They are making things right tomorrow by upgrading every Dexluxe owner for free and putting back the features in next year's version. The CEO also gave a very sincere apology.
They are nowhere close to making it right.
I have been using TurboTax Deluxe for 15+ years without even thinking about it. I have a minimal amount of iOS app income (net about $100/year right now) so I need to file a minimal Schedule C. I bought TurboTax for 2014 a couple of weeks ago and installed it, but was waiting for W-2s, so hadn't entered any numbers yet.
A week and a half ago, Intuit and its CEO sent me e-mail with a "very sincere apology" that explained that I was eligible for $25 towards upgrading. As explained in the e-mail, they were improving the customer experience by removing functionality and it was really being done for customer benefit or something like that. I had no idea what the letter was referring to, so did a search and found that they had disabled Schedules C, D & E in TurboTax Deluxe and there had been a huge outcry.
I thought that they had disabled the wizards that walk you through the forms, but found out that I was wrong when I started entering numbers into TurboTax. I tried to select Schedule C and was told that I needed to upgrade TurboTax and that it would cost $40. Note that Intuit was only offering to reimburse $25 towards an upgrade. At that point, I removed TurboTax from my computer and returned it to Costco and bought competing tax software.
One interesting thing to note is that the product info on the Intuit web page still indicated that TurboTax Deluxe could be used to file Schedule C even though it actually could not.
Yesterday, Intuit and its CEO sent me another e-mail with a "very sincere apology" which explained the they would be reverting TurboTax Deluxe back to the way that has been for years (but, if you had already paid for an upgrade and already filed your taxes, they were still only reimbursing $25, even though the actual upgrade cost could be more). Since I now already have other tax software, I will not be taking them up on the offer.
As I said, I would just buy TurboTax every year without thinking about it and I know a lot of people who did the same. The idea to try and squeeze even more money out of people, resulting in people thinking about whether to buy their product and considering a competitor, has got to be among the worst 'penny-wise, pound-foolish' business decisions ever made.