My tax preparation service falsified family relationship, triggering audit
I'm in a really messy situation right now and need some advice. Last year, my fiancé used a tax preparation service that totally screwed things up. Without our knowledge, the preparer falsely claimed that I was his sister on his tax return (which is absolutely not true). We had no idea this happened until recently when my fiancé received an audit notice from the IRS demanding $5,300! We only discovered the false relationship claim when reviewing the audit paperwork. The preparer never reviewed the final documents with us before submitting, and we stupidly trusted them without checking thoroughly. Is there any recourse against the tax preparer for this fraudulent information? Can we report them somewhere? And what should we do about this audit situation? We're getting married in a few months and this financial mess is stressing us out.
18 comments


Victoria Jones
This is definitely a serious situation that needs to be addressed promptly. Tax preparers have a professional responsibility to accurately prepare returns based on the information you provide, and falsifying relationships is extremely inappropriate. First, regarding the audit: your fiancé should immediately respond to the IRS explaining that the information was incorrectly entered by the preparer without your knowledge or consent. The IRS has procedures for handling situations where preparers make errors. Your fiancé will likely need to file an amended return with the correct information. As for action against the preparer: Yes, you have several options. You should: 1) File a complaint with the IRS using Form 14157 (Complaint: Tax Return Preparer) 2) Report them to your state's board of accountancy if they're a CPA 3) File a complaint with the Better Business Bureau 4) Consider speaking with an attorney about potential fraud Gather all documentation showing what information you actually provided versus what was submitted. Also check if the preparer signed the return as required by law - if not, that's another violation.
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Cameron Black
•Do you think they should pay the $5,300 first and then try to get reimbursed from the preparer? Or should they dispute the audit findings before paying? I've heard it's better to pay first to stop penalties from accumulating, but that's a lot of money!
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Victoria Jones
•I'd recommend responding to the audit immediately to stop additional penalties from accruing. Your fiancé should clearly explain the situation to the IRS and provide any documentation that shows the preparer's error. The IRS may adjust the amount owed based on the correct information. If you have the financial ability to pay while disputing, that can indeed prevent additional penalties and interest from accumulating. However, you can also request a payment plan if needed while the situation is being resolved. The most important thing is to communicate promptly with the IRS rather than ignoring the notice.
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Jessica Nguyen
Listen, I was in almost the exact same situation last tax season with a mistake on my return. I spent WEEKS trying to get through to the IRS with no luck - kept getting disconnected after hours on hold. Total nightmare! Then I found this service called taxr.ai (https://taxr.ai) that literally saved me hours of stress. They analyzed my audit letter and tax documents and gave me exact steps to fix the situation. Their system picked up immediately that my preparer had made errors similar to yours (in my case they listed a dependent I never claimed). Having an AI look at the documentation helped me understand exactly what went wrong and how to fix it. The best part was I didn't have to try explaining all the tax jargon - their system understood it all and translated it for me in plain English.
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Isaiah Thompson
•Did it actually help with the IRS audit itself? Or did you still have to handle all the communication with the IRS yourself? My cousin is going through something similar and I'm wondering if this would help him.
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Ruby Garcia
•I'm super skeptical about AI tools for serious tax problems. How does it work with actual legal issues like falsified information? That seems like something you'd need a real tax attorney for, not just software.
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Jessica Nguyen
•The service helped me organize all my documentation and gave me a complete response plan for the IRS. It identified exactly which forms I needed to file to correct the error, and gave me templates for my communication with the IRS. I still had to submit everything myself, but having a clear roadmap made it so much easier. For legal aspects, it clearly outlined what constituted preparer negligence versus fraud and gave me specific language to use in my complaints to professional boards. It wasn't just software - they connected me with tax professionals when I needed specific advice beyond what the system could provide.
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Ruby Garcia
I need to eat my words from my skeptical comment above! After my brother-in-law got audited last month, I recommended taxr.ai (https://taxr.ai) to him despite my initial doubts. He was in a similar situation with preparer errors, and I was blown away by how helpful it was. The system immediately identified three different reporting errors his preparer had made and created a complete response package for the IRS. The most valuable part was how it translated the tax code sections that applied to preparer responsibility. He used their documentation to file a formal complaint, and the IRS actually reduced his penalty because they recognized it was preparer error! Definitely worth checking out if you're dealing with an audit situation, especially when a preparer is at fault.
