Jiménez-Backed Legislation Prevents Hidden Fees on Electronic Tax Returns

SPRINGFIELD, Ill. – Working to cut back on hidden fees targeting taxpayers, state Rep. Lilian Jiménez, D-Chicago, is supporting legislation that would prohibit income tax returners from charging a separate fee for returns filed electronically.

“Every year, people across the state file their tax returns using electronic filing systems and are often confronted with hidden fees for doing so,” said Jiménez. “It’s about time that we prohibit these large, billion-dollar corporations from taking advantage of Illinoisans with hidden and exorbitant fees that are not disclosed before filing taxes. Through this legislation, we join a growing trend of making tax filing easier and more affordable for millions of Illinoisans and eliminating excessive filing fees.”

The Jiménez-backed House Bill 1074 would restrict any income tax returner or software company from charging a separate fee to file tax returns electronically. It also requires that software companies offer two versions of software for tax filing, one that charges a separate fee for e-filing and one that does not. Violations of this act would result in a fine and civil penalty.

“We have seen time and time again that these small fees here and there can add up and by the end of tax filing we see that we owe more money than what was initially disclosed,” said Jiménez. “The legislation puts a small sum of money back into the pockets of Illinois taxpayers making filing taxes much more cost-effective.”

Illinois would be the second state in the nation to prohibit these hidden fees if passed, following New York.