SUBMIT A COMPLAINT

TurboTaxscrewed up direct deposit/irs will now send hard check

Review updated:

I wanted to report that Turbo Tax had a major glitch in their system for people who used the program and had their refunds direct deposited to their account. Turbo tax is trying to keep this quiet but it’s a major problem. Basically everyone who wanted to have their refunds direct deposited is now going to be getting a live check from the IRS. Turbo tax did not inform anyone who used the program of this problem. I stumbled upon this problem last night when checking the status of my Federal refund at the “Where’s My Refund” link I found at the IRS website. I was surprised to see that it said a hard check is going to be mailed. I then contacted the IRS and they told me that my return didn’t have any banking information (Account number and routing number to my checking account at Bank of America) even though the printed copy of my return clearly has that information. I then contacted turbo tax, stayed on hold for more than an hour, and was then told by the representative that turbo tax had a major glitch and that they are trying to resolve this issue.See Top 10 Worst Companies in Woodbridge, VAThey could not say how they were going to resolve this problem and basically was told I would just have to wait. It’s a widespread problem now since they even created a link for people affected by this to sign up their contact information so they can be contacted by Turbo tax. They said 24 hours but I have not received a call or email from them yet. I will include the link below.
I am hopeful that Fox News will do a segment on this on the news or online. I think it’s unfair for Turbo tax users to pay all of those fees for Turbo tax to just basically screw them and not notify them of this major problem. I am hopeful that once this information is brought to the public that they will then be forced to take action to correct the problem. I am moving overseas in 2 days and will be living overseas permanently. I have no forwarding address here in the US and mail is not forwarded overseas by the USPS. I have no idea now what’s going to happen to that live check being mailed now by the IRS and how I am supposed to pay to call Turbo Tax and the IRS to find a solution to get the money deposited into my account.

Sort by: UpDate | Rating

Comments

  • Ro
      Feb 03, 2011

    I forgot to add the link with my complaint above. Here it is:

    http://turbotax.intuit.com/support/iq/Tax-Refund/I-chose-Direct-Deposit-but-the-IRS-site-shows-I-will-be-getting-a-check/SLN45513.html

    I have also contacted Turbo Tax for the last two days. Basically I am just getting the run around. One agent and one supervisor said that it's a mistake by Turbo tax, the second agent who answered also verified that it's a major mistake. The third agent I talked to this morning said I'm basically f'cked and I will be getting a live check. Of course I got pissed and told them to go "f" themselves for taking customers money to file their taxes and get screwed with no support for their mistake. I will paste the emails I got from them below.


    Support | Order Status | My Account
    QuickLinks
    Automatic Renewals
    My Downloads
    TurboTax eNewsletter!
    Stay up-to-date on the latest tax law changes, get helpful tax tips and useful tax information via email. Learn More
    Tax Tips & Resources
    Get tips, information and answers to your tax-related questions, visit www.turbotax.com.
    Dear Ronald Bassi,


    Thank you for contacting TurboTax Help and Support. You called requesting assistance regarding the following issue:

    IRS told customer that his refund is being mailed to him as a paper check-- he selected "direct deposit" and has double-checked that his account information and routing number are 100% accurate-- he elected to have his TurboTax fees deducted from his federal refund--- CUSTOMER IS LEAVING THE COUNTRY VERY, VERY SHORTLY (02.05!) FOR AN INDEFINITE PERIOD OF TIME AND NEEDS TO BE CONTACTED REGARDING A RESOLUTION ASAP.


    These are the actions we took to assist you in resolving your issue:

    We had you submit the relevant form on the TurboTax website and asked that if Intuit doesn't contact you within 24 hours, to please contact us again to check on the status of your problem's resolution.(http://turbotax.intuit.com/support/iq/Tax-Refund/I-chose-Direct-Deposit-but-the-IRS-site-shows-I-will-be-getting-a-check/SLN45513.html)


    You may receive a survey from us through e-mail in approximately 24 hours asking you about my performance on today's contact, as well as comments you may have in regards to the TurboTax product. So we can continue with our promise to provide our customers with the best support available, please take a few minutes to complete the survey.

