Tax Scam AlertOctober 11th, 2011 at 3:01 pm by Christine Bethea under 10 On Your Side, Scam Alert
We’re hearing of a tax scam in Suffolk where victims (mainly senior citizens) are being told that they are entitled to a rebate of up to $4000. The victim is told to get the last three year’s worth of 1099 statements from Social Security. Using the statements, the scam artist prepares three years worth of tax returns for a fee, reporting false information generating a bogus refund. We’ve been told the filing fee is around $25 per tax year. In many cases, the IRS will catch mistakes and not mail the bogus refund amount. If the bogus refund is mailed and the IRS discovers the discrepancies later, the taxpayer if forced to pay the money back…interest and penalties included.
In the meantime, the scam artist has earned the filing fee(s) and can no longer be found.
The victim is not only out of the money they’ve spent on “filing fees”, but have also become candidates for identity theft.
Please warn your loved ones about this scam. It is so easy to become enticed by this so called easy money.