IRS Warns Against Tax Scams
Tax refunds put large amounts of money in peoples’ hands, meaning tax season provides opportunities for con artists to prey on unsuspecting marks. The Internal Revenue Service is attempting to get ahead of the game by sending out warning signs of potential scams in a press release sent through the Better Business Bureau.
Here’s what to look out for:
* Don’t work with a tax preparer who bases his fee on a percentage of your refund.
* If your tax pro refuses to sign the return and give you a copy, go elsewhere.
* Verify that your tax pro is an attorney, certified public accountant or enrolled agent. Those are the only people who can represent you if the IRS decides to press you about your return.
* If you suspect tax fraud, file a form 3949-A (PDF) to report it.
(Thanks, Nick!)
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