Here’s the dilemma – Identity theft tax fraud is getting more rampant but the efforts to combat this scourge is feeble and ineffective. Sure, the feds do successfully catch some bad guys but for every one that is caught, I’d say at least ten get away. How do I know this? Well, the IRS themselves admit that the amount of tax refund fraud alone is due to hit $21 billion in the near future. And most of this entails identity theft, called Stolen Identity Refund Fraud (SIRF). In fact, last year even Attorney General Eric Holder has admitted to having his identity stolen. Click here to read or watch more IRS Help resources.
The IRS and all other associated federal agencies like the Justice Department, the FBI, the Secret Service, the Postal Service are fighting a losing battle because they are barking up the wrong tree. Instead of trying to enforce the law and nab scammers, they should be trying to prevent them from even starting the process. And what’s the best way to do this?
Data and analytics.
Read more about how analytics can prevent ID theft tax fraud.