Intuit Still Lobbying Hard To Stop Governments From Making It Easy To File Taxes

Politics

from the corporate-culture dept

Earlier this year, we wrote about how much effort Intuit has put towards blocking proposals to have the federal government send you pre-filled out tax forms. After all, the IRS already has your information, so why not just send you a form with all of your details filled in, let you check it over for any mistakes, errors or omissions, sign it and send it back? It would save a whole lot of hassle, and certainly would avoid problems caused by simple mistakes. But, of course, if the government made it easy to pay your taxes, why then, Intuit wouldn’t be able to sell as many copies of TurboTax. So it’s been fighting it all along.

Of course, some states have already implemented similar systems for state taxes, and Intuit then goes on the lobbying offensive to try to repeal those laws. Reader Xan points us to an LA Times story about the lengths to which Intuit is going to try to kill off a highly successful set of programs in California that have made it much easier for many, many, many residents, while at the same time saving the state millions of dollars. It’s a clear win-win.

Well, except for Intuit.

Intuit is lobbying hard for California to ditch this tremendously successful program that helps both tax payers and the state, and replace it with a different program that… helps Intuit. It would offer a much more limited offering to many fewer people, mostly designed as an upsell to get people to pay for TurboTax. And, while Intuit hasn’t been successful yet, it has been spending plenty of money supporting California state politicians on both sides of the aisle to try to find support for its efforts.

Filed Under: california, lobbying, software, taxes
Companies: intuit

Tons Of Companies Sued Over Broad Patent On Controlling Workstations In A Computer Network

Patents

from the sue,-sue,-sue,-sue dept

As we keep waiting for a Supreme Court ruling in the Bilski case (any day now…), Glyn Moody points us to the news of a lawsuit that has been filed against 26 different software companies for violating an incredibly broad patent (5,832,511) on “Workgroup network manager for controlling the operation of workstations within the computer network” (say that 10 times fast). The list of companies sued is a who’s who in software:

Apple, Activision, Adobe, Autodesk, Capcom, Citrix, Corel, Dassault, Delcam, Square Enix, Electronic Arts, Frontrange Solutions, IBM, Intuit, Konami, Digital Entertainment, Maximizer Software, Nuance, Parametric Technology, Sage Software, Sega, Skype, SPSS, Teradata, THQ and Legacy Interactive

I’m sure none of those companies could have possibly come up with a system for controlling the operation of workstations within a computer network without this patent. At some point, isn’t the fact that such a vast number of companies appear to have come up with the same basic thing independently a perfect prima facie case of obviousness?

Filed Under: patent, remote computers, workstations
Companies: activision, adobe, apple, autodesk, citrix, corel, ea, ibm, intuit, konami, nuance, sega, skype, spss, square enix, teradata

Intuit Lobbying The Government To Make It More Difficult To File Your Tax Returns

Politics

from the isn't-that-special dept

A fascinating article points out that the government could make the process of filing your tax returns significantly easier by simply sending you pre-filled out forms of what they know (basically what’s been sent in from your employer(s)) so that you could just take the pre-filled form, check it over, make any additions or changes as necessary and submit it. Apparently, many places that have done this have had great success with it. But it’s not happening in the US in large part due to heavy lobbying from Intuit, who fears (perhaps correctly) that this would put a big dent into its tax preparation software business. Of course, that’s not how Intuit puts it. The company first claims that this functionality is “already available” (it’s not) and that it is a “conflict of interest for government to be both tax collector and tax preparer.” However, that is also inaccurate. No one is asking the government to be the tax preparer, but just to share the information it already has so that individuals aren’t forced to rebuild the info themselves. As one person quoted in the article notes, it’s “as if Visa sent customers a blank piece of paper, requiring that they assemble their receipts, list their purchases — and pay a fine if they forget one.” So, everyone, thank Intuit for making tax season that much more frustrating.

Filed Under: data, filing, government, lobbying, tax returns, taxpayers
Companies: intuit

Secretive Patent Holder Sues Lots Of Companies For Remote Activation Software

Legal Issues

from the gotta-get-it-done-before-bilski dept

Brian points us to the news of yet another questionable patent lawsuit filed by yet another shell company, yet again in Eastern Texas against a ton of software companies. The patent in question (5,222,134) is for a “secure system for activating personal computer software at remote locations,” and was originally filed back in 1991 and granted in 1993 — meaning that the patent is actually nearing end of life. Odd, then, that it was suddenly noticed that all these companies were infringing. The lawsuit is filed by a shell company called BetaNet, and no one seems willing to speak. The lawyers representing BetaNet won’t say who is behind the company, or how they even got the patent. This is typical. Many of these types of lawsuits are filed by shell companies to hide who is actually behind them. As for the defendants, here’s the list:

Adobe, Apple, Arial Software, Autodesk, Carbonite, Corel, Kodak, IBM, Intuit, Microsoft, McAfee, Online Holdings, Oracle, Rockwell, Rosetta Stone, SAP, Siemens, and Sony.

