Arizona – ADOR Stops Tax Fraud Schemes this Tax Season May 4, 2020

Attempted Scams Emerged Same Time as COVID-19

The Arizona Department of Revenue (ADOR) says COVID-19 hasn’t stopped scammers from trying to take advantage of taxpayers.

ADOR’s Criminal Investigation Unit reports since COVID-19 fully emerged in Arizona, 13 tax fraud schemes using stolen or created identities were pinpointed and then stopped. The amount of tax fraud identified so far this calendar year has totaled more than $10 million and is a 50 percent increase compared to the same period last year.

Two schemes that stood out because of the tactics included one that used the stolen identities of young individuals with refund requests ranging from $48 to $5,000. Another attempted scam used the identities of retired or deceased taxpayers to submit fabricated 1099-R forms, which report distributions from pensions, retirement or profit-sharing plans, and annuities. The fraudsters then filed tax refund claims ranging from $109 to $8,999 using the stolen identities.

ADOR has created a list of precautions to follow in an effort to help prevent being a victim of identity theft which can be viewed here.

For more information visit:

Arizona department of revenue
may 4, 2020