Your Tax Dollars at Work? Not!
According to a CNS News report last week, the Internal Revenue Service sent almost 24,000 tax refunds worth over $46 million to "unauthorized" alien workers who "used the same address in Atlanta, Ga., in 2011." CNS News cited a report from the Treasury Inspector General for Tax Administration. If that's not bad enough, the IRS also sent over 17,000 tax refunds, worth over $6 million, to three other Atlanta addresses.
CNS News reported there were "(o)ther locations on the IG's Top Ten list for singular addresses that were theoretically used simultaneously by thousands of unauthorized alien workers." For example, one address in Oxnard, Calif., where the IRS sent over 2,500 refunds worth $10.4 million, and one address in Raleigh, NC, receiving over 2,400 refunds worth $7.3 million.
TIGTA's report highlights explains how this all started:
"In Calendar Year 1996, the IRS created the Individual Taxpayer Identification Number (ITIN) so that individuals who are not eligible to obtain Social Security Numbers could obtain an identification number for tax purposes. However, IRS management has not established adequate internal controls to detect and prevent the assignment of an ITIN to individuals submitting questionable applications. A lack of adequate controls over the processing of ITIN applications can result in the improper assignment of ITINs to individuals who have not substantiated their identity or foreign status, which can result in fraudulent tax returns . . . ."
In explaining why they performed the audit, TIGTA's report said the "audit was initiated because TIGTA received IRS employee complaints referred from members of Congress alleging that IRS management responsible for overseeing the ITIN operation was encouraging employees to assign ITINs to applicants when the ITIN application was fraudulent."
Kudos to the IRS employees who made to the complaint to members of Congress.
UPDATE (6/23/13) At American Thinker, Silvio Canto writes:
"Wonder what the neighborhood mail man said about that? Did he notice a heavier bag or a stuffed mail box? Did he bring it to the attention of his supervisor? What did the IRS mail room do when thousands of "return to sender" letters came from the same address?"