Tax Fraud Alert for Tax Professionals
Each tax year, the North Carolina Department of Revenue has noted
an increase in the number of individuals filing fraudulent returns
requesting refunds that they are not entitled to receive. The processing
of fraudulent returns takes valuable time and resources away from
the legitimate returns that you file for your clients.
You can help the Department during this tax season by looking for fraudulent tax information
and returns. Watch for things that, based on your experience, appear to be suspicious. Some
examples of things to watch for include:
- W-2's from a company in your area that differ from other W-2's issued by the same company;
- W-2's from a company that you know was not in business during the tax year;
- Multiple refunds going to the same address for different taxpayers;
- Multiple returns requesting a refund for the same amount;
- Multiple direct deposits to the same bank account for unrelated taxpayers;
- Excessive deductions and expenses that are not properly documented;
- ELF returns prepared by someone else that do not include the preparer's signature.
If you have any information regarding returns that you believe to be suspicious, please contact the Department of Revenue toll-free at 1-800-232-4939, or complete a Tax Fraud Referral Form and mail it to the Department. Any information you provide and the source of the information will be kept confidential.
Last modified on:
05/11/09 04:05:06 PM