HOUSTON (KIAH) – Tax season kicks off this week and the IRS Criminal Investigation wants taxpayers to be aware of tax-related fraud.
As the W2’s roll in and tax season begins, so do the phishing scams or unscrupulous tax preparers. Before filing, there are a few things you need to know.
First, all U.S. taxpayers can be taxed on worldwide income from all sources. You are required to report all taxable income and pay any money owed. Anyone caught committing tax fraud can be subject to penalties including payment of taxes owed plus interest, fines, and jail time.
One taxpayer, Tiffany Phenix pleaded guilty last April to aiding and assisting in the preparation of a false U.S. individual income tax return.
Phenix was sentenced to 15 months in prison, followed by one year of supervised release, and ordered to pay over $284K in restitution.
According to the IRS Criminal Investigation Division, Here are 10 tips for filing this year:
- Choose a tax preparer wisely. Look for a preparer who is available year-round.
- Ask your tax preparer for their IRS Preparer Tax Identification Number (PTIN). All paid
preparers are required to have one. - Don’t use a ghost preparer. They won’t sign a tax return they prepare for you.
- Don’t fall victim to tax preparers’ promises of large refunds. Taxpayers must pay their fair
share of taxes. - Don’t sign a blank tax return. Taxpayers are ultimately responsible for what appears on
tax returns filed with the…
