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In this April 18, 2016 file photo a person looks at Intuit TurboTax software on display at a retailer in Foster City, Calif. (Peter Barreras/AP Images for Turbo Tax Via AP)
(CN) A federal judge said he rejected a proposed $40 million class action settlement against financial software company Intuit because it “is not fair, reasonable, and adequate” for those taxpayers who were allegedly misled into paying for tax preparation services rather than the company’s free services.
Intuit faced a class action from customers who used the company’s online tax preparation software TurboTax. In a deal with the IRS, the company agreed to offer the services for free for low-income taxpayers and active military.