Courts ordered ghost preparers to repay IRS over 20 million dollars
Courts ordered over $20 million back to the IRS in 19 selected cases, almost $16,000 back to taxpayers in three, and the IRS cannot say how many ghost preparers it has identified.
Courts ordered over $20 million back to the IRS in 19 selected cases, almost $16,000 back to taxpayers in three, and the IRS cannot say how many ghost preparers it has identified.
Courts ordered ghost preparers to repay the IRS over $20 million
Why it matters: A paid preparer can skip the signature, touch the refund, and leave the taxpayer with the return.
Date to watch: October 16, 2026. The IRS agreed to three recommendations and the report gives no date for a count.
Sources:
- GAO-27-108176, ghost preparers (2026-10-16)
https://files.gao.gov/reports/GAO-27-108176/index.html - 26 USC 6695, preparer penalties (2024-01-03)
https://www.govinfo.gov/content/pkg/USCODE-2023-title26/html/USCODE-2023-title26-subtitleF-chap68-subchapB-partI-sec6695.htm - 26 USC 6109, identifying numbers (2024-01-03)
https://www.govinfo.gov/content/pkg/USCODE-2023-title26/html/USCODE-2023-title26-subtitleF-chap61-subchapB-sec6109.htm - IRS report fraud (2026-09-25)
https://www.irs.gov/help/report-fraud - Ways and Means, Steube and Bessent (2026-06-04)
https://www.youtube.com/watch?v=yl_w6zTo0S8
The Throughline decodes today's headline — with receipts. Every claim is sourced; links below.
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