    Thank you,

    TurboTax Customer Service
    http://www.turbotax.com/support


    Please note: This e-mail was sent from an auto-notification system that cannot accept incoming e-mail. Please do not reply to this message.


    Dear Ronald Bassi,


    Thank you for contacting TurboTax Help and Support. You called requesting assistance regarding the following issue:

    IRS told customer that his refund is being mailed to him as a paper check-- he selected "direct deposit" and has double-checked that his account information and routing number are 100% accurate-- he elected to have his TurboTax fees deducted from his federal refund--- CUSTOMER IS LEAVING THE COUNTRY VERY, VERY SHORTLY (02.05!) FOR AN INDEFINITE PERIOD OF TIME AND NEEDS TO BE CONTACTED REGARDING A RESOLUTION ASAP.


    These are the actions we took to assist you in resolving your issue:

    We had you submit the relevant form on the TurboTax website and asked that if Intuit doesn't contact you within 24 hours, to please contact us again to check on the status of your problem's resolution.(http://turbotax.intuit.com/support/iq/Tax-Refund/I-chose-Direct-Deposit-but-the-IRS-site-shows-I-will-be-getting-a-check/SLN45513.html)


    You may receive a survey from us through e-mail in approximately 24 hours asking you about my performance on today's contact, as well as comments you may have in regards to the TurboTax product. So we can continue with our promise to provide our customers with the best support available, please take a few minutes to complete the survey.

    Thank you,

    TurboTax Customer Service
    http://www.turbotax.com/support


    Please note: This e-mail was sent from an auto-notification system that cannot accept incoming e-mail. Please do not reply to this message.


    Dear Ronald Bassi,


    Thank you for contacting TurboTax Help and Support. You called requesting assistance regarding the following issue:

    IRS told customer that his refund is being mailed to him as a paper check-- he selected "direct deposit" and has double-checked that his account information and routing number are 100% accurate--


    These are the actions we took to assist you in resolving your issue:

    http://turbotax.intuit.com/support/iq/Tax-Refund/I-chose-Direct-Deposit-but-the-IRS-site-shows-I-will-be-getting-a-check/SLN45513.html


    You may receive a survey from us through e-mail in approximately 24 hours asking you about my performance on today's contact, as well as comments you may have in regards to the TurboTax product. So we can continue with our promise to provide our customers with the best support available, please take a few minutes to complete the survey.

    Thank you,

    TurboTax Customer Service
    http://www.turbotax.com/support


    Please note: This e-mail was sent from an auto-notification system that cannot accept incoming e-mail. Please do not reply to this message.

    0 Votes
  • Ro
      Feb 03, 2011

    Up to now no calls or further update emails from Turbo Tax. For all of those tax filers out there thinking of using Turbo Tax, I am not saying they will screw up on your returns and direct deposit of refunds like they did on mine. But this is something you need to keep in mind. This is a major problem for me due to my permanent move overseas. I can speak for myself that if I had an option to use another tax service if I knew of this problem beforehand, I'd use their competitors instead.

    0 Votes
  • Hl
      Feb 03, 2011

    This is just great! The same thing has happened to me. I opted for direct deposit and then the Where's My Refund site stated my check will be mailed next Friday. I need that money now! I was supposed to get direct deposit tomorrow! I am about to be evicted from my home and I told my leasing agency I would pay them tomorrow. When were you supposed to get your direct deposit? I called the bank the turbotax uses and they told me it was just a glitch in the computer but my refund is still scheduled to go in tomorrow. I hope this is true!

    0 Votes
  • Ro
      Feb 03, 2011

    To: hlw1214

    I am supposed to get my refund tomorrow. This is a widespread problem. I have already contacted Fox News and CNN about this but have not heard anything from them yet. I am pretty much on the same boat as you. I even contacted the IRS Tax Advocacy Hotline asking them if anything can be done. Some person over there wanted me to get a Power of Attorney to sign over my refund to someone I don't know at the US Embassy overseas. I was like are you freaking insane? Anyway, good luck to us both.

    0 Votes
  • Ro
      Feb 03, 2011

    It's official. Here's the letter I got from those ### from Turbo Tax.

