False tax refunds cost IRS $17.5m
US taxman pays out millions in incorrect refund and stimulus payments
The Internal Revenue Service last year paid $16.3m in false tax refunds and
economic stimulus payments totaling $1.2m.
The $17.5m (£11.8m) has been highlighted in a report by the Treasury
department’s inspector general for tax administration (TIGTA), according to
The report assessed the effectiveness of the IRS’s prevention of fraudulent
refunds and economic stimulus payments.
J Russell George, inspector general of TIGTA, said: ‘Although the amount of
erroneously identified stimulus payments is small in relation to the total
amount issued, TIGTA remains concerned that the existing controls pose a risk
that false refunds and stimulus payments will be erroneously issued in the