VIRGINIA BEACH, Va.--(BUSINESS WIRE)--Liberty Tax Service CEO, John T. Hewitt, sees the latest news surrounding the retail tax preparation business as "an interesting development." The Office of Thrift Supervision (OTS) recently informed Meta Bank that it must obtain the OTS Regional Director's approval to originate, directly or through any third party, income tax refund anticipation loans or other loans where the expected source of repayment is a tax refund.
According to Liberty's CEO, John Hewitt "This new development adds a level of complication for many small tax preparation offices, as Meta Bank is one of the few financial institutions still participating in refund loan product disbursements. Seemingly this directive might very well not allow Meta Bank to continue offering products for tax-related programs. Many tax preparers will be left without any option to provide an accelerated refund loan."
Liberty expects to offer a full range of refund loan and refund transfer products this coming season."We believe that this means thousands of independent tax preparers and possibly a substantial number of Jackson Hewitt Tax offices won't be able to offer Refund Anticipation Loans next tax season. This new development could very well create an immediate consolidation of the retail tax business. In industry after industry, consolidation is usually initiated by regulation and stricter standards," commented Hewitt.
Liberty Tax Service has formed a special Merger and Acquisition Team to work on this unique consolidation opportunity. "We welcome inquiries from any tax professional who might be interested in exploring an opportunity with our company," said Hewitt.
Liberty Tax Service is the fastest-growing retail tax preparation company in the industry's history. Founded in 1997 by CEO John T. Hewitt, a pioneer in the tax industry, Liberty Tax Service has prepared over 8,000,000 individual income tax returns. With 41 years of tax industry experience, Hewitt stands as the most experienced CEO in the tax preparation business, having also founded Jackson Hewitt Tax Service (NYSE:JTX). The Liberty Tax Service franchise opportunity is #9 on the fastest growing franchise list of the latest Entrepreneur "Franchise 500".