More than 100,000 lower-income Tennessee residents who paid for online-tax prep services advertised as being free may be eligible for payments, as part of a new nationwide settlement with Inuit, the owner of TurboTax.
Samantha Fisher, communications director for the Tennessee Attorney General's Office, said people who used TurboTax for tax years 2006 through 2018 may be eligible for payments of around $30 for each year they paid for services, but would have qualified for the free edition.
"Inuit has the eligible consumer contact information already," Fisher pointed out. "So, you should not have to do anything. You should end up being contacted and sent a payment, sent a check in the mail."
Inuit came under fire after investigative reporting by ProPublica alleged the company was using deceptive tactics to steer low-income people toward its commercial products and away from federally-supported free tax services.
Attorneys General in every state and the District of Columbia have signed on to the $141 million agreement. As part of the settlement, Intuit admitted no wrongdoing, according to a statement on the company's website.
Fisher explained Intuit offered two free versions of TurboTax. One was through a partnership with the Internal Revenue Service (IRS), which allowed taxpayers earning less than $34,000 a year, and members of the military, to file their income tax returns free of charge.
"Then they have this other commercial product called TurboTax Free Edition," Fisher noted. "And it was confusing for people filing their taxes about which one was truly free."
Fisher added some settlement money will be used to set up additional resources for consumers.
"As we work through this part of the process, there'll be a website that will have more information for consumers," Fisher emphasized. "Especially, for instance, if you've moved since the years where this applied."
Around 195 million tax returns and other forms were filed electronically in 2020, according to the IRS.
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A campaign in Maine is gathering signatures to replace the state's investor-owned energy grid with a consumer-owned utility.
Central Maine Power (CMP) and Versant serve the majority of Maine utility customers, but they consistently rank lower for customer satisfaction, have more frequent power outages and have high rates, compared to consumer-owned utilities.
Seth Berry, former Democratic state representative from Bowdoinham and former House chair of the Maine Legislature's Energy Committee, left office recently to work on getting the initiative on the 2023 ballot. It is based on a bill, passed in 2021 to invest in a consumer-owned utility, but vetoed by the governor.
"This is a great opportunity for us to change it up and say, at least here in Maine, we're going to be independent," Berry explained. "We're going to have local control. It's a better business model, has proven to work better and that's where we're heading. "
Berry pointed out the campaign is on track to have enough signatures. Opponents argued a publicly-funded model would be too expensive.
But Berry noted CMP and Versant charge 58% more for service than consumer-owned utilities, which are currently in 97 Maine towns.
"They have better reliability, their customers are happy," Berry emphasized. "If they're not happy, they have a way to walk right into that board meeting and complain about it, which you certainly can't do with CMP; their governing board is actually based in a skyscraper in Spain."
He added as Maine looks to move toward improving the power grid, it is important to have accountability. Research showed by removing the profit incentives for current investor-owned companies, Mainers could save up to $9 billion over 30 years.
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Starting Friday, Connecticut residents may start to see a sharp increase in energy costs just as summer gets into gear and inflation hits people hard, but resources are available, especially for older adults who are feeling the pinch.
Connecticut's electric standard service generation rate is expected to increase significantly in July depending on the energy provider, with the biggest spike at more than 12 cents per kilowatt-hour.
John Erlingheuser, director of advocacy and community outreach at AARP Connecticut, said this is a particular challenge for people on fixed incomes.
"Older residents with a lot of medical conditions need electricity to stay cool in the summer," Erlingheuser pointed out. "Many times, they'll find themselves in a position of either cutting back on medication, or cutting back on electricity or cutting back on food, in order to make ends meet."
Erlingheuser noted Connecticut residents pay the highest electric prices in the lower 48 states. One resource available for those who need help paying utility bills is Operation Fuel. Before applying, a household needs to gather proof of the last four weeks of income for all household members, the name of their fuel vendor or a utility bill and payment history.
Erlingheuser added two important programs have an upcoming deadline of June 30: the Connecticut Energy Assistance Program and the COVID-19 Payment Plan.
He emphasized the payment plan can help with catching up past-due balances and current bills.
"You don't need to have any money up front to get in this program, and it could be spread out over 24 months," Erlingheuser observed. "They waive all the fees and interest in the calculation of your monthly payments. So, these are important programs, and we would encourage folks to get to them while they still exist."
You can contact your utility providers to learn more about specific payment plans.
Connecticut customers who have medical conditions also are qualified for protections from utility shut-offs due to lack of payment. They can ask their doctor to certify they have a serious illness or life-threatening condition on the utility's internet portal.
Disclosure: AARP Connecticut contributes to our fund for reporting on Budget Policy & Priorities, Health Issues, Hunger/Food/Nutrition, and Senior Issues. If you would like to help support news in the public interest,
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Seven in 10 Americans view inflation as the most pressing issue facing the nation right now, and in Maine, a new report seeks to explore the causes, and what can be done to bring costs down.
James Myall, economic policy analyst at the Maine Center for Economic Policy and the report's co-author, said a variety of factors have come into play. He explained it is partly about supply and demand, and how they have shifted throughout the pandemic, creating bottlenecks. He noted the Russian invasion of Ukraine also plays a role, especially in food and energy costs.
Myall contended one driver of inflation Maine lawmakers could do something about is the issue of corporate consolidation.
"It's one of the things that lawmakers in Augusta can actually address," Myall asserted. "They can't do very much to address sort of some of these supply chain issues. But there are things they can do to limit the power of corporations to be able to set prices beyond rising costs."
The report showed prices for food, energy and other basic goods have increased as much as 16% in the last year, and corporate profits accounted for more than half of each dollar increase in prices. In the 40 years prior, corporate profits made up about 11% of price hikes.
Myall added wage increases have made a difference for some families in their ability to handle inflation, especially those in the restaurant and hotel industries in the face of worker shortages. But he pointed out wages have not kept pace with inflation, so they are not major drivers of it now.
"On average, we're seeing that wages have not increased as fast as inflation or have not kept pace," Myall stressed. "One of the things that's made it particularly tough for a lot of workers is that, even where folks have got pay raises, those have not been as much as the prices have been rising."
Myall emphasized prices have increased the most in the sectors where corporations have the most power. For instance, four firms control more than half of the meat-processing industry, and meat prices have skyrocketed.
The report includes recommendations for lawmakers, from new approaches to antitrust laws and addressing price gouging, to implementing a windfall tax and robust safety-net programs.
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