Obviously, none of those companies could have come up with ways to remotely activate software without this patent (yes, that’s sarcasm). As the Register notes in the link above, even some of the software products listed as violating this patent don’t seem to involve activation at all, raising serious questions about how they could possibly violate this patent. This sounds like yet another case of someone having read the book Rembrandt’s in the Attic and deciding to go trolling for companies to sue with a meaningless patent.

Filed Under: activation, east texas, patents, software
Companies: adobe, apple, arial software, autodesk, betanet, carbonite, corel, ibm, intuit, kodak, mcafee, microsoft, online holdings, oracle, rockwell, rosetta stone, sap, siemens, sony

Intuit Pays $120 Million 'Don't Sue Us' Tax To Intellectual Ventures

News You Could Do Without

from the money-wasted dept

It’s no secret that I have tremendous problems with Nathan Myhrvold’s Intellectual Ventures, which many have described as the world’s biggest patent “trolling” operation. The company has raised a ton of money and uses it to buy up thousands of patents. While it hasn’t sued anyone, Myhrvold has made clear that’s always an option. The company has remained incredibly secret, but it has somehow convinced some big companies to pay hundreds of millions to IV. Due to the secrecy, the details aren’t clear — and some of the deals apparently are a mix of “licensing” and an equity investment. But, still, the numbers are stunning. The latest, as pointed out by Stephen Kinsella is that Intuit has apparently paid $120 million to IV. For what? The right not to get sued. Think about that for a second. This is a pure dead weight net loss to society. It’s $120 million that Intuit could have put towards further innovating, or to pay off investors via a dividend. Instead, it goes towards nothing productive, in terms of actually creating new products. It will now likely be used to buy up more patents so that IV can get similar black hole money grabs from other companies, as well. It’s like a black hole where real innovation goes to die.

Filed Under: patents, software
Companies: intellectual ventures, intuit

The End Of Microsoft Money: Big Company Doesn't Always Win

Failures

from the welcome-to-competition dept

There’s a disturbing trend in various discussions we have here (especially on patent discussions) where people seem to insist that big companies automatically win in competitive environments. Yet, especially in the tech space, we’ve seen that it’s often quite difficult for big companies to do that. Smaller companies are often more innovative and effective at taking on big companies. The idea that some big company can just copy someone else’s product and automatically take over the market is clearly wrong. Does it happen sometimes? Sure. But as has been noted by many folks, if your product is truly innovative, you’ll often have to beg people for attention, rather than worrying about anyone copying it.

A great example of this is the failure of Microsoft Money. The company has now announced that it’s going to discontinue the product despite years of effort and millions of dollars spent to try to defeat Intuit’s Quicken product. In fact, the saga of the battle between Intuit and Microsoft highlights (yet again) that it wasn’t so much the invention part that allowed Intuit to win the battle, but the innovative way in which Intuit kept and grew marketshare. In an interview with News.com, the guy who ran Microsoft Money for a few years, noted that Intuit beat Money because they did a better job with the marketing.

Meanwhile, of course, it’s worth noting that Intuit itself is now facing upstart challenges from web-focused startups like Mint and Wesabe, and some believe the company is discovering in its own way how smaller, more nimble startups can succeed against larger entrenched interests. Innovation is an interesting beast. The idea that big companies can always defeat smaller ones has been disproved many times — but here’s yet another example.

Filed Under: big companies, innovation, microsoft money, quicken
Companies: intuit, microsoft

Using Amazon To Protest Products You Don't Like

Culture

from the virtual-protests dept

The main thing that kicked off all the negative attention over EA’s use of SecuROM DRM in Spore was the avalanche of negative reviews on Amazon. It seems consumers are beginning to recognize that such a rush of negative reviews is an effective way to protest and garner attention. The latest product getting the same treatment appears to be TurboTax from Intuit, where people are protesting a big price increase from last year. Any bets on whether or not a “glitch” will cause Amazon to delete the reviews, as has happened with previous waves of negative comments?

Filed Under: amazon reviews, protest, turbo tax
Companies: amazon, intuit