The IRS is warning individuals to stay alert and be weary of shady tax preparers.
Watch for warning signs, including charging a fee based on the size of the refund or asking you to sign a blank return.
Check out the IRS’ annual Dirty Dozen campaign, a list of 12 scams and schemes that put taxpayers and the tax professional community at risk of losing money, personal information, data and more.
An updated list can be found on the IRS’ website: https://www.irs.gov/newsroom/dirty-dozen
Red flags to watch out for include:
- A tax preparer who refuses to sign a return or include their IRS Preparer Tax Identification Number (PTIN) as required by law
- Asking for a cash only payment without providing a receipt
- Inventing false income to try and get their clients more tax credits
- Claiming fake deductions to boost the size of the refund
- Direct refunds into their bank account, not the taxpayer’s account