Government Waste Strikes Again!! $$$$

iVillage Member
Registered: 04-04-2001
Government Waste Strikes Again!! $$$$
21
Fri, 08-03-2012 - 2:52pm

From:  CNBC

Tax Scam: IRS Pays Out Billions in Fraudulent Refunds
Published: Thursday, 2 Aug 2012 | 3:25 PM ET
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By: Eamon Javers
CNBC Washington, DC Correspondent
 
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IRS
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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 as a result.

The inspector general estimates that the IRS could issue as much as $21 billion in fraudulent tax refunds over the next five years.

The scam is so rampant that thieves are apparently sending in false returns in bulk without even bothering to change the mailing address on the returns. The inspector general said it found one residential address in Lansing, Michigan that was the source of an astonishing 2,137 tax returns, and to which the IRS directed more than $3.3 million in potentially fraudulent refunds.

 

 
 
 

In another case, a single residential address in Chicago was the source of 765 tax returns, generating more than $900,000 in potentially fraudulent refunds, the report said.

“Once the money is out the door, it is almost impossible to get it back,” IRS inspector general J. Russell George told CNBC. “The bad guys know that the IRS is unable, given the limited number of its staff it has, to address every single allegation of tax fraud it has.”

The report said the identity theft scam is most prevalent in Florida, with two cities, Tampa and Miami, topping the list of potentially fraudulent claims. Tampa saw 88,724 potentially fraudulent returns filed, generating refunds of more than $468 million. And Miami saw 74,496 potentially fraudulent returns generating more than $280 million in possibly bogus returns.

 

 
"Once the money is out the door, it is almost impossible to get it back.”

J. Russell George
Inspector General, IRS

 

The inspector general concluded that the IRS is simply not doing enough to stop identity theft fraud. “Unfortunately, the IRS is not using information that it currently has, nor information that could be available to them,” George said.

In its analysis, the inspector general’s office said it identified approximately 1.5 million tax returns with potentially fraudulent tax refunds that the IRS had missed during tax year 2010. The potential fraud for that one year totaled in excess of $5.2 billion. That led the report’s authors to estimate that the “IRS could issue approximately $21 billion in fraudulent tax refunds resulting from identity theft over the next five years.”

Among the report’s other findings, was that the “use of direct deposits, including debit cards, to claim fraudulent tax refunds increases the risk that the IRS will not detect identity theft. The IRS continues to allow multiple direct deposits to the same bank account.”

The inspector general recommended that the IRS make certain changes in the way it operates internally, and that it push for new legislation on Capitol Hill that would give it access to the National Directory of New Hires database to help weed out identity theft.

In a response to the critical report, IRS wage and investment division commissioner Peggy Bogadi wrote, “We are devoting significant resources to combat tax refund fraud using stolen identities and have already taken action with respect to issues identified in the report.” And because of actions the IRS has already put in place, she wrote, “we believe that the report’s projection of undetected fraudulent refunds over the next five years is significantly overstated.”

 

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© 2012 CNBC.com

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Avatar for xxxs
Community Leader
Registered: 01-25-2010
Tue, 10-09-2012 - 4:12pm

That's right useless GOP.  Talking old homlies to make the stupid feel good.Truth is  the GOP is the problem.  It was the GOP that caused trickle down disaster.  It is the Gop that won't comprimise.  It is the GOP that is working to help the new carpetbaggers and leave the rank and file Americans with $8.00 hr jobs.     Actually they will create distruction and move us toward real devisive politics. 

chaika

iVillage Member
Registered: 04-04-2001
Tue, 10-09-2012 - 11:59am

The Republican party welcomes members of all races  - should you wish to join, I am sure they would happily welcome you.  I hope you choose your political affiliation based on philosophy and effectiveness.  Under Obama, welfare and food stamp roles have swelled, record numbers of homes have been foreclosed, record numbers of Americans are not only unemployed but have given up even looking for work - the hope on which he campaigned has turned out to be hope for a government handout rather than hope for a productive and self-sufficient life!  Whatever the race of the candidate or the racial composition of the party. . .that party would not be for me!

iVillage Member
Registered: 04-04-2001
Re: Government Waste Strikes Again!! $$$$
Tue, 10-09-2012 - 11:49am
People should be judged by the content of their character rather than the color of their skin. When I hire someone - and government officials are hired and paid by us - I choose them based on their ability to effectively do their job. By the way I hire people of all races!
iVillage Member
Registered: 04-04-2001
Tue, 10-09-2012 - 11:45am
If the company and banks didn't have appropriate security measures in place, did not take appropriate measures to end the problems once made aware and continued paying out millions unnecessarily. . .indeed, I would call it waste - as well as incompetence!
iVillage Member
Registered: 10-25-2006
Fri, 09-14-2012 - 5:08pm

Well then, I guess we can agree to disagree.

-----------------------------------------------
http://www.pnhp.org/news/2009/october/meet_the_new_health_.php

http://www.youtube.com/watch?v=DQTBYQlQ7yM

Avatar for xxxs
Community Leader
Registered: 01-25-2010
Fri, 09-14-2012 - 12:34am

That is purely not reality.  The composition of any political group is of far less importance than the policies they espouse.

chaika

iVillage Member
Registered: 10-25-2006
Thu, 09-13-2012 - 7:07pm

The racial composition of any group says a lot about it.  A group that is 92% white should not be setting policy (via their platform) for a populace that is:

72% white

13% black

5% Asian

The rest reported "other" or "mixed" in the 2010 census.

True, no party's members will ever perfectly match the make-up of the U.S., but 92% white is not even close.

http://2010.census.gov/news/releases/operations/cb11-cn125.html

I care a lot about the racial composition of the party from which my elected officials come.  Just compare the two party's platforms--they are very different, in large part because of the type of people each party represents.  Statistics don't lie.

http://2012.talkingpointsmemo.com/2012/09/chart-the-racial-makeup-of-obama-romney-presidential-coalitions.php

-----------------------------------------------
http://www.pnhp.org/news/2009/october/meet_the_new_health_.php

http://www.youtube.com/watch?v=DQTBYQlQ7yM

Avatar for xxxs
Community Leader
Registered: 01-25-2010
Thu, 09-13-2012 - 5:12pm

That ship never was.

   The Government owns all property.  The ability to tax is money paid to the true owner.  There is no state in the US that does not tax land ownership.  The comes from the crown (Government) being the owner.

Personal freedoms: life, liberty,pursuit of happiness? Nah!  Dream on.

As I said before Both radical left or right are exactly the same.  Tyrants!

chaika

iVillage Member
Registered: 03-02-2009
Thu, 09-13-2012 - 5:02pm
xxxs wrote:

What values?

Personal freedoms, personal responsibility to name a couple. And rights like private property. And one of the reasons we broke from England, we are not here to serve the government, it is here to serve us.

The left doesn't get my vote because they fight for the government, they take our rights, freedom, and property and give it over to the government.

"Resist, we much. We must, and we much. About that, be committed."

Avatar for xxxs
Community Leader
Registered: 01-25-2010
Thu, 09-13-2012 - 1:24pm

What values?

chaika

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