Intuit, the parent company of TurboTax, has announced plans to reduce its workforce by 10%, affecting approximately 1,800 jobs. This move comes as Intuit shifts its focus towards enhancing its AI-powered tax preparation software and other financial tools.

The company intends to close two sites in Edmonton, Canada and Boise, Idaho, while aiming to rehire for new positions primarily in engineering, product development, and customer-facing roles.

CEO Sasan Goodarzi outlined that while 300 roles will be eliminated to streamline operations, another 80 technology positions will be consolidated across locations such as Atlanta, Bengaluru, and Tel Aviv.

This restructuring effort is expected to incur costs between$250 million and$260 million, with significant charges anticipated in the fourth quarter of this year.

Despite the layoffs, Intuit plans to ramp up its investments in generative AI and expand its market presence, targeting regions including Canada, the United Kingdom, and Australia. Goodarzi expressed confidence in growing the company's headcount beyond fiscal 2025, following recent positive financial performance and increased demand for its AI-integrated products.