Wednesday, April 18, 2007

Update: TurboTax failure

To update my earlier post on the TurboTax meltdown. You have to give people credit where credit is due. Intuit took care of my refunds almost immediately this morning. I don't think they could have done it any quicker.

Then the IRS did the right thing, and I never doubted for a minute that this would happen: No Penalty for Tax Filers Hit by Glitch.
Taxpayers who couldn't electronically file 11th-hour returns using Intuit Inc.'s TurboTax, ProSeries and Lacerte software won't be penalized for delays caused by the company's overtaxed servers, the Internal Revenue Service said Wednesday.

"We will do everything we can to assist taxpayers affected by the situation," said IRS spokesman Bruce Friedland. "If people couldn't e-file last night, we encourage them to file as soon as they can."

That's a no-brainer. The benefits to the government to e-filing are too large, and they would never want to do anything to discourage adoption. If the strategy is to use private sector providers then you can't punish the citizens when these entities fail to perform.

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