'We will find you': Feds send message to Texans committing tax fraud
AUSTIN (KXAN) — The start of tax season came with a warning Thursday from the federal government about how it intends to fight and monitor fraud throughout Texas.
Prosecutors from the U.S. Department of Justice along with investigators from the Internal Revenue Service held a news conference in Austin to talk about their efforts to look into tax evasion and other white collar crimes in the state.
"As we enter this tax season, while most Americans file their taxes accurately and honestly, there are individuals who choose deception and greed," Ramsey Covington, an IRS special agent, said Thursday. "They involved themselves in tax fraud, identity theft, various schemes including those related to COVID and employee retention credits. Let me clear — if you are contemplating criminal activity, know this: we are steadfast in our pursuit of those who seek to defraud the tax system."
They highlighted how the IRS criminal investigations office in Houston helped secure the sentencing of 96 defendants during fiscal year 2023, who are collectively serving nearly 400 years in prison and ordered to pay $22 million in restitution. One federal prosecutor based in Dallas also noted how her office already indicted two people this year on tax-related charges.
The federal authorities who talked Thursday also advised people to be careful when they're filing their tax return, especially if they're using a preparer or a tax refund service.
Christopher Altemus Jr., another IRS special agent, shared the following tips to keep in mind when choosing a tax return preparer:
- Look for a preparer who's available year-round in case questions come up later.
- Avoid those who base their fees on the percentage of the refund.
- Be wary of preparers who guarantee a large refund.
- Never sign a blank or incomplete tax return.
- Always review the tax return before signing it and ask questions if something is unclear or inaccurate.
The IRS named Monday as the official start date of the 2024 tax season, and it expects more than 128.7 million tax returns to be filed by the April 15 tax deadline. This came as the agency underwent a big overhaul utilizing the billions of dollars directed to the agency through the Inflation Reduction Act signed into law in 2022.