirds of tax filers in 2020. They are ineligible, the agency says, if they are gig workers or earn farm income, for example.

The agency says Intuit has for years focused on the word “free” in its ads, running them during major events like the Super Bowl. The FTC has asked a federal judge to order Intuit to stop what it said were Intuit’s deceptive ads during the rush of tax season. This year’s tax filing deadline is April 18.The FTC voted 3-1 in favor of filing the suit. The FTC complaint was filed Monday in U.S. District Court in Northern California.

In a Tuesday filing, Intuit said it had already removed ads that the FTC says were deceptive after meeting with

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