Medical work A form given to an employee at the end of a year, which reports to the US federal government the employee's total earnings, and any earnings withheld for various purposes, including federal, state, local, and FICA taxes
The scam is simple: A district employee, often in the payroll or human resources department, receives an email from'what looks like a central office administrator, asking for employees' W2 forms and personal or financial information.
Some triggers are earned income credit (a high dollar refund would cause the IRS to question whether children claimed are actually dependents), home offices (in cases of high deductions in comparison to earnings, home depreciation, or withholding), tax shelter losses, unreported income on 1099 forms, and inaccurate W2 forms. "If the IRS thinks you made a minor mistake, they'll send a paper or correspondence audit.
To accomplish this, Fowler believes the next step in the evolution of e-filing is to require information such as W2 forms, bank statements and broker statement be made available to taxpayers electronically.