IG: IRS ‘Hindered’ Efforts to Stop Illegals from Misusing Social Security Numbers

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CNS News:

An audit report published this month by the inspector general for the Social Security Administration says that the Internal Revenue Service’s reluctance to penalize employers who consistently file W-2s on which the Social Security Number and name do not match has “hindered” the SSA’s efforts to stop “unauthorized noncitizens” from using Social Security Numbers that are fake or belong to someone else.

The audit report looked at “inaccurate wage reporting”—or the filing of W-2 forms on which the name and the Social Security Number do not match. The SSA has long said these no-match W-2s are frequently filed on behalf of illegal aliens. According to the IG audit report released earlier this month, a senior IRS official admitted to the IG that the service knows this is the case.

“Furthermore,” said the report, “a senior employment tax official at the IRS acknowledged that unauthorized noncitizens accounted for a high percentage of inaccurate wage reporting.”

The audit looked at the U.S. employers who in tax years 2007-2009 (the latest for which all data was available) had the worst records for filing W-2s on which the names and Social Security Numbers did not match

The IG determined the 100 employers who filed the the largest raw numbers of no-match W-2s in those three years and the 100 employers (with at least 100 employees a piece) who filed the most as a percentage of their payrolls.

The audit discovered that the employer with the very worst record for filing no-match W-2s had filed 117,792 over the three years—an average of 39,246 no-match W-2s per year.

The employer with the highest percentage of no-match W-2s had filed them at a 98-percent rate.

The 100 employers who filed the most no-match W-2s and the 100 employers who the highest percentage of no-match W-2s together filed 2,477,546 no-match W-2s over three years. The auditors determined that 20 percent of the Social Security Numbers used on these W-2s were not real Social Security Numbers. In fact, 42,164 of the W-2s had Social Security Numbers that were all zeros. 358 were filed with 666 as the first three digits.

But, the audit determined, no-match W-2s were more likely to be filed using a real Social Security Number that belonged to someone other than the person on whose behalf the W-2 was filed. “SSA had assigned the remaining 2 million (80 percent) SSNs to someone else,” said the report. “About 380,000 of these belonged to young children, and about 258,000 belonged to deceased individuals.”

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I’m guessing that, just like other scandals, this one won’t be punished either. I’m sure this has been going on under several presidents. It would be interesting to see where that part of MY Social Security money goes.

And all of a sudden all of these career criminals are going to make nice, pay back taxes, jump through innumerable hoops and get in line to become law-abiding citizens?
The IRS is telling them they don’t have to do any such thing!

@Smorgasbord:
PUNISHED??? I just wish the sorry SOBs would acknowledge at least ONE of these scandals beyond saying that they will “look into it”. Oh, never mind, Obama said they are phony.

@Dink Newcomb: #3
I hope the right people are keeping track of all of this stuff and run for federal offices, get elected, then go after these people. This is a good reason to end statue of limitations. I’m guessing that these crimes have so much time to prosecute, and not very long. They should have to live with it for the rest of their lives.

Well, you know, with all the time and effort it takes to ‘investigate’ *real* problems like those nasty Tea Party and Veteran’s groups and ask them to submit detailed information about their status and qualifications, sometimes there just aren’t enough hours in the day to deal with such trivial issues…

/sarc

It wouldn’t surprise me if those very same people were able to vote as well but we can’t have Voter ID in this country because we are going to disenfranchise voters….

It doesn’t seem to matter that between the corruption and incompetence of the people running this country I have become disenfranchised with the absolute futility of trying to fix these things thru the ballot box.

Why are these employers not on trial or in jail for identity theft and tax reporting fraud?

@Ditto: #7

Why are these employers not on trial or in jail for identity theft and tax reporting fraud?

There is so much corruption in our government, it could be any number of organizations, companies, people, etc., getting the money: The mob, corrupt politicians, unions, The Muslim Brotherhood, or even foreign countries. The mob is well known to have people on city employee lists, but they never show up for work. That is one way the mob gives their members medical insurance.

@Smorgasbord:

They let all this illegal activity continue unchecked, yet they focus their efforts on harassing Tea Party Groups, Religious bases institutions, The American Legion, Conservative candidates and their campaign donors . This is why The People must wake up and wrestle the control of our nation away from the corrupt, self-serving elitist, Progressives of both parties, and return it to a Constitutional Republic.

@Ditto: #9
It is easy to tell what organizations, politicians, and people are against the USA as it was established. They keep telling us that they want to destroy the USA. They just aren’t saying it directly. We need to try to keep pointing out to people what they are actually saying.

In my opinion, if anyone votes for a republican or a democrat in the next elections, they are voting for business as usual. Both parties have had control of congress and the white house, but haven’t:

(1) Cut spending
(2) Fixed Social Security, Medicare, Medicaid
(3) Put military funding first
(4) Reduced the size of government

Add your own.

@Smorgasbord:

In my opinion, if anyone votes for a republican or a democrat in the next elections, they are voting for business as usual.

Wow! That does not leave the voter ANY options. We seldom have anyone from a third party and when we do, it results in a situation like Perot splitting the Republican vote and us getting Clinton V1.0 for 8 years. I agree, we seem to badly need a third party but it is likely to be a hard decade or two in really accomplishing that. We do currently have some people who might make good candidates for the base of a moderate/libertarian party– those in the past (like Perot) may have had good skills and abilities but if you seem like your family came from another planet, you won’t gather enough votes to win.

@Dink Newcomb: #11

Wow! That does not leave the voter ANY options.

There are several other parties that run candidates, we just don’t hear about them. I would like to see returning vets run for office. Even if we get people in office who are 100% for the USA, as time goes on, they become politicians when they find out how wealthy they can become, or they have to promise the ones who donate to them what the donors want.

I think Perot’s objective was to keep George Bush from getting elected, not for himself to be president.

As I have mentioned before, as long as we have a campaigning system where a candidate needs someone else’s money to get elected, the ones who donate the most, and to both parties, get what they want. We need to revamp the campaigning system so the candidates can’t spend ANY money. obama even opened up his donation web site so he could accept foreign contributions. Could this be why he is so loyal to countries that aren’t loyal to us?