3 On Your Side: Choosing A Tax Preparer
By Jim Donovan
PHILADELPHIA (CBS) -- Even though the federal filing deadline is more than two months away, tax season is already in full swing. Consumers choosing a tax preparer should choose wisely. 3 On Your Side Consumer Reporter Jim Donovan has advice so that you won't become a victim in any tax-related scams.
Millions of consumers will soon opt to put their most sensitive personal and financial information in the hands of a paid tax preparer. That's why it's so important to choose that person wisely. When choosing a tax preparer, the I.R.S. suggests that you:
- Checking for a valid I.R.S. preparer tax identification number
- Avoid preparers who base their fee on a percentage of your refund.
- Stay away from tax preparers who don't ask for receipts or who fail to ask questions about whether or not you may be eligible for certain deductions and credits.
- Avoid tax preparers that ask you to sign a blank tax form. NEVER sign a blank return.
- Make sure that you will be able to contact the preparer after the return has been filed, even after the April due date, in case questions arise.
Tax season is also a prime season for identity theft. Consumers can take steps to protect personal data during this time by never giving information over the phone or internet unless you initiated the contact with your tax professional or an I.R.S. employee.
Also, keep in mind that the I.R.S. scam calls that have been around for a couple of years tend to pick up around tax time. If you get a call from someone claiming to be from the I.R.S. or from the Treasury Department saying that you owe money and threatening you with arrest if you don't pay immediately - hang up the phone it's a scam! Be sure to warn elderly family members and friends about the scam as they are often targeted.
http://www.irs.gov/uac/Tips-for-Choosing-a-Tax-Return-Preparer
http://www.irs.gov/uac/Newsroom/IRS-Reiterates-Warning-of-Pervasive-Telephone-Scam
