By Leisa Zigman I-Team Reporter
St. Louis (KSDK) - A local woman who paid H&R Block more than $300 to have her IRS refund back this week is crying foul.
Like a lot people, Michelle Bishop needs her refund as soon as possible just to pay the bills.
She went to her local H&R Block and agreed to pay $323.23 in exchange for a quick turnaround. She was told she'd have her refund in seven to 14 days.
But when she checked on the refund this weekend, she didn't hear good news.
Bishop says the tax preparer told her the refund would be delayed at least a week.
It turns out, the IRS had to upgrade its computer software and as a result, people like Michelle would have their refunds delayed.
Michelle asked the company to return part of the $300 fee since she didn't get what she paid for.
But the agent reportedly said, "It's not their problem. They can't help us."
Michelle needed and expected her refund by midnight Tuesday night.
The I-Team went to the local H&R Block office in Overland for answers. The manager sent us to a district manager. That district manager sent us to corporate headquarters.
In an e-mailed statement, spokesperson Gene King said, "H&R Block does not promise 'early refunds.' The refund comes to the client direct deposited. The delay in refunds is happening from the IRS. H&R Block is giving guidance to taxpayers as to an expected date. However, since this is out of our control we are recommending all taxpayers to verify any date with the IRS through the Where's My Refund web portal."
But at 11:20 Tuesday night, something interesting happened.
Michelle received a text message from H&R Block saying her refund has been processed and is now available on her debit card.
Bishop was thrilled and credited the I-Team saying, "I just thought you are the greatest because it wouldn't have happened. The money would not have been there. So it makes me wonder how many other people are going through what I went through."
H&R Block did take its $300 fee and they apparently had every right to do so.
Despite what the tax preparer might have said, documents Michelle signed, never guaranteed anything.
The contract states, "It depends on when the IRS issues your tax refund, but the average waiting time is 7-14 days."
H&R Block's spokesperson said the refund last night had nothing to do with the I-Team and that it was just coincidence. He added he was glad it all worked out for our viewer.
So what did she get for the $300? The spokesperson says "All fees depend upon complexity of the client's tax situation. However, all tax preparation comes with our satisfaction guarantee as well as standard guarantee."
We checked with tax attorneys, the Better Business Bureau, the Missouri Attorney General's office and consumer advocates.
According to Christopher Thetford with the BBB, "Consumers should avoid any tax preparer that attempts to guarantee when they will receive a refund because the tax preparer cannot control how long it will take the IRS to process a return and issue a refund."
To file a complaint with Missouri Attorney General's office the hotline number is 800-392-8222.
The IRS sent the following information:
When Can I Expect My Refund?
The Internal Revenue Service reminds taxpayers to keep in mind that many variables can affect the speed of a tax refund. Using e-file with direct deposit remains the fastest option for taxpayers.
Following technology improvements, the IRS will issue refunds to more taxpayers in as few as 10 days this year for those who e-file and select direct deposit. Overall, the IRS issues the vast majority (more than 9 out of 10) of all refunds - whether filed electronically or on paper - in 21 days or less.
Although refund speed will generally increase overall, the IRS emphasizes these are "best-case scenarios," where tax returns are filed accurately and no corrections or review are required.
In addition, the IRS also cautions taxpayers it is increasing scrutiny of tax returns for signs of fraud. This means some tax refunds will face additional screening and review before being released, which will add time before the refund is delivered.
There are some simple ways for people to help ensure they receive their refund quickly.
E-file remains the best way to ensure an error-free return.
Taxpayers can help ensure their refund arrives as expected by submitting an error free return. Use the correct Social Security number or taxpayer identification number, the correct address, and the correct bank and routing number if electing direct deposit.
You don't need to wait on the phone to check on the status of your refund. The fastest and best way to get information on your refund is through the "Where's My Refund?" tool on IRS.gov and the IRS2Go phone app. Information about refund status is available about three days after the IRS acknowledges receipt of your e-filed return, or four weeks after mailing a paper return.
The free IRS2Go application is available at the Apple App Store and the Android Marketplace.
When checking the status of your refund through these IRS online tools, you will need to have your federal tax return handy. To get your personalized refund information you must enter the following information on the safe and secure IRS.gov website or phone app:
• Your Social Security Number or Individual Taxpayer Identification Number;
• Your filing status which will be Single, Married Filing Joint Return, Married Filing Separate Return, Head of Household, or Qualifying Widow(er); and
• Exact whole dollar refund amount shown on your tax return.
Once you've entered your personal information, and depending on the status of your refund, our online tool may provide several pieces of information, including acknowledgement that your return was received and is being processed, the mailing or payment issuance date of your refund, and possibly a notification that the IRS could not deliver your refund due to an incorrect address.
The IRS must review tax returns to prevent fraudulent and erroneous refunds, while balancing customer service, fast refunds and protecting against fraud. If the IRS needs additional information to process your return, we will contact you by mail. You don't need to call and wait on the phone. Taxpayers are encouraged not to tie major financial decisions to the receipt of their tax refund by a specific day, but please know that the IRS works hard to issue proper refunds as quickly as possible.
KSDK