Oak Hill, WV (WOAY)- The Federal Trade Commission (FTC) is suing tax preparation company H&R Block over issues tied to its online free file option.
The FTC alleges H&R Block makes it difficult for consumers to downgrade to less costly packages, and it misleads many into thinking they qualify for free filing.
According to the FTC, to downgrade to a lower-cost option, customers must first contact customer service and then re-enter all of their tax data.
By contrast, the agency said the experience is hassle-free when consumers upgrade to a more expensive option.
The FTC also accuses H&R Block of deceptive marketing when advertising its online free-filing option, not making it clear who actually qualifies for the product.
H&R Block issued a statement saying in part, “The company has been committed to making the process of filing taxes accessible and more transparent for all.”
For more information on this lawsuit, visit FTC.gov.