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02-18-2018, 07:34 PM
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#1
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Thinks s/he gets paid by the post
Join Date: Feb 2012
Posts: 1,466
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To e-file or Not?
Our new tax preparer is trying to talk us into e-filing rather than mailing our returns. I have read (accurately?) that most of the identity theft and false refunds hit people who e-file and not mail their returns. Reading the info WRT to the most recent scam, it appears this is not the case, but the result of preparers' computers getting hacked.
So, to e-file or not? Which is safer in your opinion?
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02-18-2018, 07:50 PM
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#2
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Thinks s/he gets paid by the post
Join Date: Jan 2013
Location: SoCal, Lausanne
Posts: 4,408
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I have been e-filing for over 18 years without any issues. I use TurboTax or Taxcut (whichever is cheaper). Tax preparers are going to be joining travel agents on the endangered jobs list.
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02-18-2018, 08:12 PM
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#3
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Jan 2006
Location: Rio Grande Valley
Posts: 37,931
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Quote:
Originally Posted by TrvlBug
Our new tax preparer is trying to talk us into e-filing rather than mailing our returns. I have read (accurately?) that most of the identity theft and false refunds hit people who e-file and not mail their returns. Reading the info WRT to the most recent scam, it appears this is not the case, but the result of preparers' computers getting hacked.
So, to e-file or not? Which is safer in your opinion?
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No. Identity theft and false refunds hit people who mail their returns too. Not efiling does not protect you from being a victim of tax fraud.
__________________
Retired since summer 1999.
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02-18-2018, 08:13 PM
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#4
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: May 2008
Location: No fixed abode
Posts: 8,764
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I use mail, but not because of fraud. I always owe, so what's the rush?
__________________
"Good judgment comes from experience. Experience comes from bad judgement." - Anonymous (not Will Rogers or Sam Clemens)
DW and I - FIREd at 50 (7/06), living off assets
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02-18-2018, 09:19 PM
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#5
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Aug 2004
Location: Laurel, MD
Posts: 8,304
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The fraudulent return is usually efiled but that has nothing to do with how the taxpayer files. Our efiled returns always get rejected so I stopped trying and always do paper returns for Fed and iFile for state. We still had a fraudulent return filed on both Fed and State. The state caught the fraud and notified us. I also just learned that a phony return was filed for another state at the same time. Haven't lived there since '79! I would eFile if I could just for the convenience.
__________________
...with no reasonable expectation for ER, I'm just here auditing the AP class.Retired 8/1/15.
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02-18-2018, 11:42 PM
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#6
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Jan 2006
Location: Rio Grande Valley
Posts: 37,931
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We try to always owe so we don’t have to deal with refund delays, but if our tax return is not accepted due to fraud I would still expect some major hassles and paperwork. So we try to file as soon as we can.
__________________
Retired since summer 1999.
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02-19-2018, 12:27 AM
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#7
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Jan 2008
Location: NC
Posts: 21,150
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I’ve eFiled Federal as long as it’s been an option, more than 10 years I’m sure. But I make sure we owe every year, always have, so there’s never a refund for a hacker to steal. I’ve screwed up twice and been due a small refund, this year actually, but our refund already hit checking last week so we’re already done with Federal for 2017. And I file as soon as I have all the info, but mail in what we owe just before the Apr deadline.
__________________
No one agrees with other people's opinions; they merely agree with their own opinions -- expressed by somebody else. Sydney Tremayne
Retired Jun 2011 at age 57
Target AA: 50% equity funds / 45% bonds / 5% cash
Target WR: Approx 1.5% Approx 20% SI (secure income, SS only)
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02-19-2018, 05:19 AM
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#8
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Thinks s/he gets paid by the post
Join Date: Mar 2009
Posts: 2,975
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Maybe a bit extreme but I always e file early even if I need to amend the return later. The first filing cuts off the fraudsters.
__________________
Took SS at 62 and hope I live long enough to regret the decision.
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02-19-2018, 05:24 AM
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#9
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Thinks s/he gets paid by the post
Join Date: Jun 2004
Location: Diablo Valley (SF Bay Area)
Posts: 2,704
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Always efile & get direct deposit, botched estimated taxes this year and getting 1/2 back. It's supposed to be there Friday
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02-19-2018, 05:25 AM
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#10
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Recycles dryer sheets
Join Date: Jan 2010
Posts: 190
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You can still efile the return and then just mail in your payment with 1040-V payment voucher. Depending on how many pages your return is, you save the postage and some paper.
You can file anytime before the filing deadline and still not mail the check until the mid-April.
Quote:
Originally Posted by harley
I use mail, but not because of fraud. I always owe, so what's the rush?
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02-19-2018, 05:26 AM
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#11
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Thinks s/he gets paid by the post
Join Date: Jun 2004
Location: Diablo Valley (SF Bay Area)
Posts: 2,704
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You can also pay later online at IRS2GO, same with state
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02-19-2018, 05:29 AM
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#12
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Thinks s/he gets paid by the post
Join Date: Aug 2011
Posts: 3,587
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efiling your return will prevent subsequent fraudsters that year efiling a bogus return in your name. The first one to file successfully, whether legitimate or not, will get the refund. You will not loose the refund if someone successfully files in your name before you do, however you will have to go through the IRS identity theft process and your return will be delayed.
If you are concerned about identity theft, my recommendation is to file credit freezes (ie the ones that you actually have to pay for) at the three credit bureaus. Beyond that just check your bank and CC statements in a timely fashion so that if there is a fraudulent transaction, the bank/CC company will be legally responsible for making you whole.
