H&R Block Tax Glitch Delays Refunds, Angers Customers

Customers of Kansas City-based tax preparation firm H&R Block were angry last week when they found out that potentially hundreds of thousands of tax returns filed by the company contained a crucial error that failed to adhere to a change made this year in how to fill out Form 8863.

Now H&R Block customers throughout the country whose returns included that mistake are hearing that their refunds will be delayed by several weeks. Many of those affected are students or parents who need the money for books or to apply for financial aid.

However, what may have made customers angrier is the company’s response to the mistake, which affects about 10 percent of the 6.6 million returns containing 8863, according to an IRS spokesperson. Block first told customers of the problem last Thursday in a brief post on its Facebook site. The post apologized for the frustration the problem was causing, but many admonished the firm for not getting directly in touch with its clients, most of whom got the news from an IRS letter.

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