Tax Refund Rip-offs - New York News

Tax Refund Rip-offs

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Criminals have been known to steal people’s Social Security numbers, create a fake W2 form and file for tax refunds.

The IRS paid thieves $3.46 billion last year alone.

Dave Watts, a private investigator says there is even a website where criminals go to, called undergroundreview.com, as part of the scam.

“The arrogance of this is that you have fake ID sites reviewed. It’s so easy to get fake IDs, for $100 you sent away, you can get it. You wouldn’t send a check, and you wouldn’t put it on your credit card. What you do is you go to a post office and you make out a postal money order and that’s good for anywhere in the world and you can sign Joe Smith to it and it doesn’t matter because the person on the other end can cash it” Watts says.

One site from China that was highlighted fake New Jersey licenses.

The FTC did a study on identity theft and found out that people between the ages of 20 to 29 year olds are the most targeted p at 21%, and the government documents type of frauds, which is tax fraud is twice as much as a credit card fraud at 17%. Younger age groups are targeted more because the younger generation tends to trust the internet because it’s what they’ve grown up with.

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