How much money did taxpayers lose to stolen tax returns?

Taxpayers lost an estimated $23 billion to stolen tax returns last year.

How many people were affected by tax identity theft?

Approximately 2.4 million people were affected by tax identity theft.

What is the best way to prevent tax identity theft?

Filing tax returns early is the most effective strategy to prevent fraudsters from stealing your refund and causing identity theft issues.

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Billions Lost: Tax Scammers Target Millions

12 Feb

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Summary

Taxpayers lost an estimated $23 billion to stolen returns.
About 2.4 million individuals were affected by tax fraud.
Filing tax returns early is the best defense against fraud.

Billions Lost: Tax Scammers Target Millions

Taxpayers are facing an estimated $23 billion loss due to stolen tax returns, affecting roughly 2.4 million individuals, as reported by the Treasury Inspector General for Tax Administration. The Internal Revenue Service is currently accepting tax filings, but data breaches have heightened the risk of identity theft for all filers.

Fraudsters exploit personal information found on the dark web to file returns in victims' names. Experts emphasize that filing early is the most effective defense against such schemes. This strategy reduces the timeframe scammers have to perpetrate identity theft and claim refunds.

With the IRS anticipating 164 million individual returns this season, a significant volume creates a substantial opportunity for fraudulent activity. Filing promptly ensures that legitimate taxpayers secure their refunds before criminals can exploit stolen data. Additionally, filing early provides a financial advantage by expediting the receipt of any owed refund.

Disclaimer: This story has been auto-aggregated and auto-summarised by a computer program. This story has not been edited or created by the Feedzop team.