Terms of Service

1. The service

TakoTax is software intended to help users prepare tax-related information and generate tax form previews for review. Today, TakoTax does not submit returns to the IRS or state agencies.

TakoTax plans to pursue electronic filing authorization. Electronic filing is not available until the required approvals, identifiers, Assurance Testing System testing, and communication testing are complete. The terms that govern electronic filing are described in Section 8 and in the E-file Disclosures page; they take effect for a given user only when that user uses an enabled e-file workflow.

2. No tax, legal, or financial advice

TakoTax is a software tool and not a law firm, accounting firm, CPA, enrolled agent, or tax advisor. TakoTax does not provide legal, tax, or financial advice. Users are responsible for reviewing all inputs and outputs and determining whether they are accurate and appropriate for their circumstances.

Use of TakoTax does not create an attorney-client, accountant-client, tax advisor, or other professional advisory relationship.

3. User responsibilities

You are responsible for:

• Entering or importing accurate information
• Reviewing the complete return summary and generated forms before relying on them or authorizing them to be filed
• Filing separately when e-file is not available, not enabled for your return, or your return is not within the supported e-file scope
• Meeting all federal and state filing and payment deadlines that apply to you
• Keeping a copy of your filed return and supporting records
• Maintaining the security of your own device, browser, and any files you create from TakoTax output
• Using TakoTax only when your use is lawful and permitted

4. Acceptable use

You may not:

• Use TakoTax for unlawful, fraudulent, abusive, or harmful purposes
• Interfere with, disrupt, overload, or probe the service except as allowed by the vulnerability disclosure policy
• Attempt to gain unauthorized access to systems or data
• Upload, generate, or distribute malware or harmful content through the service
• Copy, reverse engineer, scrape, or exploit the service except as allowed by law

5. Intellectual property and license

TakoTax names, branding, design, content, and software are protected by intellectual property laws. Subject to these Terms, TakoTax grants you a limited, non-exclusive, non-transferable, revocable right to use the service for its intended purpose.

6. Electronic communications

You agree that TakoTax may provide service announcements, policy updates, support responses, and other service-related notices electronically, including through the website or by email when you contact TakoTax.

7. Privacy

Use of TakoTax is also governed by the TakoTax Privacy Notice.

8. Electronic filing (e-file)

This Section 8 applies only when TakoTax has enabled electronic filing and you elect to file your return electronically through TakoTax. Until e-file is enabled and you affirmatively authorize a transmission, TakoTax does not transmit returns to the IRS or any state tax agency. The detailed operational disclosures, including acknowledgement timing, reject correction, deadlines, fees, refunds, and IRC §7216 consents, are in the E-file Disclosures page and are incorporated into these Terms by reference.

8.1 Self-prepared returns

TakoTax operates as a Software Developer, Online Provider, and Transmitter for self-prepared individual returns. TakoTax is not an Electronic Return Originator (ERO), does not prepare returns on your behalf, and does not act as a paid preparer. You are the preparer of your own return.

8.2 Supported scope

If e-file is enabled, TakoTax will only transmit returns that are within the supported e-file scope published before launch. Returns containing facts outside the supported scope cannot be transmitted through TakoTax and must be filed by another method.

8.3 Authorization and electronic signature

Before transmission, you must (and your spouse must, for a joint return) review the full return, accept the IRS jurat, and sign the return electronically using the IRS Self-Select PIN method as described in the E-file Disclosures. You authorize TakoTax to transmit the return only when you complete this step.

8.4 IRS acknowledgements and rejects

TakoTax will display the IRS acknowledgement for your submission once received. A return is not filed until the IRS issues an Accepted acknowledgement. If the IRS rejects the return, you are responsible for correcting and re-transmitting it through TakoTax or for filing the return by another method. TakoTax does not guarantee that any return submitted at or near a deadline will be accepted before the deadline.

8.5 Fees, refunds, and payments

If paid e-file is enabled, the fee amount is disclosed on the Pricing page and again in-product before you authorize transmission. TakoTax does not charge a fee based on a percentage of any refund. TakoTax does not hold, redirect, advance, or otherwise process refunds, and does not offer refund anticipation loans, refund anticipation checks, or refund transfer products. Tax payments are made directly to the IRS and to state agencies; TakoTax does not process tax payments and does not hold taxpayer funds.

8.6 IRC §7216 and state preparer-confidentiality consents

TakoTax will request separate written consents under Internal Revenue Code §7216 and Treasury Regulation §301.7216-3 only when needed to use or disclose tax return information for a purpose other than preparing or filing the return. If you are a California resident, an additional separate consent under California Business and Professions Code §17530.5 is requested where applicable. Declining any of these consents will not prevent you from preparing or filing your return through TakoTax and is never a condition of using any TakoTax feature.

8.7 IRS outages and circumstances outside our control

TakoTax is not liable for filing delays, missed deadlines, or other adverse consequences caused by IRS or state outages, the IRS Modernized e-File maintenance windows, third-party network failures, taxpayer-supplied account or banking errors, IRS identity verification holds, or other circumstances outside TakoTax's reasonable control.

9. Availability and changes

TakoTax may change, suspend, or discontinue any part of the service at any time. We do not guarantee uninterrupted availability.

