Don't pass this along

WE THINK NOTHING of passing along a book or video we've enjoyed to a friend, but what about a software CD? In the case of Intuit's TurboTax, at least, you'd better think twice.

The Gripe Line has been buzzing with complaints from readers about the product-activation scheme Intuit has implemented in this year's version of TurboTax. "Basically the program must be installed on the computer that you will eventually complete your taxes on," wrote one reader. "I have several computers that I work on, and I am constantly upgrading several at any one time. When I asked Intuit about this, they told me I needed to purchase another license to install when it comes time to print."

Many readers pointed out various problems they might have due to being restricted to printing or electronically filing their tax returns from the same computer on which they first activated the program. Those who were planning to buy a new computer before they were ready to file, or those who didn't install the program on the computer they must use to file, struggled to get answers from Intuit as to what they should do. Longer term, many wondered how easy it would be to carry over data in subsequent years or to file amended tax returns after the computer system they'd used TurboTax on was long gone.

Even more distressing was the discovery by some users that the product activation software Intuit is using -- based on Macrovision's Safecast technology -- remains active even when TurboTax is not in use. "There was no mention made of software other than TurboTax being installed, especially not of things that would run anytime my computer was running, even after TurboTax was uninstalled! Yet, they installed software that does just that, and who knows what else. As an individual, I feel that, in a way, my computer has been vandalized. After all, software was installed without my knowledge -- and therefore without my consent -- that is using my electricity, CPU cycles, network bandwidth, and not least of all, [is] irritating me."

Intuit says it knew that some users would be upset with the product activation system, although I get the feeling Intuit officials didn't anticipate quite the firestorm the system has produced. "Sure, there's going to be a certain percentage who switch, but we think most customers will have no trouble with it," says Scott Gulbransen, Intuit corporate communications manager. Gulbransen emphasizes that the Safecast technology employed in TurboTax collects no personal or system information, displays no ads, and makes no Internet communications beyond those required for activation. (Macrovision officials confirm this, adding that their software has to remain active in order to work properly with Windows XP.) "It is not spyware, as some on the Internet are saying," Gulbransen says. "We don't collect any personally identifiable information at all, and we can't look at the configuration of your hardware. The program doesn't chew up system resources at all, and it can be uninstalled when you wish."