1. To Catch a Tax Thief

2. Tax Fraud Season
Taxpayers can encounter scams at any point in
the year, but many schemes peak during filing
season as people prepare their returns.
February 27, 2012 © 2003-2011 Identity Theft 911, LLC. All Rights Reserved - Confidential 2

3. IRS Warning
“Taxpayers should be careful and avoid falling into a
trap. Scam artists will tempt people
• in person
• online, and
• by email
with misleading promises about lost refunds and free
money. Don’t be fooled.”
— IRS Commissioner Doug Shulman
February 27, 2012 © 2003-2011 Identity Theft 911, LLC. All Rights Reserved - Confidential 3

4. Protect Yourself
Learn about the most common schemes and how
to spot them so you don’t become a victim. Here
are four scams and telltale signs you’ve been
targeted by an identity thief.
February 27, 2012 © 2003-2011 Identity Theft 911, LLC. All Rights Reserved - Confidential 4

5. 1. Tax Return Fraud
What is it?
Thieves use a legitimate taxpayer’s identity and
personal information to file a tax return and claim a
fraudulent refund.
In 2011, the IRS protected more than $1.4 billion of
taxpayer funds from getting into the wrong hands due
to identity theft.
February 27, 2012 © 2003-2011 Identity Theft 911, LLC. All Rights Reserved - Confidential 5

6. Tip-off you’ve been targeted:
If you receive an IRS notice saying that more than one tax
return was filed in your name or that you received wages
from an unknown employer.
February 27, 2012 © 2003-2011 Identity Theft 911, LLC. All Rights Reserved - Confidential 6

7. 2. Phishing
Scammers send fake emails that appear to come
from legitimate sources and trick taxpayers into
providing personal and financial information.
Emails sometimes send users to fake websites
as part of the scheme.
Scammers often bait victims with
promises of a tax refund or requests
for updated information (such as a
new W-2 form).
February 27, 2012 © 2003-2011 Identity Theft 911, LLC. All Rights Reserved - Confidential 7

8. Tip-off you’ve been targeted:
The IRS does not initiate contact with taxpayers by email
to request personal or financial information.
Unsolicited email from the IRS or a closely linked
organization, such as the Electronic Federal Tax
Payment System, is likely to be fake.
February 27, 2012 © 2003-2011 Identity Theft 911, LLC. All Rights Reserved - Confidential 8

9. 3. Return Preparer Fraud
Most people who prepare returns provide
honest service, but there are some who
prey on unsuspecting consumers.
Such individuals might skim off a
person’s refunds or charge extra,
unnecessary fees.
February 27, 2012 © 2003-2011 Identity Theft 911, LLC. All Rights Reserved - Confidential 9

10. Tip-off you’ve been targeted: If the return preparer
• Does not sign your return or place a Preparer Tax
Identification Number on it.
• Does not give you a copy of your tax return.
• Promises larger than normal tax refunds, or charges a
percentage of the refund amount as a preparation fee.
• Adds forms to the return that you have never filed
before.
• Encourages you to put false information on your return.
February 27, 2012 © 2003-2011 Identity Theft 911, LLC. All Rights Reserved - Confidential 10

11. 4. “Free Money”
Scammers lure people with advertisements for free
money from the IRS, suggesting taxpayers can file returns
with little or no documentation.
They go on to charge good money for
bad advice; by the time claims are
rejected, the scammers are gone.
Scammers also lure victims with
promises of nonexistent Social
Security refunds or rebates.
February 27, 2012 © 2003-2011 Identity Theft 911, LLC. All Rights Reserved - Confidential 11

12. Fake fliers of this nature have been appearing in community
churches, and the schemes often spread further by word of
mouth.
Low-income individuals and the
elderly are particularly vulnerable.
Be vigilant, and use common sense.
If a promise seems too good to be
true, it probably is.
February 27, 2012 © 2003-2011 Identity Theft 911, LLC. All Rights Reserved - Confidential 12

13. Remember: The best offense is a good defense.
Learn how to protect your personal information.
Learn how to recognize scams.
If you encounter any suspicious activity, report it to the
proper authorities.
February 27, 2012 © 2003-2011 Identity Theft 911, LLC. All Rights Reserved - Confidential 13

14. If you suspect your identity has been stolen, call your
insurer or bank, which might provide LifeStages™ Identity
Management Services from Identity Theft 911.
Or contact us directly. One of our fraud investigators will
provide practical support until your credit record is
restored, and help you pursue criminal and civil legal
action against the identity thief.
February 27, 2012 © 2003-2011 Identity Theft 911, LLC. All Rights Reserved - Confidential 14