Update As of 6 P.M. (EST) on Friday, February 6 Turbo Tax had resumed state filings and the investigation is still ongoing.
Turbo Tax, one of the biggest tax preparation software companies has stopped all state filings due to an exorbitant amount of fraudulent filings.
A spokesman for Intuit told reporters there was no breach of their system: rather, it is a case of thieves stealing personal information and filing state taxes as someone else through Turbo Tax software.
Anthony Burkes, a spokesman for the IRS confirmed Intuit’s statement to reporters and reiterated that the issue is with state filings only.
Intuit and the IRS both said it is perfectly safe to continue filing federal taxes with the company.
Intuit and The IRS are conducting a thorough investigation to make sure this problem is fixed as soon as possible.
While the thieves are using Turbo Tax to fraudulently e-file the reality is that almost everyone is at risk since they are stealing identities.
For those who think they may have had their information stolen Intuit has asked that you call this number: 1-800-944-8596.
When you call that number you will be assisted by fraud protection agents who specialize in this type of situation.
Anyone who has already filed state taxes with Turbo Tax are at a standstill and must wait for the issue to be resolved before their tax return is re-transmitted.
You should not attempt to file them anywhere else as they are already in the process of being filed.
The situation was first brought to light after Minnesota tax officials halted all electronic state tax filing last night, followed by The District of Columbia and a handful of others.
Intuit is calling this a precautionary measure, so everyone is expecting a swift resolution.
A spokesman for Turbo Tax told News For Shoppers they hoped to have the issue resolved: “quickly and with a satisfying solution” for everyone.
What do you think of the Turbo Tax fraud situation? Did you file with Turbo Tax this year? Comment below and share your thoughts with us.