Tax Prep Company Blames IRS, Indian Software Developers, Customers For Bounced Checks

Old school Consumerist readers may remember Memphis-based Mo Money Taxes from its appearance in this classic Great Moments In Commercial History post. But now the company, which provides tax prep services in several states, is making headlines because it has put a lot of bad refund checks in the hands of its customers.

Depending on who customers speak to, they get a different explanation on why the checks are not clearing. WGN-TV reports on a Chicago woman who says a Mo Money employee told her “they did do my taxes but there is no money here and we don’t know where the money is coming from.”

In Norfolk, VA, customers have gone to pick up or inquire about their checks and found stores closed or told that there was a software or printer glitch that prevented them from printing out a new check.

The owner of one Mo Money outlet in Norfolk says that 30 of the 50 checks he printed last Friday did not clear.

Norfolk’s WAVY-TV recorded a lengthy phone interview with the Mo Money CEO, in which he blames everyone from the IRS to customers to franchise owners to software developers in India:

Meanwhile, in Mo Money’s home town of Memphis, the CEO held a press conference where he squarely laid the blame at the feet of the IRS. “We prepare the taxes, electronically file them, and we’re out of it,” he explained.

Almost all reports on the Mo Money situation mention that the company has held an “F” rating from the Better Business Bureau.

No money for “Mo’ Money” tax filers [WGN]
Mo Money customers have more problems [WAVY]
Customer: Mo’Money Taxes wrote bad refund check []

Thanks to Nicole for the tip!