TaxProf Blog

Editor: Paul L. Caron, Dean
Pepperdine University School of Law

Thursday, February 25, 2010

IRS = ATM: Inmates Get $100k in Bogus Tax Refunds

The IRS has sent over $100,000 in bogus tax refund checks to fifty inmates in a South Florida jail.  It could have been worse -- the requested over $1 million in tax refunds.

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Felons and tax cheats, too, huh? When they get out, there's a place for them in the Democratic Party.

I liked this the best:

The evidence includes a taped phone conversation at the jail involving one of the alleged ringleaders, Shawn Clarke, who, according to Ellsworth, said: ``I'm through with the street crime. I'm strictly white collar from now on. I love the IRS.''

What got me is that a banker caught it -- not the IRS!

``The IRS told us that taxpayers want their refunds fast, and they can audit them later and get the money back,'' Ellsworth said. ``That's ridiculous when you are dealing with inmates that have nothing to give back.''

Maybe taxpayers would be happier with slower refunds and not having to pay more to make up for IRS incompetence.

Posted by: Woody | Feb 26, 2010 2:46:30 PM