An experienced tax preparer is going to know when you are providing them with fraudulent information. Today, we are going to be discussing the various ways that your tax preparer can tell you are lying.
Some clients will try to leave out overseas investors because they think that the income does not have to be reported since it was from another country. Therefore, when you tell your tax preparer that you spent time overseas yet did not receive any type of income during your stay, especially if you revealed you were there for work purposes, they will already know that you are lying.
Many filers will try to lie about their income so they can lower their tax bill and receive unemployment benefits. However, an experienced tax preparer is going to ask you a series of questions, which will cause you to reveal some income sources that you did not originally plan to include. Another red flag in the eyes of an experienced tax preparer is when you report a low income for the year yet you are claiming multiple dependents.
If a tax preparer files, your fraudulent return knowingly they are going to face a fine in addition to the fine that you will have to pay. Many tax preparers are not going to risk their jobs and income to help you cheat the IRS. Therefore, they will do everything in their power to insure that you are providing them with accurate information. Also, keep in mind that if you lie to receive certain credits and deductions you will lose your privilege of claiming them in the future when you may actually qualify.