IRS has advised individual taxpayers that they remain legally responsible for the accuracy of their federal tax returns, even when using a paid preparer. With most tax documents now issued, the agency reminded filers that more than half rely on professionals for assistance and should exercise due diligence in choosing one.
The IRS stated that taxpayers should confirm a preparer’s qualifications, ensure the preparer holds a valid preparer tax identification number and verify that the preparer signs the return. Fees should not be based on a percentage of the refund. Promises of unusually large refunds or directing refunds into a preparer’s bank account are warning signs of potential fraud.
The agency also recommended selecting preparers who offer electronic filing and remain available after the filing season. Taxpayers should review the completed return before signing and confirm routing and account numbers. Complaints may be filed with the IRS if misconduct results in financial harm.
