A tax warning that could save you hundreds

Some taxpayers are being stuck with exorbitant fees after discovering their federal tax returns were filed without permission.

In some cases, taxpayers complained they were charged up to $900 in fees by tax preparers for services that should have cost a fraction of that amount.

Tiffany Abrams said her federal taxes were filed without permission after applying for a so-called "holiday loan" just before Christmas. Abrams said the tax preparer used a December pay stub to verify income for a $200 loan and charged her a whopping $861.

"I never authorized. No," Abrams said. "I have my W-2s with me. I never took them my W-2s."

Another taxpayer grew so angry over excessive fees she called 911 from a parking lot outside the preparer's office.

Markeita Holley said the company refused to give her tax documents they prepared, so she grabbed them and tried to leave. She called 911 for help when an employee at the company took away her car keys to prevent her from leaving.

The tax service also called 911, claiming Holley had stolen the tax returns.

Police wound up surrounding Holley's car with guns drawn.

"They're screaming, ‘Put your hands up, put your hands up!'" said Holley, who did not have a gun.

No one was charged, but Holley insists she never authorized her taxes to be filed. She said the company informed her that since she obtained $200 loan, she was obligated to file her taxes with them.

"I didn't have a choice," Holley said, "and she didn't tell me that from the start either."

The Better Business Bureau recommends you contact them to check the complaint histories of tax preparers before you agree to any service.
Print this article Back to Top