Identity crime and fraudulent tax returns

What you should look out for

In some instances, perpetrators have approached a tax agent and asked them to prepare their returns or to lodge their printed e-tax return. They have also been known to forward the returns electronically to avoid face to face interaction and identity verification. Additional indicators of suspicious behaviour may include people or groups of people:

• claiming not to speak English - in a group situation, one person will be the nominated spokesperson for the group. People in this situation may also be on temporary visas
• lodging for the first time
• claiming excessive tax instalment deductions on payment summaries
• claiming the same deduction or tax offset values as other people within the group
• claiming to work for the same employer
• supplying proof of identity documents that are not consistent with information provided or that appear to have been altered or manipulated
• requesting preparation of several years income tax returns or amendments that would result in a substantial refund
• providing handwritten payment summaries and other employment documentation
• lodging tax returns with details that differ or conflict with previous years
• claiming sudden and significant increases in refunds or deductions compared to previous years
• diverting refunds from a home address to a post office box
• claiming to hold an Australian business number (ABN) that cannot be verified
• requesting changes to electronic funds transfer bank account details each year or using a bank account that does not contain their name
• making transactions simultaneously in different states or territories (such as operating bank accounts, lodging activity statements and lodging tax returns)
• providing an unverifiable phone number or only providing a mobile phone number
• having to think about answers to obvious questions
• operating a business or registering an ABN while receiving Centrelink benefits.