10 Million US Taxpayers Have So Far Missed Out On Phone Tax Refund

by Mike Godfrey, Tax-News.com, Washington

27 February 2007

The US Internal Revenue Service last week revealed that more than 10 million early filers had not requested the one-time telephone tax refund, and urged taxpayers to check if they qualify.

In the first release of this year’s weekly filing season statistics on Friday, the IRS announced that about 30% of all taxpayers had not requested the telephone tax refund.

“Many taxpayers are overlooking this special refund and the chance to get a bigger refund,” announced IRS Commissioner Mark W. Everson.

He added:

“We encourage taxpayers to spend a few extra minutes reviewing their tax return to make sure they are making an accurate request. A little extra time can mean a bigger refund check.”

Despite encouraging taxpayers to collect the refund if they are eligible, the IRS is cracking down hard on those who try to claim more than they should.

Search warrants were recently issued in seven cities by special IRS agents seeking evidence from tax-preparation businesses suspected of preparing returns on behalf of clients requesting egregious amounts.

IRS criminal investigators served search warrants at tax preparation businesses in Atlanta, Ga.; Dallas, Tyler and Athens, Texas; Riverside, Calif.; Miami, Fla.; and Baton Rouge, La. Special agents temporarily closed the businesses, seizing computers and documents to use in their investigations.

Along with the IRS enforcement action in seven cities, other tax preparers across the nation who are preparing questionable telephone tax refund requests received visits from IRS revenue agents (auditors) and special agents.

The IRS advised taxpayers to stay away from unscrupulous promoters and tax preparers who make false claims about the telephone tax refund and suggest that many, if not most, phone customers can get hundreds of dollars or more back under this program.

Recommended