Sunday, January 16, 2011

Senators seek end to prisoners' bogus tax refunds

Prisoners nationwide have bilked taxpayers out of $123 million in the last five years through phony tax refunds they applied for from their cells, according to four senators.

Sens. Charles Schumer of New York, Sherrod Brown of Ohio, Amy Klobuchar of Minnesota and Sen. Bill Nelson of Florida said the Federal Bureau of Prisons and the Internal Revenue Service have failed to cooperate and comply with a 2008 law aimed at stopping the practice in federal and state prisons nationwide. Prisoners use their own names or the names of friends and associates to submit false claims to receive and cash refund checks.

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