According to Accounting Today, the IRS failed to spot $20.6M in bogus nonresident tax refunds in 2018.
- How many returns did this account for?
- In a short paragraph, explain how this happened.
- In a report by the Treasury Inspector General for Tax Administration (TIGTA), what recommendations were made for the improvement of IRS identification and prevention of potentially fraudulent individual international tax returns to avoid situations like this?
Cohn, M. (2021). IRS didn’t spot $20.6M in bogus nonresident tax refunds. Accounting Today, Sep. 27 (Retrievable online at https://www.accountingtoday.com/news/irs-didnt-spot-20-6m-in-bogus-nonresident-tax-refunds)