H&R Block clients get back $1300 more on the average

[Zee]

That's what their TV ad says, how can that be? $1300 more than what?

[oceanlovin'ea]

That is exactly what my husband asked me last night. How can they say that? More than who? More than what?

Linda F

[KBTS]

I have not seen the commercial, but I'm sure there is an explanation in really small print at the bottom of the screen. Probably comparing their average refund amounts to self-prepared returns - guess maybe they could get that figure from the return data released by the IRS.

[taxxcpa]

More than what?

Maybe it means they get back $1300 more than zero.

[Gary]

Don't Know

I work for H&R Block and have no idea what this advertisement means.

Gary

[Fuzzy Faced Leader]

What makes you think there is any truth to that statement. Just because you hear it on TV, doesn't make it true. They could say they get back $ 7 million more per return than anybody else, and people would believe them. It's called marketing spin. I doubt they have anything to support the statement.

[veritas]

Here's a link

http://www.hrblock.com/press/Article.jsp?articleid=1504

[erchess]

So in other words

the figure cited is not the average of all results of the second look process. It is the average refund of those who chose to have Block amend their original returns. Surely only people who were due back significant amounts of money would bother to amend. I personally have told people they could get back a couple hundred dollars and that I would charge them $50 but had the offer declined by people who felt that amending increased the chances of an audit.

[Zee]

http://www.hrblock.com/press/Article.jsp?articleid=1504

Thanks for the link. So, it's the average of those amended returns prepared after the "second look review". It's probably true since they exclude those that didn't qualify for an amended return. It's just a way to make the numbers sound like you want them to, and leaves the impression that they find $1300 more than other preparers.

[bertrans]

Oh, it's just words Like heck it is: reminds me of a 70's TV ad for tires(don't remember which one). Tag line: 'Our tires have more tread'. ..... If one's basis of comparison is a banana peel, well, they're not telling us anything useful, are they?
Is the $1300 more after or before RAL interest fees??

[gkaiseril]

Second Look

For the taxpayers with the errors in their returns and getting an additional refund it is more than words it is money for them that they should have recieved when the original return was filed.

There is a leason to be learned here. Always check the previous years returns for glaring errors. You carefully explain to the client what the error is and how you caught it, you will probably keep that client. In this last week I have ammended 3 returns prepared by H&R Block for missed real estate taxes on the federal Schedule A and the Illinois state real estate tax credit on the principla residence. Just a simple comparison of the 2 years returns would have shown one of the errors the other 2 were because the preparer was too lazy to turnover the mortgage interest statment and review the escrow account activity and not asking about Real Estate taxes paid on an owned house.

Block's approach is to get the taxpayers into their office and find an error. If they find an error that more than covers the H&R Block fee the cleint thinks they are getting their return for free. And in a sense they are.

By the way, I do not believe the banks provide RALs for ammended returns. I believe the only option is a check in the mail from the IRS and the state of Illinois, although other states may allow a direct deposit.

[Nashville]

Listen Carefully

...to the ad on TV. Those for whom Block files an amended return will receive an average of $1300 refund. And this is from their "lookback" campaign where potential clients are told to bring in their previous years' returns.

This is one of those "truth-in-advertising" adherences. They don't tell you that perhaps 80% of these people are getting no refund at all. They only tell you that the average 1040X brings $1300. They might only file 1040X for 5-10% of the walk-ins.

During the course of the tax season, I am asked to look at prior year returns prepared by someone else. I can get money back for a surprisingly large percentage of these. I look at TurboTax returns 5-6 times a year, and my "average" recovery is some $700-$800 for these self-prepared returns. Some of these customers only have a W-2, and of course, I can't do anything for them that TurboTax hasn't already calculated. I recovered $4200 for one customer who knew nothing about taxes, and figured she could buy TT for $39.99 and suddenly be as well-trained as a CPA.

I don't doubt Block can recover an average of $1300 for those walk-ins who can justify an amended return. However, I believe most of us can make the same claim. I know in the past, I have recovered LOTS of money from prior year 1040X people -- sometimes very large amounts from returns formerly prepared by Block itself!

[Brian EA]

That's what their TV ad says, how can that be? $1300 more than what?

More than what the other HRB office got them

brian

[taxea]

H&R Block clients get back $1300 more on the average

I would say that this is because their tax preparer has not had them adjust their W-4 so that they will get a smaller amount. I wouldn't take my papers to H&R for love or money. I better their clients get more than the average letters from the IRS too! taxea

[Zee]

I wonder what HRB tells those who paid too little tax because of improperly prepared returns? Unfortunately, that's the situation I've seen most often. Nobody wants to hear they should amend their return and pay more.