Posted on 04/13/2002 11:33:27 AM PDT by Tumbleweed_Connection
While the debate over slavery reparations rages in legal and academic circles, it seems some folks at the Internal Revenue Service have already resolved the question.
In fact, two years ago the tax collecting agency began handing out reparations payments to the tune of millions, based on claims filed by taxpayers who cited a nonexistent slavery tax credit.
The scam, touted by con-artists who tell unsuspecting marks they can help collect the slavery money for a fee, has resulted in $2.7 billion in claims, of which $30 million has been approved by the IRS.
The racket is so widespread that a dozen current and former IRS employees have even applied for the slavery cash.
An IRS computer program designed to catch the bogus slavery claims misses a full four percent, said the Washington Post, which revealed the scam's success on Saturday - just two days before the IRS's filing deadline.
Most of the taxpayer funded slavery payments were for $43,209, the figure cited by Essence Magazine in 1993 as the estimated current value of "40 acres and a mule" - compensation promised to some freed slaves after the Civil War.
But deputy IRS inspector general Pamela Gardiner admitted that in some cases, where couples filing jointly both claimed reparations refunds, checks for $80,000 were cut.
Gardiner told the Post that the mistaken payments have encouraged others who might otherwise be skeptical of the slavery tax credit to file their own claims.
"Schemes all tend to jump as word (of their success) begins to get out," she said.
The IRS needs to start handing out some hefty fines or prison terms for people filing for this bogus claim.
Had I only penciled in $80k on line 33 two months ago.
Me thinks our 2002 returns could be quite creative. Maybe a FreeRepublic credit with a direct deposit into the forum's account.
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