UNITED STATES OF AMERICA

BEFORE THE FEDERAL TRADE COMMISSION

COMMISSIONERS: Lina M. Khan, Chair

Rebecca Kelly Slaughter

Christine S. Wilson

Alvaro M. Bedoya

DOCKET NO. 9408

ORDER DIRECTING FURTHER PROCEEDINGS AND SPECIFYING FACTS 

WITHOUT SUBSTANTIAL CONTROVERSY

Pursuant to Rule 3.24(a)(5) of the Federal Trade Commission’s Rules of Practice, 16 

C.F.R. § 3.24(a)(5), the Commission hereby directs further proceedings in this action and 

specifies the facts that appear without substantial controversy. The Initial Decision’s findings 

of fact may supplement and modify the facts specified, as appropriate, to reflect additional 

detail and the resolution of factual disputes. Accordingly, 

IT IS HEREBY ORDERED THAT the evidentiary hearing in this proceeding will 

commence on March 27, 2023, at 10:00 a.m.; and

IT IS FURTHER ORDERED THAT the following facts shall be deemed established 

for purposes of this proceeding:

1. Respondent Intuit Inc. is a Delaware corporation with its principal place of 

business in Mountain View, California. Compl. ¶ 1; Answer ¶ 1.0F

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1 We use the following abbreviations for documents in this Order:

Compl. Complaint (Mar. 28, 2022)

Answer Answer and Affirmative Defenses of Respondent Intuit Inc. (Apr. 14, 2022) 

CCSF Complaint Counsel’s Statement of Material Facts as to Which There Is No 

Genuine Issue for Trial, appended to Mot. (Aug. 22, 2022)

GX Complaint Counsel’s exhibit

RCCSF Respondent Intuit Inc.’s Statement of Material Facts as to Which There Exists a 

Genuine Issue for Trial, Part I: Respondent’s Response to Complaint Counsel’s 

In the Matter of

Intuit Inc., 

 a corporation.
PUBLIC

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2. Respondent advertises, markets, promotes, distributes, and sells TurboTax, a 

commonly-used online tax preparation service that enables users to prepare and 

file their income tax returns. Compl. ¶ 4; Answer ¶ 4. 

3. Intuit offers a free version of TurboTax. The free version was called “Federal 

Free Edition” for tax year (“TY”) 2016 and “TurboTax Free Edition” thereafter. 

CCSF ¶ 6; RCCSF at 9; Answer ¶ 13.

4. Free Edition is available to taxpayers with “simple tax returns,” as defined by 

Intuit. Answer ¶ 14; RSF ¶¶ 2-3; CCRSF ¶¶ 2-3.

5. Many taxpayers do not have “simple tax returns,” as defined by Intuit, and so do 

not qualify for Free Edition. Compl. ¶ 6; Answer ¶ 6; RSF ¶¶ 2, 13; CCRSF ¶¶ 

2, 13.

6. For consumers whose returns are not considered “simple tax returns,” as defined 

by Intuit, Intuit offers paid TurboTax products. For instance, consumers with 

mortgage and property deductions, charitable donations over $300, itemized 

deductions, unemployment income, and education expenses can file their taxes 

using TurboTax Deluxe. Consumers with investment income and rental property 

income and refinancing deductions can file using TurboTax Premium. And 

consumers with expenses from self-owned businesses can file their taxes using 

TurboTax Self-Employed, the most comprehensive TurboTax product. RSF ¶ 4; 

CCRSF ¶ 4.

7. Customers who are not eligible for Free Edition may begin preparing their taxes 

in that product. Upon entering disqualifying information, they are presented 

with a screen that informs them that they will need to upgrade to a paid product 

capable of supporting their tax needs in order to continue using TurboTax. RSF 

¶ 64; CCRSF ¶ 64; Golder Decl. ¶¶ 128, 130, 133; Compl. ¶ 45; Answer ¶ 45.

8. Intuit has promoted its free offering through multiple advertising channels, 

including television, the TurboTax website, social media, and paid search

advertising. Ryan Decl. ¶¶ 18, 20, 23-26; RSF ¶ 36; Answer ¶ 21; see also 

CCSF ¶¶ 18-24; RCCSF at 9.

9. For example, in one television ad, a voiceover states, among other things, “you 

can file on TurboTax for absolutely nothing.” RX 200. In another set of 

Statement of Material Facts as to Which There is No Genuine Issue for Trial

(Aug. 30, 2022)

RSF Respondent Intuit Inc.’s Statement of Material Facts as to Which There Exists a 

Genuine Issue for Trial, Part II: Statement of Material Facts as to Which There 

Exists a Genuine Issue for Trial (Aug. 30, 2022)

RX Respondent’s exhibit 

CCRSF Complaint Counsel’s Responses and Objections to Intuit Inc.’s Statement of 

Material Facts as to Which There Exists a Genuine Issue for Trial
PUBLIC

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commercials, “free” is essentially the only word spoken by the actors, until the 

voiceover at the end states, “That’s right. TurboTax Free is free. Free, free free 

free.” See, e.g., GX 299; GX 328; GX 329; GX 331; GX 332; GX 348; GX 350;

GX 356.

10. Many of Intuit’s ads contain a written disclosure indicating that the offer is 

limited to consumers with “simple tax returns” or “simple U.S. returns only” or 

similar verbiage. RSF ¶¶ 5, 20, 22, 25, 27, 28, 30, 31, 36, 38; CCRSF ¶¶ 5, 20, 

22, 25, 27, 28, 30, 31, 36, 38. Some television or video ads also include audible 

references to “simple tax returns” or “simple returns.” See GX 307; GX 309; 

CCSF ¶¶ 114, 116; RCCSF ¶¶ 114, 116. 

By the Commission.

April J. Tabor

Secretary

SEAL:

ISSUED: January 31, 2023