The Internal Revenue Service issued more than $11 billion in improper payments through its Earned Income Tax Credit program last year, according to an inspector general’s reportreleased this week.
Treasury Department deputy inspector general Michael McKenney found that the IRS has failed to comply for two consecutive years with the Improper Payments Elimination Act, which President Obama signed in 2010. The law requires federal agencies to reduce erroneous payments to a rate of [...]
Tax refund fraud among the nation’s prison population has grown more than 1,000 percent in the last decade according to the latest data obtained by NBC Bay Area’s Investigative Unit from the Treasury Inspector General for Tax Administration in Washington, D.C.
The Inspector General told NBC Bay Area that in the last tax year the IRS caught and stopped more than $1.7 billion in fraudulent tax refunds filed by prison [...]
2012 saw $2.5 billion fraudulently claimed by nation’s inmates
Many used stolen identities after scouring obituaries and filed other false work and housing information in an attempt to get tax refunds
The year’s figures more than double 2010′s
Tax fraud appears to be a popular billion-dollar pastime in the nation’s prisons, but the Internal Revenue Service is catching on.
The U.S. Treasury Department has revealed that more than 173,000 fraudulent tax returns were filed [...]
Either one particular home in South Florida is really, really crowded, or there’s something shady going on.
In 2010, 741 tax returns were filed to the federal government from a single address in Belle Glade, Fla., the South Florida Sun-Sentinel reports. In response, the Internal Revenue Service issued over $1 million in combined tax refunds to that address, which is, y’know, embarrassing.
Most or all of those returns were probably filed by identity thieves, [...]
The IRS is paying out billions of dollars in fraudulent tax refunds to identity thieves; a problem that the tax service’s inspector general told CNBC is a “growing problem” involving numbers that are increasing “exponentially.”
In a new report to be issued Thursday, the inspector general for the IRS says that tax thieves are stealing the identities of taxpayers and then filing bogus returns on their behalf and collecting fraudulent refunds [...]
WASHINGTON — Senate Republicans will press this week to extend tax cuts for affluent families scheduled to expire Jan. 1, but the same Republican tax plan would allow a series of tax cuts for the working poor and the middle class to end next year.
Republicans say the tax breaks for lower-income families — passed with little notice in the extensive 2009 economic stimulus law — were always supposed to be [...]
by George Washington
Illegal Aliens Scam Tax Refunds
For years, American taxpayers have been shelling out $4.2 billion dollars per year to pay for a scam.
A report by the Inspector General found that some 2 million illegal immigrants have been receiving large tax refunds by pretending that numerous dependents live with them … when, in fact, most of the dependents live in Mexico and have never lived in the United States.
Once whistleblowers called attention to [...]
Ethan A. Huff
July 17, 2012
(NaturalNews) Many Americans right now are reeling in disgust over the Supreme Court’s recent decision to uphold the constitutionality of the Affordable Care Act. But according to a recent report byMy Way News, the Internal Revenue Service (IRS), which will allegedly be tasked with enforcing the new health insurance mandate in the form of a “tax” for non-compliance, does not actually have the authority or legal standing to [...]
An undocumented worker in southern Indiana told 13 Investigates just how easy it truly is.
He said four other illegal immigrants file tax returns using his address, even though none of them actually lives there. And he said this year, those four workers filed tax returns claiming 20 children live inside his small trailer home. As a result, the IRS sent the illegal immigrants tax refunds totaling more than $29,000.
But none [...]
The Internal Revenue Service doesn’t know how many identity thieves are filing fraudulent tax returns, and the agency risks issuing approximately $26 billion in fraudulent tax refunds tied to identity theft in the next five years, a watchdog told lawmakers Tuesday.
The IRS received 2.2 million fraudulent tax returns in 2011 and found that 940,000 of the returns, with $6.5 billion in associated fraudulent refunds, involved identity theft, according to J. [...]
As a true and factual statement of how bad off our economy is, and how much Obama and the criminals and BLS in Washington are lying, up to a million people can’t afford to declare bankruptcy. Does that sound like a “recovery” to you? And, of course, even if you can afford to declare bankruptcy, you cannot discharge your student loan debt, the total of which is over $1 trillion [...]
