H&R BLOCK INC — Director's Dealing 2004

Jul 1, 2004

SEC Form 4 — Statement of Changes in Beneficial Ownership

Issuer: H&R BLOCK INC (HRB)
CIK: 0000012659
Period of Report: 2004-06-30

Reporting Person: YABUKI JEFFERY W (Executive VP and COO)

Non-Derivative Transactions

Date	Security	Code	Shares	Price	A/D	Holdings After	Ownership
2004-06-30	Common Stock, without par value	A	5000	$47.680	Acquired	63934.0389	Direct
2004-06-30	Common Stock, without par value	J	328.387	$48.120	Acquired	64262.4259	Direct

Derivative Transactions

Date	Security	Exercise Price	Code	Shares	A/D	Expiration	Underlying	Ownership
2004-06-30	Call Option to Purchase	$47.680	A	90000	Acquired	2014-06-30	Common Stock, without par value (90000.00)	Direct

Holdings (Non-Derivative)

Security	Shares	Ownership
Common Stock, without par value	1194.6040	Indirect

Holdings (Derivative)

Security	Exercise Price	Expiration	Underlying	Shares	Ownership
Call Option to Purchase	$23.188	2009-09-07	Common Stock, without par value (80000.00)	80000.00	Direct
Call Option to Purchase	$16.188	2010-06-30	Common Stock, without par value (70000.00)	70000.00	Direct
Call Option to Purchase	$32.275	2011-06-30	Common Stock, without par value (90000.00)	90000.00	Direct
Call Option to Purchase	$46.150	2012-06-30	Common Stock, without par value (90000.00)	90000.00	Direct
Call Option to Purchase	$43.250	2013-06-30	Common Stock, without par value (90000.00)	90000.00	Direct

Footnotes

F1: Restricted shares of Common Stock granted under the H&R Block, Inc. 2003 Long-Term Executive Compensation Plan.

F2: Units acquired under the H&R Block Deferred Compensation Plan for Executives, as Amended and Restated. Each unit has the value of one share of Common Stock.

F3: Units held under the H&R Block Retirement Savings Plan.