    Dear Ronald Bassi,

    You recently used TurboTax to file your 2010 tax return. At that time, you elected to pay your TurboTax fees from your federal tax refund and have the rest of your refund directly deposited into your bank account.

    The IRS has successfully processed your return. However, as a result of a TurboTax processing error, the IRS is unable to direct deposit your refund. Instead, you will receive your refund by check in the mail.

    The IRS will mail your check approximately one week after the day you were scheduled for direct deposit. Depending on when you filed your return, you may have already received your refund check by mail. If not, you can check the status of your refund at www.irs.gov by clicking on the "Where's My Refund?” link.

    We apologize for the inconvenience and unanticipated delay. Of course, we are waiving all your TurboTax fees.

    We understand that getting your maximum refund back fast is one of the reasons you choose TurboTax. We know we must do better to meet your expectations. Please be assured that we have fixed the error and taken steps to ensure this does not happen again.

    If you have any questions, please let us know. You can reach us at [protected] or via the Contact Us link at www.turbotax.com.

    Bob Meighan

    VP, TurboTax

    My message to turbo tax is this. Are they going to send someone here at my now vacated condo to receive my check. I am moving overseas you f'ing ass_s. I promise you this. Next year it will be H&R Block or Tax act. Also make sure you all remove me from your email list like I have requested from your website.

    0 Votes
  • Hl
      Feb 03, 2011

    I just got that letter too. The thing that really pisses me off is I called Turbotax and SBBT like 2 hours before getting that e-mail and both said I should be getting my refund tomorrow and not to worry! Such liars!

    +1 Votes
  • Lu
      Feb 04, 2011

    Received the same email ! This is really ridiculous! how can a company as huge as Intuit keep making such childish mistakes!? Yeah yeah, I know someone will say, well they are human. True, but it gets really really ridiculous when stuff like this keeps repeating itself! I mean, its gradually becoming a norm that some Intuit product will have a major crash (be ithe merchant processing, QB update errors, Turbotax errors...I mean COMMON! EPIC FAIL INTUIt, EPIC FAIL!!!

    0 Votes
  • Ki
      Feb 04, 2011

    I just received the same email. I was suppose to have my taxes direct deposited tomorrow and receieved the email from turbo tax an hour ago. When I looked on the Irs website it says that due to processing delays I could expect my refund on February 22nd.

    0 Votes
  • 4l
      Feb 04, 2011

    Well I'm in the same boat as well as thousands of other innocent people. I just got an email from Turbotax stating that it IS IN FACT THEIR FAULT. They apologized and said that the checks will be mailed from the IRS to us via a check and of course the fees will be waived...Is this supposed to make us warm and fuzzy inside??? I'm Not thinking so!!!
    ~4littlegirls

    0 Votes
  • Ju
      Feb 04, 2011

    I had the same thing happen. Only now when I go to check my refund status on the IRS website, it says it's not even available. Where did it go to ? This is absolutely ridiculous!

    0 Votes
  • Fd
      Feb 04, 2011

    This is all very interesting. When I filed my taxes with TurboTax the 3rd week of January, when I tried to use my routing number and check account number, I received a message stating BofA required ACH clearing account number and to call BofA. I opted to take the check, instead. Looks like they still haven't fixed their software issue.

    0 Votes
  • Pd
      Feb 04, 2011

    I also received the email with apologies about the processing error. I called there customer service and was told that I have to wait for a check to be mailed. I was supposed to receive my refund via direct deposit 02/04/2011. Now it's going to be mailed. I am not using turbo tax ever again. In addition to all of this, I didn't receive the email from turbo tax about the glitch until one day I was supposed to get my refund. If you call the IRS they will say that they never received any Bank Account info to process a direct deposit request. What Bullsh*%

    0 Votes
  • Un
      Feb 04, 2011

    Same here-numerous bills were to be paid this weekend due to the expected refund deposit that won't come for 2 weeks now. My car will be repo'd, and checks will bounce. Turbotax sux and I will NEVER use them or ANY Intuit product. Each year something is screwed up in turbotax, but I was always able to work around it. This year they finally managed to screwup my life completely.

