Big Brother at Work "IRS Data Web Snares Mostly Low- and Middle-Income Taxpayers"

[greenego]

This is the kind of stuff that makes you want to hide. But if you read this, you realize there is no place to hide anymore.

IRS has and will start to use data bases, including social media to do "Real Time" audits on tax returns.

Don't think you will be affected? Thank again. 

 

http://news.yahoo.com/irs-data-snares-mostly-low-middle-income-taxpayers-171310646.html

 

 

 

 

[BryanP]

So using publicly available information to catch people who cheat on their taxes is big brotherism?

[Monkeyman2500]

Do you think this will catch illegal immigrants posing as American taxpayers.

[2.ooohhh]

So using publicly available information to catch people who cheat on their taxes is big brotherism?

 

 

^this.  If the IRS weren't doing this I'd say they were not doing their jobs very well. If you knew how many times a day you are referenced in a DB you would either wonder how the cashier at your local 7/11 didn't already know what cigarettes to hand you, or be furious that everyone is tracking everything you do nearly everywhere.

[gjohnsoniv]

Do you think this will catch illegal immigrants posing as American taxpayers.

Hah, of course not.

[greenego]

So using publicly available information to catch people who cheat on their taxes is big brotherism?

Most of the ones they are looking at are EITC claims. This year it was grandparents claiming grand kids.  As the article said does little to catch tax cheats Cost is too high for them to go after. Low hanging fruit People who won't fight them,.Just make life miserable for low and middle income people caught in the net. 

[Randall53]

I'd say this would be a good way to go after Medicare, Medicade, Welfare and all the other 'cares and ade's that are defrauded of billions of our tax dollars every year.

[BryanP]

Most of the ones they are looking at are EITC claims. This year it was grandparents claiming grand kids.  As the article said does little to catch tax cheats Cost is too high for them to go after. Low hanging fruit People who won't fight them,.Just make life miserable for low and middle income people caught in the net. 

 

If you claim the EITC and know you're not entitled to it according to the tax code, then you are by definition a tax cheat.  So I'd say it does quite a bit to catch tax cheats.

Edited May 3, 2013 by BryanP

[Guest 6.8 AR]

I know I looked at the EITC and laughed. That thing has crept up over the years. Not for me, though.

[Oh Shoot]

I know I looked at the EITC and laughed. That thing has crept up over the years. Not for me, though.

 

It's the main way a lot of people can get a federal tax "refund" without every paying any federal tax to begin with.

 

- OS

[greenego]

If you claim the EITC and know you're not entitled to it according to the tax code, then you are by definition a tax cheat.  So I'd say it does quite a bit to catch tax cheats.

This is one of the problems. A lot of people claiming this credit believe they are entitled to it. You are divorced. You pay child support to the ex. Divorce papers say it's your year to claim the kid. Does this mean you get all the credit associated, EITC, with claimimg your child? You support you girlfriend and her kids all year. They are your dependents. Do the children qualify you for EITC? The reason this credit is so abused is the laws for it are so confussing.