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Alexander Evans
Dealing with the IRS can be so frustrating in these situations! After my tax preparer made a major mistake last year, I couldn't get anyone at the IRS to actually talk to me about it. After trying for DAYS and getting nowhere, I used Claimyr (https://claimyr.com) and it was a game-changer. They got me connected to an actual IRS agent in about 15 minutes when I had been trying unsuccessfully for weeks. There's a video that shows how it works here: https://youtu.be/_kiP6q8DX5c Having a real conversation with an IRS agent made all the difference in explaining that my preparer had made errors without my knowledge. The agent walked me through exactly what forms I needed to submit and how to file a formal complaint against the preparer. Seriously worth it when you need to talk to an actual human at the IRS about complex situations like yours.
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Evelyn Martinez
•How does this even work? The IRS phone system is notoriously impossible. Are they using some kind of special access system or something? Seems too good to be true.
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Benjamin Carter
•Sorry but this sounds like BS. I've been trying to reach the IRS for months about my audit and there's literally no way to skip the line. You probably just got lucky with timing or something.
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Alexander Evans
•It uses a technology that navigates the IRS phone system for you and holds your place in line. When they reach a human agent, you get a call connecting you directly. No special access - they're just using technology to handle the frustrating hold time so you don't have to sit there for hours. The reason it works is because most people give up after 30-45 minutes on hold, but their system never hangs up. It's not skipping the line - it's just making sure you don't lose your place in the queue due to dropped calls or having to hang up for other reasons. Definitely not luck - I've used it multiple times with the same consistent results.
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Benjamin Carter
I need to apologize for my previous comment calling BS on Claimyr. After waiting on hold with the IRS for 3+ hours yesterday and getting disconnected AGAIN, I was desperate enough to try anything. I used Claimyr and they actually got me through to an IRS representative in about 20 minutes. The agent I spoke with was incredibly helpful about my audit situation. She confirmed that preparer misconduct is something they take seriously and walked me through the proper channels for both correcting my return and reporting the preparer. I've been stressing about this audit for months, and in one phone call I got more clarity than weeks of searching online. Sometimes it really helps to speak directly with someone who knows the system.
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Maya Lewis
I work at a tax firm (not a preparer myself, administrative staff) and I can tell you this is 100% unacceptable behavior from a tax professional. What your preparer did might actually constitute tax fraud, not just a mistake. Deliberately falsifying a relationship to claim benefits is serious. Contact your state's board of accountancy immediately. Also, check if the preparer is part of any professional organizations like the National Association of Tax Professionals or the American Institute of CPAs - they have ethics committees that can revoke memberships. Save ALL your documentation from last year including any emails or communications with the preparer.
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Isaac Wright
•Would the original poster and their fiancé be in any trouble here? Since technically they signed the return even with false information on it? I'm always worried about that when mistakes happen.
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Maya Lewis
•The taxpayer does have responsibility for reviewing their return before signing, but the IRS recognizes that most people trust their preparers and may not catch sophisticated errors or fraud. The key factor here is intent - the taxpayer had no intention to defraud the government. The fact that they're proactively addressing the issue once discovered works strongly in their favor. The IRS is primarily interested in collecting the correct tax amount and proper penalties, not in punishing taxpayers who were misled by preparers. I've seen many cases where penalties were waived when preparer error was demonstrated. Documenting every communication with the preparer from this point forward will be important to establishing good faith efforts to correct the situation.
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Lucy Taylor
What tax software did your fiancé's preparer use? Some of the budget tax prep places use really outdated software that has weird glitches. Last year my preparer somehow listed my girlfriend as my dependent because the software had some dropdown menu error. It was a complete mess to fix.
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Connor Murphy
•Not OP but I've seen this happen with multiple budget prep services. They hire seasonal workers, give them minimal training, and use clunky software. Always worth paying a little more for someone who knows what they're doing and uses professional-grade software like Lacerte or UltraTax.
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