    0 Votes
  • Mi
      Feb 04, 2011

    I am also very disappointed. I could almost understand a delay if it were the IRS's fault. But I TRUSTED Turbotax and PAID for the convenience. If I was ok waiting WEEKS for the refund I would have FILED A PAPER FORM! Thanks TT.

    0 Votes
  • Ma
      Feb 05, 2011

    The same thing happened to me. Turbotax has affected so many peoples lives on so many different levels, that the total damage caused by this mistake can never be measured. Turbotax has forever tarnished their reliability factor. And It has affected my life in such a way that I hope Turbotax feels the ill effects and never recovers.

    0 Votes
  • Ga
      Feb 06, 2011

    I went to Aspen Dental in Norwalk, CT. During the cleaning / checkup, the woman repeatedly stuck her needle shaped scraper into my gums. I thought she was just clumsy, but then the dentist came in and showed me my bleeding gums and claimed that I had gum disease. Naturally, I got out of there as quickly as I could. Don't go to Aspen Dental. They're dishonest at best.

    -1 Votes
  •   Feb 07, 2011

    obviously the iphone is superior to the android. it's sad that you trolls insist upon arguing otherwise. FACE IT noobz iphone rulz!

    -2 Votes
  • Bi
      Feb 07, 2011

    WOW! The same thing has happened to me with Turbo Tax's Direct Deposit "glitch". Apparently, they didn't submit any direct deposit bank account information when they submitted your taxes to the IRS. The really dumb part is, it was THEIR bank account info, not ours...how careless and irresponsible of them. I am now stuck waiting a few extra weeks for a paper check to be mailed. Sadly, this was my first time ever using their product... and you can be sure it will be my last. These people write tax software? Really? I am extremely disappointed in their abilities.

    0 Votes
  • Ma
      Feb 08, 2011

    My biggest problem is that I think they knew about it for awhile so they could've told us before 2/3. TT said refund would be dd on 2/4, but wmr/irs said 2/15 from the start.The bank that deductions were going through had a problem with their security certificate so I got nervous and tried to change it. Spent 2 hours with a a tt employee with less intelligence than an apple, only stating she didn't know why the different dates, but it would be dd on 2/4. I called irs right after and they had no information on my taxes other than it was accepted and they had no dd information on it so it would be mailed.

    0 Votes
  • Po
      Feb 08, 2011

    This worries me. The IRS site is still telling me that I should get my direct deposit tomorrow, so we will see.

    Though I cannot find any information about my state refund (but I never was able to).

    0 Votes
  • Jb
      Feb 11, 2011

    Same thing happened to me. Like many others I had key expenses pending receipt of the tax refund. I know, I know - shouldn't spend it before you get it but after being unemployed for six months last year savings is down and debt is up!! I made key cashflow decisions based on their information. The late notice, especially if they were aware in advance, is inexcusable. Grounds for Class Action?

    +1 Votes
  • Po
      Feb 11, 2011

    I wanted to update you all and let you know that I did get my tax refund direct deposited to me yesterday as I was scheduled to. I guess I'm one of the luckier individuals.

    +1 Votes
  • Tr
      Feb 11, 2011

    I am an over the road truck driver. I typically take time off once every few months. TT said the money would be DD today, so I planned time off accordingly. Now I'm getting a paper check also. 10 years of using TT, and I will join the thousands that will never use TT again. Trying to be home to take care of a paper check will cost me more than the refund. There goes my plans. Glad life was already screwed up. I would expect nothing less.

    0 Votes
  • Ti
      Feb 11, 2011

    I will never use Turbo Tax again. This was my first year using it and never will I use them again. I do think this is a cause for class action because people were effected by this error. People were depending on THEIR money to be in THEIR account when TT said it would be. And then they notifiy us a day before we are expecting the refund to tell us its going to be mailed a week late. Not direct deposited, but MAILED. Which means it will take us even longer than a week to get the live check. How could you expect anyone not to be upset about this situation?

