Atlanta, February 10, 2026
As tax season unfolds, authorities caution taxpayers against ‘ghost preparers’ who promise larger refunds while engaging in fraudulent practices. These unregistered individuals fail to sign tax returns or provide necessary identification, increasing the risk of financial repercussions for unsuspecting filers. Taxpayers are urged to remain vigilant and require legitimate preparers to include their Preparer Tax Identification Numbers (PTIN) and return copies for their records.
Atlanta
As tax season progresses, authorities are issuing a timely caution to citizens regarding unscrupulous individuals who may present themselves as tax preparers, alluring taxpayers with promises of significantly larger refunds. These deceptive individuals, often referred to as “ghost preparers,” engage in fraudulent activities that can carry severe financial repercussions for unsuspecting filers.
The core of this illicit practice lies in the preparer’s refusal to properly identify themselves on official tax documents. Legitimate tax professionals are required by law to sign the returns they prepare and to include their unique Preparer Tax Identification Number (PTIN). In stark contrast, ghost preparers deliberately omit their signature and PTIN, effectively making it appear as though the taxpayer prepared the return themselves. They frequently decline to provide the taxpayer with a copy of the completed return for their records.
Understanding the Deception
The allure of a larger refund, while deeply understandable in its human appeal, can unfortunately lead individuals into arrangements where their tax returns are filed with fabricated information. These fraudulent schemes often involve the creation of bogus expenses, inflated deductions, unwarranted exemptions, or false credits. The taxpayer, in many instances, remains wholly unaware that their return contains these falsified details.
For example, some ghost preparers have been known to claim fictitious fuel credits or invent Schedule C business losses, even when no such business activity exists. While the immediate promise of a substantial refund can seem like a welcome relief, the foundation of such a return is built on untruths, creating a precarious situation for the individual whose name is on the document.
Consequences for Taxpayers
The fallout from engaging with a ghost preparer can be profoundly disruptive and financially burdensome. When fraudulent returns are identified, the taxpayer, even if unknowingly complicit, may face significant penalties and accrue interest on underpaid taxes. In more severe cases, individuals could be subjected to criminal charges related to tax fraud. The Internal Revenue Service maintains that the ultimate responsibility for the accuracy of a tax return rests with the taxpayer, making vigilance an essential safeguard.
This particular form of deception is not a new phenomenon; it represents an enduring challenge that reappears each tax season, preying on the natural desire for financial relief. The quiet act of handing over one’s financial details to an unregistered individual, trusting in a promise that seems too good to be true, can lead to a long and complex journey through the often unforgiving landscape of tax audits and legal rectifications.
Safeguarding Against Fraud
To protect oneself from such schemes, a few straightforward steps can be taken. Always choose a tax preparer who has a valid PTIN. Insist that the preparer signs the return and includes their PTIN. Demand a copy of the completed tax return for your personal records before it is filed. These simple, yet crucial, actions serve as vital checkpoints to ensure that the process is legitimate and transparent. A legitimate preparer should also be willing to answer questions about the preparation of the return and the sources of any claimed deductions or credits. The quiet integrity of a well-prepared tax return offers a lasting peace of mind that no fleeting promise of a larger refund can match.
Frequently Asked Questions
What is a “ghost preparer”?
A “ghost preparer” is an individual who prepares tax returns but does not sign the return or include their Preparer Tax Identification Number (PTIN), making it appear as though the taxpayer prepared the return themselves. They frequently decline to provide the taxpayer with a copy of the completed return for their records.
What kind of fraudulent activities do ghost preparers engage in?
Ghost preparers often engage in fraudulent activities by creating bogus expenses, inflated deductions, unwarranted exemptions, or false credits on tax returns. For example, some ghost preparers have been known to claim fictitious fuel credits or invent Schedule C business losses, even when no such business activity exists.
What are the consequences for taxpayers who unknowingly use a ghost preparer?
When fraudulent returns are identified, the taxpayer, even if unknowingly complicit, may face significant penalties and accrue interest on underpaid taxes. In more severe cases, individuals could be subjected to criminal charges related to tax fraud, as the ultimate responsibility for the accuracy of a tax return rests with the taxpayer.
How can taxpayers protect themselves from ghost preparers?
To protect oneself from ghost preparers, taxpayers should always choose a tax preparer who has a valid PTIN. It is important to insist that the preparer signs the return and includes their PTIN, and to demand a copy of the completed tax return for personal records before it is filed. A legitimate preparer should also be willing to answer questions about the preparation of the return and the sources of any claimed deductions or credits.
Is the practice of ghost preparing new?
This particular form of deception is not a new phenomenon; it represents an enduring challenge that reappears each tax season, preying on the natural desire for financial relief.
Key Features of Tax Preparer Fraud by “Ghost Preparers”
| Feature | Description | Impact on Taxpayer | Geographic Scope |
|---|---|---|---|
| Unsigned Returns | Preparer does not sign the tax return, making it appear self-prepared. | Taxpayer assumes full responsibility for accuracy. | Nationwide |
| Missing PTIN | Preparer omits their Preparer Tax Identification Number (PTIN). | Difficulty tracing the preparer in case of issues. | Nationwide |
| No Return Copy | Refusal to provide the taxpayer with a copy of the prepared return. | Lack of documentation for taxpayer’s records and review. | Nationwide |
| False Information | Inclusion of bogus expenses, inflated deductions, unwarranted exemptions, or false credits. | Increased refund initially, but heightened risk of audit and penalties. | Nationwide |
| Examples of Fraud | Fictitious fuel credits or invented Schedule C business losses. | Taxpayer may be liable for fraud even if unknowingly. | Nationwide |
| Consequences | Penalties, interest, and potential criminal charges for the taxpayer. | Significant financial and legal burden. | Nationwide |
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Author: STAFF HERE ATLANTA WRITER
The ATLANTA STAFF WRITER represents the experienced team at HEREAtlanta.com, your go-to source for actionable local news and information in Atlanta, Fulton County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as vibrant music festivals like Shaky Knees and Music Midtown, major cultural celebrations including Dragon Con and the Atlanta Film Festival, and iconic sporting events like the Peachtree Road Race. Our coverage extends to key organizations like the Metro Atlanta Chamber of Commerce and the Atlanta Convention & Visitors Bureau, plus leading businesses in logistics, beverages, and retail that power the local economy such as Delta Air Lines, The Coca-Cola Company, and The Home Depot. As part of the broader HERE network, including HEREAugusta.com and HERESavannah.com, we provide comprehensive, credible insights into Georgia's dynamic landscape.
