Jackson Hewitt Takes Block’s Place at Sears


Jackson Hewitt Tax Service has agreed with Sears to provide tax prep services in most Sears locations nationwide starting in January. 

The deal comes on the heels of H&R Block confirming that it will cease operating in Sears Holdings Corp. locations. Block reportedly said that it would reduce the number of its Sears locations to 112 this year, from about 500 last year. Block has reportedly been trying to re-align its business to focus on the fast-growing digital tax market to compete with tax-filing software such as TurboTax.

A Sears spokesperson said in reports that the retail company wouldn’t reveal “details of any vendor relationships” and that Sears simply “decided to end our relationship with H&R Block.”

As recently as January of this year, Block had teamed with Sears to offer federal 1040EZ tax filing online and in stores.

The Jackson-Hewitt deal will offer tax prep both in-store and online.

Jackson Hewitt already has some 6,600 franchised and company-owned offices throughout the U.S.

Comments (2)
I can't imagime what Sears was thinking, didn't Jackson Hewitt file for some sort of bankrupcy about a year ago?

When I worked for H&R Block, no one wanted to be in the Sears location - it was very slow. Maybe because Sears put us in the farthest out of the way corner in the store!

Dawn Filetti,EA
Posted by DSFilettiEA | Sunday, October 07 2012 at 6:02PM ET
Isn't H&R Block owned by Sears? Haven't they been described as part of the "Sears Financial Network" for years?

Wasn't the sharing of taxpayer information between H&R and its "sister" companies like Allstate Insurance, Discover Card, and other Sears-owned companies the event that started the whole "privacy policy" obsession at the US Treasury?

Now that Sears has been acquired by Kmart, are they looking to corner the entire walk-in tax prep market by acquiring Jackson Hewitt?

I have been forecasting that H&R would transform itself into a suite of on-line services once the new credentialing regulations made the tax-prep labor force too costly. Jackson Hewitt has been using every trick at its disposal to fight the new regulations, and now they are getting into bed with Sears.

Both politics and the marketplace make for strange bedfellows.

Kate Harner, EA
Posted by KATEHARNER | Tuesday, October 02 2012 at 2:38PM ET
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