Audit: IRS Issued More than $46 Million in Potentially Fraudulent Tax Refunds

Audit: IRS Issued More than $46 Million in Potentially Fraudulent Tax Refunds

by Caroline May 22 Dec 2015

http://www.breitbart.com/big-government/2015/12/22/audit-irs-issued-46-million-potentially-fraudulent-tax-refunds/

More than $46 million worth of tax refunds were erroneously issued last year to potentially fraudulent tax returns, says an audit conducted by the Treasury Inspector General for Tax Administration (TIGTA).

In an audit issued this week, conducted in response to an employee whistleblower, TIGTA found that the Internal Revenue Service failed to address concerns about some taxpayer cases in a timely manner, resulting in the release of tens of millions of potentially inappropriate refunds.

The audit blamed a commuter programming glitch and ineffective monitoring of potentially fraudulent returns.

According to TIGTA, because of a programming error over $27 million tax refunds were erroneously issued for 13,043 Tax Year 2013 tax returns. Another $19 million tax refunds were inappropriately issued due to “ineffective monitoring of potentially fraudulent tax returns” and premature return release.

“TIGTA identified 3,910 Tax Year 2013 tax returns selected for verification with no indication that tax examiners verified the returns,” the report reads. “The IRS issued refunds totaling over $19 million for these tax returns. The IRS did not ensure that tax examiners timely completed their verification work. Name mismatches in IRS systems prevented refund holds from posting to tax accounts. Refund holds were either not set correctly or not functioning as intended.”

TIGTA did highlight, however, that the IRS said that the Integrity and Verification Operations group prevented more than $15 billion in refunds for identity theft or fraud on tax returns last year.

“While the IRS has made important strides in its programs that prevent the issuance of fraudulent refunds, our auditors found that it is not always ensuring that tax examiners timely complete their verification work before releasing refunds,” J. Russell George, Treasury Inspector General for Tax Administration, said in a statement Monday.

TIGTA recommended that the IRS correct the computer glitch, develop processes to ensure that potential fraud cases are not released until a full verification is complete, and figure out why refund holds were ineffective for some accounts.

Treasury

Internal Revenue Service (IRS) is a division of the U.S. Department of the Treasury.

Note: Charles O. Rossotti was a commissioner for the Internal Revenue Service (IRS), and is a director at the Atlantic Council of the United States (think tank).

Open Society Foundations was a funder for the Atlantic Council of the United States (think tank).

George Soros is the founder & chairman for the Open Society Foundations, and was the chairman for the Foundation to Promote Open Society.

Foundation to Promote Open Society was a funder for the International Rescue Committee, and the Aspen Institute (think tank).

Timothy D. Adams is a director at the Atlantic Council of the United States (think tank), and was an undersecretary for the U.S. Department of the Treasury.

Herbert M. Allison Jr. was a director at the Atlantic Council of the United States (think tank), and an assistant secretary for the U.S. Department of the Treasury.

David D. Aufhauser is a director at the Atlantic Council of the United States (think tank), and was a general counsel for the U.S. Department of the Treasury.

James A. Baker III is an honorary director at the Atlantic Council of the United States (think tank), and was a secretary for the U.S. Department of the Treasury.

Kenneth W. Dam is a director at the Atlantic Council of the United States (think tank), and was a deputy secretary for the U.S. Department of the Treasury.

Stuart E. Eizenstat is a director at the Atlantic Council of the United States (think tank), and was a deputy secretary for the U.S. Department of the Treasury.

Robert M. Kimmitt is a director at the Atlantic Council of the United States (think tank), and was a deputy secretary for the U.S. Department of the Treasury.

Teresa M. Ressel is a director at the Atlantic Council of the United States (think tank), and was an assistant secretary for the U.S. Department of the Treasury.

George P. Shultz is an honorary director at the Atlantic Council of the United States (think tank), and was a secretary for the U.S. Department of the Treasury.

Neal S. Wolin is a director at the Atlantic Council of the United States (think tank), and was a deputy secretary for the U.S. Department of the Treasury.

Henry A. Kissinger is a director at the Atlantic Council of the United States (think tank), the founder of the Kissinger Associates, Inc., an overseer at the International Rescue Committee, a member of the Bohemian Club, a director at the American Friends of Bilderberg (think tank), was a lifetime trustee at the Aspen Institute (think tank), and a 2008 Bilderberg conference participant (think tank).

Timothy F. Geithner was a researcher for Kissinger Associates, Inc., a secretary for the U.S. Department of the Treasury, an overseer at the International Rescue Committee, and is a director at the International Rescue Committee.

Belizean_Grove is the equivalent to the male-only social group, the Bohemian Club.

Henrietta Holsman Fore is a member of the Belizean Grove, and a trustee at the Aspen Institute (think tank).

Deborah L. Wince-Smith is a member of the Belizean Grove, and was a member of the IRS Oversight Board.

IRS Oversight Board is a citizen’s board for the Internal Revenue Service (IRS).

Nancy Killefer was a member of the IRS Oversight Board, a nominee for chief performance officer at the U.S. Office of Management and Budget for the Barack Obama administration, and an assistant secretary for the U.S. Department of the Treasury.

Robert K. Steel was an undersecretary for the U.S. Department of the Treasury, and is the chairman for the Aspen Institute (think tank).

David H. McCormick was an undersecretary for the U.S. Department of the Treasury, and is a trustee at the Aspen Institute (think tank).

J. Russell George is the inspector general for tax administration for the U.S. Department of the Treasury, and was Michelle Obama’s classmate at Harvard Law School.

Michelle Obama was J. Russell George’s classmate at Harvard Law School, and an advocate for the ONE Campaign.

ONE Campaign is a partner with the International Rescue Committee.

Timothy F. Geithner is a director at the International Rescue Committee, was an overseer at the International Rescue Committee, a researcher for Kissinger Associates, Inc., and a secretary for the U.S. Department of the Treasury.

Henry A. Kissinger is an overseer at the International Rescue Committee, the founder of the Kissinger Associates, Inc., a director at the Atlantic Council of the United States (think tank), a member of the Bohemian Club, a director at the American Friends of Bilderberg (think tank), was a lifetime trustee at the Aspen Institute (think tank), and a 2008 Bilderberg conference participant (think tank).

Charles O. Rossotti is a director at the Atlantic Council of the United States (think tank), and was a commissioner for the Internal Revenue Service (IRS).

Internal Revenue Service (IRS) is a division of the U.S. Department of the Treasury.