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Here’s Why You Shouldn’t Do Your Own Taxes This Season

By Chuck McCabe | February 19, 2015
Posted in: Uncategorized

Tax fraud has become a serious problem this year.

It’ll never happen to you though right? You might want to think again. It very well could happen to you because all it takes is someone accessing your information and filing your return before you do.

Let’s look at all of the data breaches that have happened recently:

  • EBay – 145 million
  • P. Morgan Chase – 76 million
  • Home Depot – 56 million
  • Community Health Systems – 4.5 million
  • Michael’s – 1,250 stores point of sale devices
  • Nieman Marcus – 1.1 million
  • US Postal Service – 800,000 (employees)
  • Target – 110 million users
  • Anthem – 80 Million

 

That’s roughly 474 million consumers who have been affected by a data breach.

And then there’s TurboTax. Yep, the tax software many people use to file their own taxes is currently under investigation to find out if a data breach is the reason for a rash of fraudulent state tax returns.

The filing of fraudulent tax returns is a big problem this year. Here’s how it happens. Someone get your information, goes online to the IRS, files your tax return before you do, and gets your refund check in the mail. Once you get around to filing your return, you discover that you can’t because it’s already been filed. It can take up to 8 months to get the issue resolved and many times victims never receive the refund.

This is why it’s so important to file as early as possible to stop a potential fraud before it even happens. You can also protect yourself by having your tax returns filed through a professional. When Peoples’ Tax e-file’s your return, the data is encrypted and protected using industry standard software. It’s more likely for your email to be hacked, than it is for an encrypted e-file to be hacked.

Here’s our, CEO, Chuck McCabe on Channel8 News discussing the recent rash of fraudulent filings.

 

Other Reasons to Use A Tax Professional

Tax Preparers Know the Tax Law

See this big stack of books? These are the books given to IMG_7588students of The Income Tax School (our sister company), for the Comprehensive Course. You’re looking at 5 books and over 1,000 pages just to learn how to prepare basic tax returns. Tax law is very complicated, and learning the law plus the process for filing is not something you can do in an evening.

Just because you’re using tax software doesn’t mean you’re covered. Tax software programs don’t always ask the right questions, which mean you could miss something along the way. Entering information in the wrong places or answering the questions inaccurately could result in an inaccurate return.

Tax Software is only as good as the person operating it. If you end up making mistakes, there’s no one to help you when the IRS comes calling.

 

Peace Of Mind

At People’s Tax, we stand behind all of the returns we’ve prepared. In fact, we have a Triple Guarantee of Accuracy, Satisfaction and Year-Round Assistance or you pay nothing.

 

Have you been filing your own taxes? Ready to have a professional prepare them for you to have peace of mind around accuracy, timeliness and security? We have a great offer for you!

 

Switch and Save $100 – New Client Offer

Save $100 off the tax preparation fee you paid a national tax firm last year to prepare your tax return or our fee, whichever is lower! For new clients only. Not valid with any other offer or on previous service. To take advantage of this offer, simply bring in your receipt and tax return from last year at the time of your service. Valid on tax preparation fees only of $200 or more.

 

 

More resources to check out:

Top Fraud Predictions for 2015

The Dirty Dozen Tax Scams of 2015

FBI Investigates Tax Fraud Reports

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