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February 2021
âWhat if we could give customers a button. Theyâd press it at the end of the year and it would automagically file their taxes for them.â
At the time I thought the idea was appealing, but didnât think much more about it. Today, I think this is the way TurboTax gets dismantled. Itâs taking consumer finance companies with massive distribution, combining them with a tax preparation API and real-time visibility into users tax position. Tackling TurboTax head on is probably a waste of money. Tackling TurboTax asymmetrically has a real shot.
TurboTax is functionally a monopoly