"If I need to amend a return 12 months from now," says one customer in a posting on FatWallet.com., "I am screwed unless I jump through hoops with Intuit."

Intuit's TurboTax Activation Scheme Irks Users
"One new twist to be aware of. You must activate the product on the PC you will be using to print or e-file your return; you can't load it on any other PC." For those unfamiliar with "product activation" technology, this may require a bit more explanation. In using this technology, which has become more and more prevalent with popular software packages including the Microsoft Windows operating systems, Intuit is attempting to crack down on unlicensed use of the product by binding each copy of TurboTax to a particular PC.

Although you may install TurboTax on a given machine, you won't be able to print your tax return or e-file it—file it with the IRS over the Web—unless you activate the product. To do so, you must input the product key listed on software's CD sleeve or case and obtain an activation code from Intuit either over the phone or via the Internet.

Once this is done, the software is linked to that particular PC. If someone else installs the same copy on another machine, the application will run but will not print or e-file the person's return without the purchase of another license and reactivation of the software. TurboTax licenses cost from $29.95 to $99.95.

Messages posted on Internet newsgroups and other online forums (including our own) complain about the company's use of product activation, with many users saying they've decided to switch from TurboTax to one of its competitors.…

Some comments reflect concern that upgrading a hard drive or buying a new PC will prevent use of TurboTax without the purchase of a new license. According to Intuit spokesperson Scott Gulbransen and a product activation FAQ on the company's Web site, this is not the case. If you upgrade your hardware or purchase a new machine, you can call Intuit's technical support line, obtain a new activation code, and reactivate the product without buying a new license. "Our technical support people can determine that the product has been activated by you before and that you're upgrading your equipment and [they will] go ahead and give you another activation number so you can continue using the product," says Gulbransen.

A recent story on CNET contradicted Gulbransen, quoting a licensed customer who claimed that, when he called Intuit technical support about reactivating the product on his new PC, he was told he would have to buy a new license. Gulbransen acknowledges that the customer did receive this response, but says the Intuit technical support rep was in error. "We had a rep who didn't do due diligence," he says. "The customer should have been able to reactivate without buying a new license, and we've contacted the customer to correct the problem."
The CNET story also quoted Gulbransen as saying that customers could use their old activation codes to install the software on new equipment: "In most cases, customers who need to reinstall TurboTax on a new PC or hard drive simply have to enter the original activation number they received." This is not the case, however. You must call Intuit technical support for a new activation code if you upgrade your hard drive or PC.

Some customers complain that contacting Intuit technical support for a new activation number is a hassle they'd rather do without. "If I need to amend a return 12 months from now," says one customer in a posting on FatWallet.com., "I am screwed unless I jump through hoops with Intuit."
http://www.pcmag.com/article2/0,4149,821308,00.asp