Form 14157: Return Preparer Complaint

Form 14157-A: Tax Return Preparer Fraud or Misconduct Affidavit Guide

Form 14157-A, titled Tax Return Preparer Fraud or Misconduct Affidavit, is a document provided by the IRS that allows taxpayers to report any fraudulent activities, misconduct, or unethical behavior by their tax return preparers. If you suspect that your tax preparer has made an error on your return, intentionally falsified information, or engaged in any other form of fraud or misconduct, Form 14157-A is your way to alert the IRS to take action.

Tax preparers are entrusted with sensitive financial information, and when they act unethically or illegally, it can lead to severe consequences for the taxpayer, including fines, penalties, or even criminal charges. This guide explains everything you need to know about Form 14157-A, including who should file it, what constitutes misconduct, and the steps to take to protect yourself from fraudulent activities.

What is Form 14157-A?

Form 14157-A is an affidavit that taxpayers can file with the IRS to report a tax return preparer’s fraud or misconduct. It is designed to help the IRS investigate and take appropriate action when a taxpayer suspects that their preparer has committed fraud or engaged in unethical behavior related to the preparation of their tax returns.

This form is specifically for reporting incidents involving tax preparers who have:

• Falsified information on a tax return
• Claimed false deductions or credits
• Engaged in illegal or unethical business practices
• Failed to follow applicable tax laws
• Charged excessive fees
• Provided misleading or incomplete tax advice

It is essential that the person filing Form 14157-A has sufficient evidence of the misconduct, as this document will be used by the IRS for investigative purposes. You will also need to provide detailed information about the misconduct, the tax preparer involved, and your interactions with them.

Who Should File Form 14157-A?

Form 14157-A should be filed by taxpayers who believe they have been victims of fraud or misconduct by a tax return preparer. Specifically, you may want to file this form if:

1. You suspect fraud or unethical practices on the part of your tax preparer.
2. Your tax return contains false information that you did not approve or understand.
3. You were misled about tax deductions, credits, or strategies that turned out to be incorrect or illegal.
4. Your tax preparer failed to sign your return or provided incomplete or false contact information.
5. You suspect your tax preparer has committed criminal acts such as falsifying income or expenses or submitting a fraudulent return to the IRS.

It’s important to note that this form is not intended for general complaints about tax preparers or disagreements about tax filing. It should only be filed when there is clear evidence of fraud or misconduct.

Key Sections of Form 14157-A

Form 14157-A contains several sections where taxpayers must provide detailed information. Below is a breakdown of the key sections:

1. Taxpayer Information (Part I)
   This section requires you to provide your personal information, including:

   • Your name
   • Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN)
   • Contact information, such as your address and phone number

2. Tax Preparer Information (Part II)
   In this section, you’ll provide information about the tax preparer you are filing the complaint against. This includes:

   • The preparer’s name
   • Preparer’s Employer Identification Number (EIN) or PTIN (Preparer Tax Identification Number)
   • Address and contact information for the tax preparer
   • Details about the tax preparer’s business (if applicable)

3. Details of the Fraud or Misconduct (Part III)
   This is the most critical section of Form 14157-A. You will need to provide a detailed account of the fraudulent or unethical behavior. This could include:

   • The specific actions that you believe were fraudulent or improper, such as falsifying deductions, inflating income, or creating fake documentation.
   • Dates and events when the misconduct occurred.
   • Any supporting evidence you have, such as emails, receipts, or documents showing the fraudulent behavior.
   • How the misconduct affected your tax return and your financial situation.

4. Additional Information (Part IV)
   This section is used to provide any further information or relevant details that may help the IRS in its investigation. This could include:

   • Correspondence you’ve had with the tax preparer.
   • Any actions you’ve taken to try to resolve the issue with the preparer.
   • Your experience with the tax preparer’s handling of your return.

5. Signature and Certification (Part V)
   In this final section, you will sign and certify that the information provided is accurate to the best of your knowledge. You will also indicate that you understand the penalties for providing false information to the IRS.

Filing and Deadline for Form 14157-A

Form 14157-A does not have a specific deadline, but it should be filed as soon as possible after you discover the fraud or misconduct. The IRS encourages taxpayers to report suspected fraud promptly to minimize any potential harm or further violations.

You can file the form by mailing it to the IRS or submitting it online through the IRS’s official website or other authorized channels. If you are unsure where to send the form, you can refer to the IRS website or contact their helpline for guidance.

What Happens After You File Form 14157-A?

Once the IRS receives your Form 14157-A, it will initiate an investigation to determine whether the tax preparer has violated any laws or ethical standards. The IRS takes allegations of fraud and misconduct very seriously and may take the following actions:

• Investigate the preparer’s actions by reviewing the information you provide and comparing it with the preparer’s history and behavior.
• Penalties or sanctions could be imposed on the preparer if they are found guilty of fraud or misconduct. These can include fines, suspension of the preparer’s PTIN, or disbarment from practicing before the IRS.
• Refunds or adjustments to your tax liability may be made if the IRS finds that the preparer’s actions caused you to overpay your taxes or submit incorrect information.
• Referral to other authorities may occur if the misconduct involved criminal activities, such as tax fraud or identity theft.

The IRS will also contact you to let you know the status of your complaint and any actions they plan to take. However, be aware that the IRS may not disclose specific details about the investigation due to confidentiality rules.

Common Mistakes to Avoid When Filing Form 14157-A

1. Incomplete or vague details
   It is crucial to provide specific information about the misconduct. Failing to give clear details or evidence of fraudulent activities may delay the investigation or lead to the dismissal of your claim.

2. Not submitting supporting documents
   If you have any relevant documents, such as copies of the tax return in question, correspondence with the preparer, or records of payments made to the preparer, include these in your submission. The more evidence you provide, the stronger your case.

3. Filing without clear evidence
   Form 14157-A should only be filed if you have legitimate grounds to believe fraud or misconduct occurred. Filing without sufficient evidence could result in the IRS not taking action and wasting valuable time.

4. Not keeping a copy of the form
   Always keep a copy of the completed form and any supporting documentation you send to the IRS for your own records. It’s also a good idea to send the form via certified mail to track its delivery.

Conclusion

Form 14157-A serves as a valuable tool for taxpayers who have been victims of fraud or misconduct by their tax return preparer. By reporting the issue to the IRS promptly, you can help protect yourself from further financial harm and ensure that unethical or illegal actions are investigated and addressed. If you suspect your tax preparer has engaged in fraudulent activities, it’s essential to complete the form accurately, provide evidence, and file it as soon as possible. This is an important step in ensuring that your tax obligations are correctly handled and that unethical preparers are held accountable for their actions. If you’re uncertain about how to fill out Form 14157-A, or if you need assistance with the investigation process, consider consulting a tax professional or attorney.