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Nearly 70 percent of adoption credit claims were audited by IRS, report finds
Fox News ^ | 06/17/2013 | By Joshua Rhett Miller

Posted on 06/18/2013 5:09:04 AM PDT by SeekAndFind

Add another item to the list of red flags that may get you audited: Adopting a child.

The Internal Revenue Service mishandled tax returns of adoptive families, flagging for further review 90 percent of those who claimed the adoption tax credit for the 2012 filing season. And a report by the federal agency’s Taxpayer Advocate Service also found that nearly 70 percent of adoptive families — more than 35,000 — had at least a partial audit of their tax return. By contrast, just one percent of all returns are audited.

"The IRS's misguided procedures, and its failure to adequately adjust these processes when it learned its approach was seriously flawed, have caused significant economic harm to thousands of families who are selflessly trying to improve the lives of vulnerable children," according to the report.

Unless the IRS alters its approach to refundable credits and incorporates more taxpayer-focused procedures, the federal agency will continue to cause problems for taxpayers, the report continues, including those eligible for the new refundable credit contained in the Patient Protection and Affordable Care Act — also known as “ObamaCare.”

The Adoption Tax Credit was created by Congress in 1996 to encourage adoption and to help offset costs to low- and middle-income families, which are estimated to run as high as $40,000. At the time, lawmakers touted the promotion of adoption as “one of the most important things” to strengthen American families.

(Excerpt) Read more at foxnews.com ...


TOPICS: Constitution/Conservatism; Culture/Society; Government; News/Current Events
KEYWORDS: adoption; adoptioncredit; audit; irs; irsscandal

1 posted on 06/18/2013 5:09:04 AM PDT by SeekAndFind
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To: SeekAndFind

At about $13k a pop, yeah, there should be some scrutiny there.


2 posted on 06/18/2013 5:11:34 AM PDT by NonValueAdded (Unindicted Co-conspirators: The Mainstream Media)
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To: SeekAndFind

“Of the $668.1 million in adoption credit claims in tax year 2011 as a result of adoption credit audits, the IRS only disallowed $11 million — or one and one-half percent — in adoption credit claims,” the report continued. “However, the IRS has also had to pay out $2.1 million in interest in TY 2011 to taxpayers whose refunds were held past the 45-day period allowed by law.”


A little info beyond the headline................


3 posted on 06/18/2013 5:17:37 AM PDT by PeterPrinciple
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To: SeekAndFind
speaking of adoption, why is Sebelius pushing this, i.e. with slick ads on conservative talk-radio shows?
4 posted on 06/18/2013 5:20:41 AM PDT by schm0e ("we are in the midst of a coup.")
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To: schm0e

I suppose it has something to do with the second frame on that page, where they promote homosexual adoptions and foster care. I guess they don’t realize how nauseating that photo is to normal people. Or maybe they’re deliberately being offensive.


5 posted on 06/18/2013 5:52:12 AM PDT by BykrBayb (Somewhere, my flower is there. ~ Þ)
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To: BykrBayb

Of course. I looked for something like that but didn’t see it.


6 posted on 06/18/2013 5:53:11 AM PDT by schm0e ("we are in the midst of a coup.")
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To: schm0e
This is the kind of adoption that WILL NOT trigger an audit:


7 posted on 06/18/2013 6:10:54 AM PDT by SeekAndFind
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To: SeekAndFind

how long, O Lord?


8 posted on 06/18/2013 6:41:51 AM PDT by schm0e ("we are in the midst of a coup.")
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To: BykrBayb

“Or maybe they’re deliberately being offensive.”

That’s my guess. Push to people who have no interest in the Bible or God. Pushing immorality and sick behavior as normal is SOOO much easier that way.


9 posted on 06/18/2013 6:50:19 AM PDT by freeangel ( (free speech is only good until someone else doesn't like it)
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To: SeekAndFind

So when you file one of these claims, you might as well also send in a copy of all the documentation to thwart their suppression efforts.


10 posted on 06/18/2013 6:50:55 AM PDT by theBuckwheat
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To: SeekAndFind; Liz
Add another item to the list of red flags that may get you audited: Adopting a child.

Any "red flags" for these? /sarc

The IRS Immigration Fraud Scandal (Rubio, Ryan losing credibiltiy over amnesty)

“We’re talking about a multi-billion dollar fraud scheme here that’s taking place and no one is talking about it,” he (the tax preparer) said.

The scheme involves illegal immigrants — illegal immigrants who are filing tax returns....

Each spring, at tax preparation offices all across the nation, many illegal immigrants are now eagerly filing tax returns to take advantage of a tax loophole, using their ITIN numbers to get huge refunds from the IRS.

The loophole is called the Additional Child Tax Credit. It’s a fully-refundable credit of up to $1000 per child, and it’s meant to help working families who have children living at home.

But 13 Investigates has found many undocumented workers are claiming the tax credit for kids who live in Mexico — lots of kids in Mexico.

“We’ve seen sometimes 10 or 12 dependents, most times nieces and nephews, on these tax forms,” the whistleblower told Eyewitness News. “The more you put on there, the more you get back.”

The whistleblower has thousands of examples, and he brought some of them to 13 Investigates. While identifying information such as names and addresses on the tax returns was redacted, it was still clear that the tax filers had received large tax refunds after claiming additional child tax credits for many dependents.

“Here’s a return right here: we’ve got a $10,300 refund for nine nieces and nephews,” he said, pointing to the words “niece” and “nephew” listed on the tax forms nine separate times.

More at the link...

11 posted on 06/18/2013 9:49:17 AM PDT by thouworm (Steyn: They let [Stevens] die, and then told lies over his coffin.They did that to one of their own.)
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To: SeekAndFind

I had one of those.
We are reviewing.
45 days later, (actually longer) send us birth certificate.
45 days later, (actually longer) send us copy of court order.
45 days later, (actually longer) who was your lawyer.
45 days later,(actually longer) send us copies of bills.
45 days later, (actually longer) we know you have bills, but don’t know you actually paid those bills. (yes, they did in fact say that) So we sent copies of checks, front and back, as well as a list of all said checks, AND copies of statements where the checks cleared the bank, AND copies of bills showing “PAID”.

Oh, and thank you friends and neighbors for helping me adopt my child. We had absolutely NO idea this was going to happen.


12 posted on 06/18/2013 2:35:55 PM PDT by Grammy (He frustrates the devices of the crafty, so that they cannot carry out their plans. Job 5:12)
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