Stolen Identity Refund Fraud in the News (2/25/14)

I don't spend much time or energy in this blog covering stolen identity refund fraud (SIRF) in the federal tax system.  The reason is that I view identity theft fraud  in the tax system -- usually by filing false claims for refund -- as being apart from the tax fraud where the taxpayer attempts to lower his tax or, if an enabler, the enabler tries to lower the enabled taxpayer's tax.  In these cases, the taxpayer seeks to avoid paying his share of the burden of government - as Justice Holmes said, the cost of civilized society.  With identity fraud, however, the culprit merely seeks to blatantly steal from the Government via the tax system, just as a thief would steal by breaking and entering or defrauding.

Still identity theft fraud via the tax system is a big deal.  DOJ Tax recently issued a press release touting its efforts to curb identity theft fraud.  Such press releases are intended to discourage others from participating in this genre of identity theft fraud.

The press release, titled Justice Department Highlights Efforts to Combat Stolen Identity Tax Refund Fraud, is here.

I only have one comment.  The press release states that in fiscal year 2013 "more than 580 indictments or informations charging more than 880 defendants with SIRF-related crimes".  CI's annual business report, which I blogged yesterday, here, reports that SIRF indictments in the 2013 fiscal year numbered 1050.  I don't know why there is such a material difference in the numbers.