10. Disclaimer of warranties

THE SERVICE IS PROVIDED ON AN "AS IS" AND "AS AVAILABLE" BASIS, TO THE FULLEST EXTENT PERMITTED BY LAW. TAKOTAX DISCLAIMS ALL WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, NON-INFRINGEMENT, AND ACCURACY. TAKOTAX DOES NOT WARRANT THAT ANY RETURN PREPARED THROUGH THE SERVICE WILL BE ACCEPTED BY THE IRS OR ANY STATE AGENCY, THAT ANY COMPUTATION REFLECTS THE ONLY OR MOST FAVORABLE INTERPRETATION OF TAX LAW, OR THAT THE SERVICE WILL BE UNINTERRUPTED OR FREE FROM DEFECTS.

11. Limitation of liability

Nothing in these Terms limits or excludes liability for fraud, gross negligence, willful misconduct, or any liability that cannot be limited or excluded under applicable law, including non-waivable consumer-protection and data-breach statutes and any statutory damages they provide.

Subject to and without limiting the preceding paragraph, and to the fullest extent permitted by law: TakoTax and its affiliates, founders, employees, and service providers will not be liable for indirect, incidental, special, consequential, exemplary, or punitive damages, or for loss of profits, revenue, data, goodwill, refund delays, or interest, arising from or related to use of the Service, including use of any e-file workflow; and TakoTax's total aggregate liability for all other claims arising out of or relating to the Service will not exceed the greater of (a) the fees you paid TakoTax in the 12 months before the event giving rise to the claim or (b) US $100. Users remain responsible for reviewing filings, paying tax owed, and meeting compliance obligations.

12. Indemnity

You will indemnify TakoTax against third-party claims to the extent they arise from your fraud, your knowing violation of law or IRS e-file rules, or your submission of information you were not authorized to provide. TakoTax will promptly notify you of any such claim and will control its own defense, will not settle a claim that imposes any obligation on you without your consent, and you will reasonably cooperate. This indemnity does not apply to the extent a claim arises from TakoTax's own conduct, and your total indemnity obligation will not exceed the greater of the fees you paid TakoTax in the 12 months before the claim or US $500.

13. Termination

TakoTax may suspend or terminate access if these Terms are violated or if continued access presents security, legal, or operational risk, including loss of IRS e-file provider authorization.

14. Dispute resolution; arbitration; class-action waiver

Please read this Section carefully. It affects how disputes between you and TakoTax are resolved and limits your ability to bring a class action.

14.1 Informal resolution first

Before starting an arbitration, you agree to first contact TakoTax at legal@tako.tax with a written description of your dispute and to give TakoTax 30 days to try to resolve it informally.

14.2 Binding individual arbitration

If the dispute is not resolved within 30 days, you and TakoTax agree to resolve any dispute arising out of or relating to these Terms or the Service through final and binding individual arbitration administered by the American Arbitration Association (AAA) under its Consumer Arbitration Rules, rather than in court, except as provided below. The arbitration will take place in your home county or state, or by videoconference, at your election.

14.3 Small-claims and non-arbitrable claims

Either party may instead bring an individual claim in small-claims court. Nothing in this Section requires arbitration of a claim that cannot be arbitrated under applicable law.

14.4 Class-action waiver

ARBITRATION WILL BE CONDUCTED ONLY ON AN INDIVIDUAL BASIS. YOU AND TAKOTAX WAIVE ANY RIGHT TO BRING OR PARTICIPATE IN A CLASS, COLLECTIVE, CONSOLIDATED, OR REPRESENTATIVE ACTION.

14.5 Arbitration fees

For any individual arbitration, TakoTax pays the AAA filing and administrative fees that exceed what you would have paid to file the same claim in court. Where 25 or more demands are filed by or coordinated through the same or coordinated counsel within a 90-day period, the AAA Mass Arbitration Supplementary Rules and Consumer Mass Arbitration Fee Schedule govern fee allocation and process.

14.6 Coordinated or mass filings

In any coordinated or mass filing, an initial tranche of 10 to 20 bellwether cases will proceed first; the remaining demands are stayed, and per-case fees are not assessed, pending the bellwether outcomes and a global mediation window.

14.7 Your right to opt out

You may opt out of this Section 14 within 90 days of first accepting these Terms by emailing legal@tako.tax with your name, your account email, and a statement that you opt out of arbitration. Opting out will not affect any other part of these Terms.

14.8 Non-waivable rights

Nothing in this Section limits any right or remedy that applicable law makes non-waivable.

15. Governing law

These Terms are governed by the laws of the State of Washington, without regard to conflict-of-laws principles. This choice of law does not deprive you of the protection of any provision of the law of your state of residence that cannot be waived by agreement; to the extent any such non-waivable provision conflicts with these Terms, that provision controls solely as to you and solely to the extent it cannot be waived.

16. Changes to these Terms

TakoTax may update these Terms from time to time, including when electronic filing is enabled, when supported scope changes, or when IRS e-file requirements change. Continued use after updated Terms become effective constitutes acceptance of the revised Terms.

17. Contact

Questions about these Terms may be sent to support@tako.tax.