Intuit has agreed to “evolve” away from their controversial “break-up” ad campaign after facing backlash from tax industry groups. The campaign featured ads portraying traditional tax professionals in a negative light, prompting organizations representing tax professionals to meet with Intuit and voice their concerns. The ads, which advised consumers to switch to TurboTax and promised to undercut what they paid their tax pro by at least 10%, upset many in the tax profession who viewed them as disrespectful.
Intuit, a multi-billion dollar financial technology platform that owns TurboTax, QuickBooks, and other services relied upon by tax professionals, faced criticism for the ad campaign. Tax pros were unhappy with the portrayal of traditional tax professionals and worried about the reputational hit. As Intuit shifts away from the low end of the tax prep market, it is increasingly relying on high-end services and referrals from tax professionals. The National Association of Tax Professionals (NATP) and other tax groups criticized the campaign for its disrespectful message and announced that Intuit’s sponsorships would no longer be accepted at their conferences.
After meeting with tax pro organizations, Intuit announced that it would phase out the ad campaign. While some in the tax profession appeared relieved by the decision, others remained skeptical about Intuit’s intentions. The American Institute of Certified Public Accountants has not yet joined the discord but indicated that it would be releasing a statement regarding the campaign. Intuit stated that it would “evolve” its current campaign to ensure the benefit of filing with a tax preparer is crystal clear and will continue with the shared goal of delivering financial benefits and complete confidence to tax filers.
The IRS has been expanding programs like Direct File and Free File in an effort to provide free filing options for eligible taxpayers. TurboTax dropped out of Free File two tax seasons ago amid controversy over whether it was directing taxpayers to paid services instead of free ones. Intuit’s revenue from its consumer tax group grew 7%, driven by growth in TurboTax Live, which includes human assisted and full-service products. As Intuit moves away from the low end of the tax prep market, it is increasingly relying on high-end services and referrals from tax professionals, making the recent ad campaign particularly offensive to many in the tax profession.
Despite some relief in the tax professional community over Intuit’s decision to phase out the controversial ad campaign, concerns remain about the company’s future actions. The National Association of Enrolled Agents (NAEA) and the California Society of Enrolled Agents (CSEA) expressed disappointment with Intuit for the disrespectful message in their ad. Intuit’s decision to evolve the campaign comes after facing criticism and backlash from tax industry groups, signaling a shift in approach for the company moving forward.