    +1 Votes
  • Cl
      Feb 12, 2011

    We bought a house in June 2010 that came with a free (to us) one year home warranty from 2-10. The first time we called them, for minor electrical work, we were shocked to find we had to pay $90 each and every time someone from 2-10 came to our house. And we were told that even when we paid the $90, the company would not pay for repairs it determined were pre-existing or not covered for a variety of mysterious pseudo-reasons. We would not get our $90 back. Sometimes, the repair was not covered because some parts of an appliance are covered and some aren't. No way to tell until we pay the $90 (non-refundable) to have someone look. Right now, we have a dishwasher that a repairman already has been out to fix once. Cost to us: $90. Now the machine is malfunctioning again and we paid another $90 for a contractor to come out a second time. Machine was leaking water. Cost of fixing it, according to the contractor was about $250. Company still says it will repair rather than replace. Today, 2-10 called to say they would "buy us out, " that is wash their hands of the dishwasher and pay us to buy a comparable machine. The buyout amount? $85. Not a joke. Machine is old and likely will break down again before long. But $85 will not buy us a comparable new machine. We also are having a terrible time trying to get the company to deal with a wather heater that one contractor said could blow at any time. One contractor came out and said he was not qualified to work on our solar water heater, two others did not bother to come out. 2-10 said to call the company listed on our unit, but they have yet to return our call. Meanwhile our water is getting cooler by the day, and there is less hot water. This is really a nightmare. Who invented these home warranty companies, and why are they allowed to go on preying on the public?

    -2 Votes
  • Jm
      Feb 12, 2011

    The direct deposit option worked fine for me.

    0 Votes
  • Ma
      Feb 12, 2011

    This isn't much help for the OP (sorry), but the rest of you should consider changing your account numbers, as much of a pain in the ### that would be. I realize there's been no data security breach mentioned, but it sounds like they have a track record of absolute carelessness with people's banking information, and no ability to fix their problems.
    OP, obviously you're screwed, but hopefully you have friends here who can babysit your mailbox if it's not there before you leave? I sure wouldn't depend on TurboTax to safely and competently handle any forwarding on its end.

    0 Votes
  • Ta
      Feb 14, 2011

    Experienced the same issue. This has had a devastating effect on bills that were currently due as well as my relationship with my landlord. While refunds should not be counted on as a primary source of bill payment, sometimes they are desperately needed. I trusted that Turbo Tax had it's info in order as well as trusted them with my personal info. I am not still waiting on a hard check when my direct deposit was suppose to already be in the bank. I have 4 mouths to feed..no gas in my car, and was late on rent this month. All results of the money not being there when anticipated. Major Turbo Tax fail.

    0 Votes
  • Ks
      Feb 15, 2011

    I just filed my return last week, so keeping fingers crossed that I won't experience the above, however, I do already see a "delay due to processing" on the IRS site, and they moved my refund date to 3/1 (and was supposed to be 2/18). Think any chance I will still get it on 2/18? I'm like a majority of you who is counting on it for bills and things for my kids. Can't really wait til 3/1.

    0 Votes
  • Mm
      Feb 16, 2011

    my husband and i were also affected by this turbo tax issue. It's really bad for us because we counted on getting it on time. we just put in a deposit for a new apartment that we are going move into and we still have to give first months rent by march ninth. We were counting on our taxes to pay for the rest of our moving expenses. We were supposed to have gotten our taxes on feb 4th. Now they are saying they mailed it last fri. but still no check. They pushed the date up 3 times already. What is really going on???? turbo tax never again!!!

    0 Votes
  • Bi
      Feb 20, 2011

    I also was hit by this problem and can't believe they are getting away with this. I try to call and get "We are sorry, we are closed for a meeting." Are they serious? I wish someone would file a class action lawsuit as I would sign the papers in a second. Never again will I use thier service. At least H&R block has offices you can actually go and talk to someone. They won't even let me talk to anyone about it. And Iam supposed to feel safe they have my banking info.? I hope something is done about this huge mess up.

    0 Votes
  • Sa
      Feb 20, 2011

    I too am affected by this screwup. I think Turbotax should give us part of the money we paid them as fees. This is only fair to do because we made plans based on the assumption that direct deposit will happen in the said timeframe. Now am set back by around 2 weeks time and this has caused financial loss to me. If Turbotax is not going to make amends, next year I wont even look at them for filing my taxes.

