Watch out for tax prep scams - got ripped off and fighting to get my $3400 refund back from shady preparer

Thank you so much for this detailed advice! I already filed complaints with the IRS but didnt know about the state board of accountancy. Will definitely follow those other steps too. Do you think small claims is worth it if she has no assets?

Small claims is always worth pursuing - even if they don't have assets now, the judgment typically stays valid for 5-10 years (varies by state). If they get a job or bank account later, you might be able to garnish wages or levy the account. Also check if your state has a preparer recovery fund!

This happened to my cousin last year. Filed all the complaints but never got his money back. The system is so broken tbh. Sometimes these scammers just change their name and reopen somewhere else 🤷‍♀️

That does happen sometimes, but filing criminal charges can help prevent that. Tax preparer fraud isn't just a civil issue - it's a criminal offense with potential jail time. That's why documentation is so critical.

Sounds interesting. How exactly does it work? Does it just read your transcript or does it do more?

It does WAY more than just reading! It analyzes all the codes, explains what each one means for YOUR specific situation, and tells you exactly what to do next. When I had my refund stolen, it actually showed me which forms to file and how to prove the fraud. A lifesaver when dealing with the IRS!

Just tried this and holy crap where has this been all my life?! I've been staring at my transcript for months with no clue what all those codes meant. Taxr explained EVERYTHING and showed me why my refund was delayed. Worth every penny and saved me hours of confusion!

is this some kind of paid advertisement? 🤔

Nah, just a tool that actually helped me. The IRS doesn't exactly make this stuff easy to understand on your own lol. Try getting a human on the phone to explain your transcript... you'll be on hold until 2027 😂

How does this work? The IRS never answers their phones

It basically does the waiting for you. The app navigates all those stupid IRS phone menus and waits on hold, then calls you when there's actually a human ready to talk. Saved me hours of "your call is important to us" hell.

This seems sketchy af... they just magically get you through when no one else can?

Nothing magical about it lol. They just have tech that keeps trying and navigating the phone system. When an agent is available it connects you. Talking to an actual IRS agent got my refund released within days instead of months!

i was ready to call BS but i just used it and it WORKED. got through to someone in 37 minutes after trying for weeks on my own with no luck. the agent was able to see exactly where my refund went and is helping me file the right forms to get it back.

ok im trying this tomorrow. been calling for 2 weeks straight with no luck 😤

Police always say that to avoid doing work. Tell them it's TAX FRAUD which is a federal crime, not just a civil dispute. That usually gets their attention.

Tried that but they still wouldn't take it seriously. I ended up going to the county prosecutor's office directly and THAT finally got things moving.

That's exactly what I think happened to me. When she saw my return was over $3000, she suddenly had this 'fee' that wasn't mentioned before. Makes me sick that they prey on people like this.

yep. and they bank on you not understanding the forms enough to realize what's happening. i quit after seeing the owner change bank info on a single mom's return. she had 4 kids and was getting like $8k back. he pocketed half of it as 'fees' that were never disclosed.

lots of people are intimidated by taxes and think they'll mess it up. or they hear from friends that some 'expert' can get them a bigger refund. these scammers promise huge returns to get clients

Also some people dont have computers or reliable internet. The free versions have income limits too, so if you make over a certain amount or have slightly complicated taxes, suddenly you're paying $100+ for TurboTax anyway.

That makes sense. I guess I just take for granted having stable internet and being comfortable with this stuff. The IRS should really make the free file program more accessible.

TurboTax and H&R Block literally lobby against making taxes simpler so they can keep charging us. The system is designed to be confusing 💯

Hate to break it to you but chain places have scammers too. My cousin worked at one and caught a preparer changing bank info on returns all the time. They fired him but didn't report it to police!

well sh*t. is nobody trustworthy anymore? guess im learning to do my own taxes this year

Do they need ur social and stuff? Sounds risky

You upload your transcript that you already downloaded from the IRS. It just reads the data that's already in there - doesn't ask for additional personal info. Way safer than giving all your info to some random tax preparer!

Ok that makes more sense. might check it out cause my transcript looks like alphabet soup to me lol

You have 3 years from the filing deadline to amend. So for 2022 taxes (filed in 2023) you have until April 2026. But if fraud was involved you should report it ASAP.

Did the same after my preparer pulled a similar stunt. Getting a REAL IRS agent on the phone made all the difference. They were able to put a trace on my refund and redirect a new one to my actual account. Claimyr saved me from losing nearly 4 grand.