Overview - Abusive Return Preparer Criminal Investigation Return Preparer Program (RPP) establishes procedures to foster compliance by identifying, investigating and prosecuting abusive return preparers. Definition - Abusive Return Preparer A Return Preparer is defined as any person (including a partnership or corporation) who prepares for compensation all or a substantial portion of a tax return or claim for refund under the income tax provisions of the Internal Revenue Code. Return Preparation and Electronic Filing The advent of electronic filing of income tax returns by electronic return transmitters has provided a new mechanism for unscrupulous preparers to commit fraud. Tactics Used by Dishonest Abusive Return Preparers Dishonest tax preparers use a variety of methods to formulate fraudulent and illegal deductions reducing taxable income. Helpful Hints when Choosing a Return Preparer to ensure you don't hire an Abusive Return Preparer When preparing your tax return remember... Reporting Fraud and Abuse Within the IRS e-file Program You should report fraudulent or abusive returns, including those with questionable Forms W-2. How to Report Suspected Tax Fraud Activities
