KY Couple Claims Tax Software Is Flawed
A western Kentucky couple is suing the Iowa-based maker of a popular tax return software program claiming the company has failed to fix a glitch that could cause filers problems with the Internal Revenue service.
The lawsuit filed in U.S. District Court in Owensboro on Friday claims that 2nd Story Software of Cedar Rapids, Iowa, knows the TAXACT program allows people to improperly claim the Earned Income Tax Credit, but doesn’t flag users to the problem.
Kara and Israel Lorenzana of Corydon, Ky., are seeking class action status for the suit.
Company spokeswoman Jessi Dolmage declined to comment saying company officials had not seen the lawsuit.
One of the couple’s lawyers, Dean Furman, says improperly claiming the tax credit could lead to fines or criminal prosecution.
