IRS To Prevent Telephone Tax Refund Abuse

In reaction to some tax preparers improperly claiming thousands of dollars in phone tax refunds the IRS has started a campaign to curb this abuse. According to the IRS’s website, they are finding instances of tax preparers claiming thousands of dollars in phone tax refunds, when their clients are only entitled to a fraction of that amount. In many cases the refunds appear to be for the entire amount of the taxpayer’s phone bill, rather than just the three-percent tax. To combat this the IRS is sending agents on special site visits to some tax preparation offices and will not process tax returns for taxpayers that claime more in phone tax refunds than they are entitled to claim. To get help with properly claiming this on your tax return, visit the IRS’s Telephone Excise Tax Refund page.