Jackson Hewitt’s early-season revenue up

Jackson Hewitt Tax Service posted market share gains and positive total revenue growth, including a 4 percent increase in same-store sales through Feb. 24, the prep-chain giant announced.

In what the company described as the “First Season” – the early part of the tax-filing period — Jackson Hewitt outperformed the IRS in the assisted tax prep category with a decline of 3.2 percent in returns filed, compared with an IRS decline of 12.6 percent.

A Jackson Hewitt location
The Justice Department sued to shut 125 franchises of No. 2 U.S. tax preparer Jackson Hewitt Tax Service Inc. as the IRS accused the outlets of submitting thousands of fraudulent returns that cost the government more than $70 million. This office of Jackson Hewitt Tax Service in Shreveport, Louisiana, on April 4, is not known to be involved in the federal law suit. Mario Villafuerte/Bloomberg News

Co-CEO David Prokupek credited the chain’s marketing, which highlighted the benefit of assisted prep over DIY options, the chain’s Express Refund Advance to help clients with delayed refunds, and the “Better Than Free” promotion that combated numerous free offerings in the prep marketplace.

Twice as many Hewitt clients this season received the no-fee, 0-percent APR Express Refund Advance than in 2016. The “Better Than Free” promotion offered taxpayers a $48 fee on simple federal returns, offset by a $50 gift card.

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