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Posted: Monday, 14 April 2008 8:12PM

Comptroller Finds $13 Million in Questionable Tax Refunds

ALBANY, N.Y. (AP)  -- The state comptroller's office has stopped nearly $13 million in questionable tax refunds from being paid out in just the first quarter of 2008 -- nearly as much savings as the office realized for all of 2007, according to an announcement Monday.

``Doing your taxes isn't easy,'' DiNapoli said. ``And sometimes taxpayers make honest mistakes. But there are those who try to beat the system through outright fraud. The scams can be elaborate and hard to spot. Sometimes they involve a fake Social Security number or falsely claiming a child as a dependent.''

This year's first quarter savings from more than 3,000 tax returns are almost equal to last year's $13.9 million. That was up from $6.28 million saved in all of 2006 and $3.99 million in all of 2005.

DiNapoli expects even more savings before the end of the year as state businesses continue filing tax paperwork.

The majority of questionable refunds were filed by income tax preparers who promise unsuspecting taxpayers large refunds.

DiNapoli says these potentially fraudulent preparers claim credits for ineligible child care or credits allowed only for low-income households.

The comptroller's office is responsible for auditing all bills for the state prior to payment, including tax refunds.


(TM & Copyright 2008 CBS Radio Inc. and its relevant subsidiaries. CBS RADIO & EYE Logo TM & Copyright 2008 CBS Broadcasting Inc. Used under license. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report. In the interest of timeliness, this story is fed directly from the newswire and may contain occasional typographical errors.)
 
 
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