H&R Block Owes US$32 Million in Back Taxes

[sNyx]

http://www.msnbc.msn.com/id/11528461/

An embarrassed H&R Block has had to admit that it had underestimated its own “state effective income tax rate” in prior quarters. The personal income tax preparer company will have to pay US$32 million in back taxes owed.

H&R Block will have to restate previously reported earnings for each year back to 2004. This news caused their stock to finish sharply lower in extended trading.

The company was already plagued with software problems that left the company unprepared for a large volume in January filings. Mark Ernst, the company’s chairman and CEO said the problem “cost us 250,000 clients” that were ”unable to be recovered,"

time to double check your T4's H&R :)