Comments on: Liberty Tax Preparer Convicted of Fraud http://banktalk.org/2012/10/30/liberty-tax-preparer-convicted-of-fraud/ Exploring the Finances of the Unbanked Mon, 13 May 2013 05:53:44 +0000 hourly 1 By: Captain Obvious http://banktalk.org/2012/10/30/liberty-tax-preparer-convicted-of-fraud/#comment-16963 Captain Obvious Thu, 01 Nov 2012 12:28:01 +0000 http://banktalk.org/?p=5167#comment-16963 > “The EITC is a refundable credit. For many borrowers, claiming the EITC would be the difference between a return with no refund and one for almost $4,000.” So move the EITC off the Federal return and make it a locally-administered program …<

Not so simple my friend. That would require an act of Congress. Yes, the same folks who can't even agree on what shade of beige to paint the halls of their offices!

]]> By: Rachel Wishon http://banktalk.org/2012/10/30/liberty-tax-preparer-convicted-of-fraud/#comment-16952 Rachel Wishon Wed, 31 Oct 2012 13:48:44 +0000 http://banktalk.org/?p=5167#comment-16952 “The EITC is a refundable credit. For many borrowers, claiming the EITC would be the difference between a return with no refund and one for almost $4,000.” So move the EITC off the Federal return and make it a locally-administered program …

“In the future, it seems likely that this kind of fraud will occur less frequently.” … One can only hope!

“The IRS is doing more to monitor professional preparers.” The IRS is compiling a database; policing it will be an entirely different matter.

“More importantly, there are going to be fewer loans. For at least the time being, banks cannot offer a refund anticipation loan.” ‘For the time being’ says it all. As long as taxpayer demand is strong the players in the “tax settlement solutions” market will find a way to fill the need and make a profit doing so.

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