warning Hi, we've moved to USCANNENBERGMEDIA.COM. Visit us there!

Neon Tommy - Annenberg digital news

IRS Releases List Of "Dirty Dozen" Tax Scams

Rosa Trieu |
February 17, 2012 | 2:27 p.m. PST

Executive Producer

 

The IRS is warning taxpayers about scams that peak during return filing season. (Creative Commons)
The IRS is warning taxpayers about scams that peak during return filing season. (Creative Commons)

The International Revenue Service released today its annual list of “Dirty Dozen” scams for taxpayers to look out for as they file their tax returns. The list is for common scams that taxpayers may encounter during the season but the IRS said many of them peak during filing season.

“Taxpayers should be careful and avoid falling into a trap with the Dirty Dozen,” IRS Commissioner Doug Shulman said in a statement Tuesday. “Scam artists will tempt people in-person, on-line and by e-mail with misleading promises about lost refunds and free money. Don’t be fooled by these scams.”

According to the statement, the IRS stopped more than $1.4 billion taxpayer funds from getting into the wrong hands due to identity theft last year.

In January, the IRS announced the results of a massive crackdown on suspected identity theft, which targeted 105 people in 23 states.

Another scam listed is phishing, which is a scam usually carried out via email or a fake website that poses as a legitimate site baiting victims to provide valuable personal and financial information.

The IRS also warned taxpayers against return preparers who may skim off their clients’ refunds, charge inflated fees for return preparation services and attract new clients by promising guaranteed or inflated refunds.

Other scams the IRS listed were: hiding income offshore; “free money” from the IRS and tax scams involving social security; false or inflated income and expenses; false form 1099 refund claims; frivolous arguments; falsely claiming zero wages; abuse of charitable organizations and deductions; disguised corporate ownership and misuse of trusts. The full list can be viewed here.

 

 

 

Follow Executive Producer Rosa Trieu on Twitter.



 

Buzz

Craig Gillespie directed this true story about "the most daring rescue mission in the history of the U.S. Coast Guard.”

Watch USC Annenberg Media's live State of the Union recap and analysis here.