-gauss
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02-19-2018, 06:25 AM
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#13
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Thinks s/he gets paid by the post
Join Date: Sep 2006
Posts: 1,743
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Quote:
Originally Posted by foxfirev5
Maybe a bit extreme but I always e file early even if I need to amend the return later. The first filing cuts off the fraudsters.
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I always efile with no problems and never had to amend a return.
I efiled my daughter's taxes on February 7 after she assured me that she got all of her documents. Well, she forgot about a small job she helped a friend with and the W2 arrived late last week. I had to amend her return and she has to now mail 12 pages to the feds and 19 to the state for a measly $35 she owes the IRS and $14 to the state. Sometimes amending a return defeats the purpose of efile in my opinion.
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02-19-2018, 06:43 AM
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#14
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Feb 2006
Location: Washington, DC
Posts: 11,313
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You filing by mail won't prevent a fraudster beating you to the punch with an efile.
__________________
Idleness is fatal only to the mediocre -- Albert Camus
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02-19-2018, 06:53 AM
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#15
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Thinks s/he gets paid by the post
Join Date: Dec 2016
Location: DC area
Posts: 2,464
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Quote:
Originally Posted by TrvlBug
I have read (accurately?) that most of the identity theft and false refunds hit people who e-file and not mail their returns.
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As others have said, that is kind of backwards. Most false refunds are e-filed by thieves who stole your identity. You e-filing or mailing your return has nothing to do with it.
__________________
FI and Semi-ER March 24, 2017
Consulting to stay engaged
"All models are wrong, some are useful." - George Box
“There is always a well-known solution to every human problem: neat, plausible, and wrong.” - H.L. Mencken
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02-19-2018, 07:19 AM
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#16
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Moderator
Join Date: Oct 2010
Posts: 10,622
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Quote:
Originally Posted by donheff
You filing by mail won't prevent a fraudster beating you to the punch with an efile.
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And I see it repeated often... whether your calculations leave you owing has nothing to do with the fraudster being less successful. The fraudster puts in plenty of withholding and makes the tax owed less. Your "real" numbers have zero to do with it.
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02-19-2018, 07:25 AM
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#17
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Jan 2008
Location: NC
Posts: 21,150
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Quote:
Originally Posted by sengsational
And I see it repeated often... whether your calculations leave you owing has nothing to do with the fraudster being less successful. The fraudster puts in plenty of withholding and makes the tax owed less. Your "real" numbers have zero to do with it.
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Thanks, I owe and eFile as early as possible, but I was afraid that wasn't much protection. Is there anything one can do to thwart tax refund fraud?
__________________
No one agrees with other people's opinions; they merely agree with their own opinions -- expressed by somebody else. Sydney Tremayne
Retired Jun 2011 at age 57
Target AA: 50% equity funds / 45% bonds / 5% cash
Target WR: Approx 1.5% Approx 20% SI (secure income, SS only)
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02-19-2018, 07:35 AM
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#18
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Jan 2006
Location: Rio Grande Valley
Posts: 37,931
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Quote:
Originally Posted by jwkde
You can still efile the return and then just mail in your payment with 1040-V payment voucher. Depending on how many pages your return is, you save the postage and some paper.
You can file anytime before the filing deadline and still not mail the check until the mid-April.
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I efile early but schedule EFTPS to take out the payment on April 15.
__________________
Retired since summer 1999.
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02-19-2018, 07:35 AM
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#19
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: May 2008
Location: No fixed abode
Posts: 8,764
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Quote:
Originally Posted by sengsational
And I see it repeated often... whether your calculations leave you owing has nothing to do with the fraudster being less successful. The fraudster puts in plenty of withholding and makes the tax owed less. Your "real" numbers have zero to do with it.
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That's useful information. But I'm not really worried about IRS fraud, that's their problem. Since I won't have a refund, any identity verification process won't be holding up a refund for me. It's good to see I can e-file and mail in the check or e-pay later. I do tend to wait on doing my taxes, as they are fairly complex and a royal PITA. But I can see that for others who get refunds filing early and trying to beat the fraudsters might be worth it.
I wonder what it's going to be like next year, with the new tax plan? I might have to pre-do my taxes just to make sure I'm not getting a refund under the new plan. If I do I'll have to do the whole e-file-early-and-beat-the-crooks process. I'm sure that after the first year I'll be able to work the numbers again so as to consistently not get one. But that first time might trip me up.
__________________
"Good judgment comes from experience. Experience comes from bad judgement." - Anonymous (not Will Rogers or Sam Clemens)
DW and I - FIREd at 50 (7/06), living off assets
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02-19-2018, 07:45 AM
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#20
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Jan 2006
Location: Rio Grande Valley
Posts: 37,931
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Quote:
Originally Posted by Midpack
Thanks, I owe and eFile as early as possible, but I was afraid that wasn't much protection. Is there anything one can do to thwart tax refund fraud?
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Other than credit freezes, which won’t necessarily protect you from tax fraud but might make it harder for someone to claim they are you if they contact the IRS and go through identity verification, early filing seems to be the best protection.
The IRS has stepped their end of it. Returns with refunds are more carefully scrutinized. And I believe they now verify against employer W2 data before giving refunds - employers are now required to supply W2 data much earlier to the IRS
If someone has your name, address and SS, they could still mess things up.
__________________
Retired since summer 1999.
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