Indiana anti-fraud efforts curb improper payments involving taxes

Posted at 10:11 AM, Nov 05, 2018
and last updated 2018-11-05 10:11:03-05

INDIANAPOLIS (AP) — The Indiana Department of Revenue says identity theft prevention and refund fraud detection programs helped halt more than $9.7 million in improper payments during the 2018 budget year.

Revenue Commissioner Adam Krupp tells The (Northwest Indiana) Times the department is benefiting from combining technology with dedicated fraud monitoring specialists in partnership with other tax agencies.

Indiana for years has required selected taxpayers who say they are entitled to refunds to complete a four-question online identity confirmation quiz as part of the process of submitting their income tax returns. The state revenue agency also has been closely monitoring filings that include excess withholding to identify people who may have incorrectly reported their pre-paid income taxes.

Fraud prevention programs over the past five years have denied payment on more than $119 million.