UNDATED (CNNMoney) — This year, hundreds of thousands of Americans are expected to be too broke to file for bankruptcy.
The average cost to file for Chapter 7 bankruptcy protection, the most common form of consumer bankruptcy, is more than $1,500, according to recent research submitted to the National Bureau of Economic Research.
As a result, anywhere between 200,000 and one million consumers are estimated to be unable to afford that steep [...]
In yet another sad reflection on the state of the Schrodinger-economy, USA Today notes that over 200,000 households will use their tax rebate this year to pay for (drum roll please) a bankruptcy filing and associated legal fees. The NBER research confirms a little known fact (outside of bankruptcy lawyer circles) that ‘at the first part of the year, when Americans receive their tax refunds, there almost always is a spike in personal [...]
During February and the first week or two of March, Individual Tax Refunds were running notably ahead of 2011 comparable data. More importantly, after a slow start, the rapid increase in refunds could have perhaps helped buffer the initial gas-price-related ‘tax-hike’ consumers were concerned about and yet not showing up in retail sales. However, as Stone & McCarthy notes today, the IRS reports that the dollar volume of individual income tax [...]
From Financial Highway:
North Americans are getting smarter with their tax refunds. According to the National Retail Federation’s Tax Returns Consumer Survey, 43.8% of refund recipients — the most in the survey’s history — plan to save a portion of the cash.
Simply saving, however, may not be the best tactic when trying to get the most from the potentially sweet lump sum.
Whether you plan to be part of this promising statistic [...]
When I was judged to have defaulted on a student loan in 1988, it was a government backed Stafford loan as they all are, issued by a private bank which checks your eligibility and then sits back and collects the interest, if you ever go into default on the loan they get to shed the risk by dumping the loan onto the taxpayers who make them whole upfront. In my [...]
BY ANNA M. TINSLEY
Star-Telegram Staff Writer
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by Donna Freedman
I got a big income tax refund last year.
Well, I would have, if I hadn’t applied it toward the quarterly taxes I pay as a freelancer.
What are you going to do with your refund, if any?
My MSN Money colleague Liz Pulliam Weston suggests spending 10 percent of any windfall on something non-essential.
But don’t let the rest of the money trickle away.
I’m not going to address the idea that tax refunds are of the devil, i.e., [...]
Controller: State to run out of cash in March without action
California will run out of cash by early March if the state does not take swift action to find $3.3 billion through payment delays and borrowing, according to a letterstate Controller John Chiang sent to state lawmakers today.
The announcement is surprising since lawmakers previously believed the state had enough cash to last through the fiscal year that ends in June.
But Chiang said additional cash management [...]
Judy Baar Topinka (Photo From Judy Baar Topinka Website)
SPRINGFIELD, Ill. (CBS) — Illinois keeps falling farther behind on its debt.
As WBBM Newsradio’s Regine Schlesinger reports, officially, the state has a backlog of more than $4.25 billion in unpaid bills.
LISTEN: WBBM Newsradio’s Regine Schlesinger reports
But Illinois State Comptroller Judy Baar Topinka says when one factors in other bills, the figure is closer to around $8.5 billion.
Those other outstanding bills include tax refunds, [...]
By Bob Sullivan
It’s perhaps the very definition of Red Tape. Four years ago, Congress decided that the IRS should get into the banking business, authorizing it to give out no-interest loans to first-time homebuyers. That put the agency in the position of both collecting loan payments and issuing tax refunds to the roughly 1 million taxpayers who took advantage of the program.
This year, the [...]
INDIANAPOLIS (AP) — Indiana Gov. Mitch Daniels, nearing an announcement on whether to run for president, is spending the final week of his state’s legislative session pushing for the final pieces of a record that would be ready-made for a Republican campaign: a balanced budget, tax refunds and a school voucher program.
This week’s unexpected decision by Mississippi Gov. Haley Barbour, a Daniels friend, to [...]
A quick look at today’s just released total debt to the penny from the Treasury may crimp the artificial smile of even such die hard administration sycophants as Moodys. Why: because the total debt, as we predicted when we observed last week’s 30 Year auction, is now at $14,305,336,580,992.11. This is a problem because as anyone who rails against the broken US fiscal apparatus should [...]