Many erroneous tax credit claims are still paid each year, according to a recent audit by the Treasury Inspector General for Tax Administration (TIGTA). To combat errors, Congress provided the IRS with tools including penalties, bans on eligibility and recertification of eligibility. Yet, TIGTA found the following paid claims were “likely improper:” 25% of earned income credits (2018); some 33% of additional child tax credits (2009-2011); more than 31% of American Opportunity Tax Credits (2012). TIGTA identified 289,000 returns processed in 2018 for which the IRS didn’t verify taxpayers’ eligibility before recertifying them to receive a refundable credit. Here’s more: https://bit.ly/38oy3ZK
