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Figure 4: How Assumptions Affect Taxonomy Estimates Based on Data from Information Return Matching

This image is excerpted from a U.S. GAO report:

www.gao.gov/products/GAO-15-119

 

IDENTITY THEFT AND TAX FRAUD: Enhanced Authentication Could Combat Refund Fraud, but IRS Lacks an Estimate of Costs, Benefits and Risks

 

Note: The figure above is shown for illustrative purposes; the actual distribution of IDT versus noncompliant returns from legitimate taxpayers is unknown. To develop the magnitude measures above, we divided IRS's highest and lowest AUR category estimate by the estimate IRS chose in filing season 2013. Using these two extremes would likely result in too broad of a range in IDT refunds paid estimates.

 

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Uploaded on February 24, 2015