    0 Votes
  • Lu
      Feb 26, 2011

    Electronic Filing Fee $62.40
    University Bank Refund Processing Fee: $29.95
    Applicable State Taxes: $4.37
    Total Refund Deductions: $96.72
    FYI Turbo tax thinks they are charging me all these fees and crediting 30.00 I am not paying for a electronic filing fee when then did not hold up to there part also they are trying to charge tax on top of my taxes $4.37.
    They put you on hold forever have no answers just a run around did my taxes in January it is now March in 2days and I didnt even get a phone call, email, or a letter from them stating that there was a problem. No other tax places online or in person are having this problem. Just saying...

    0 Votes
  • Ve
      Feb 27, 2011

    My 24 hour window from tt started @ 2 today... I called the irs and my bank wednesday cause I knew we were due our taxes this week. The irs said my direct deposit was funded and my bank needed to clear my payment. My bank said returns were processed Friday after I had told them what the irs had to say. I thought since I knew my direct deposit info was correct, I set bills up to pay on Monday. I never got an email informing me of turbo taxes error. Now I'm really screwed and my acct will go red on monday.

    0 Votes
  • Ve
      Feb 27, 2011

    Ps the PO has a premium fwding service that might help your situation.

    0 Votes
  • Sa
      Mar 01, 2011

    I don't know what to do, what exactly happened? I was supposed to receive my refund on the 25th of Feb, then it was delayed to march 1, and now it says march 15! I'm so screwed, i dont know what to do...please someone give me some accurate info so I can understand.

    0 Votes
  • Al
      Mar 11, 2011

    I have used Turbo Tax for over 10 years, the last 3 years have been awful with issue after issue reporting incorrect information to doubling figures on forms. I am looking into another company for my 2011 return.

    0 Votes
  • Co
      Mar 11, 2011

    I am going through the same thing thanks to TT, has anyone that used TT this year recieved their refund yet?? and if so did it actually come via DD or mail?

    0 Votes
  • Ja
      Apr 15, 2011

    I filed through TurboTax on February 25th. I was informed the next day(26th) that my return had been accepted. A few weeks later I used the "where's my refund" application on the IRS website and it said that my refund had been directly deposited into my bank account on March 11th. I checked my account and there was no refund. I took my return to the bank to confirm that I had entered the correct account information, which I had.

    When I got home, I called the IRS. After waiting on hold for 30 minutes I finally get ahold of a woman who basically washes her hands of the issue and tells me to call TurboTax because it's their problem. I called the TurboTax hotline where I was greeted by a machine which walked me through a bunch of options that didn't pertain to my problem. I repeatedly said "representative" and the machine kept transferring me back and forth to other machines. Finally I hung up and logged onto their online live support.

    After waiting another 15 minutes a representative finally comes on and after reviewing my issue, he washes his hands of it as well and gives me yet ANOTHER agency to call. Apparently if you choose to have your TurboTax fees deducted directly from your refund, they send it to another 3rd party to deduct the fees and then send you the money.

    Called this 3rd institution who informed me that they had deposited my refund(less the turbotax fees) on March 14th(which they didn't). Now they are doing a trace of my refund, and unlike you, on the IRS website it still claims that my refund was deposited into my account.

    Does anyone know how I can dispute the fees TurboTax took out of my refund? I REFUSE to pay them any sort of fee for the trouble I've had to go through and I will be filing my taxes on my own from now on because the service I have been receiving is disgraceful.

    0 Votes
  • Dc
      Apr 22, 2011

    I have used TT for more than a decade. This year I had my simplest return ever. The only taxable income I had was four Roth conversions. But despite such a simple return, TT was garbage, not my data entry. Something seemed wrong. I was getting more taxable income on the Roth conversions than the total amount I converted. After nearly 6 hours and finally reaching level 3 support, I was told "we're sorry, but it does appear that TT cannot process a 401k to Roth IRA AND a 401k to an in plan Roth 401k in the same year." I would have gotten charged $2000 more in tax if I had not caught the error. I'm still trying to see if I can work around the issue. Otherwise I will need to do this one by hand. In the mean time, I had to drive 100 miles round trip to file an extension at 10 pm. Anything thrown in a garbage can no matter how perfect, becomes garbage. This year TT was a garbage can. I am so p.o.'d at you guys right now.

    0 Votes

Post your comment