New Jersey-2016-AR171-Introduced

An Assembly Resolution urging the Internal Revenue Service to undertake a campaign raising the public's awareness of the fraudulent "federal student tax" scheme targeting students.

Whereas, Criminals impersonating Internal Revenue Service agents continue to pose a substantial financial threat to the taxpayers of the United States; and

Whereas, A variety of fraudulent schemes currently target the taxpayers of the United States; and

Whereas, The fraudulent schemes often target the most vulnerable members of society; and

Whereas, Students, a uniquely vulnerable group due to their inexperience with the payment of taxes and filing of tax returns, are now being targeted by the fraudulent "federal student tax" scheme; and

Whereas, The fraudulent schemes seek to obtain the taxpayer's personal identifying information, personal financial information and payment for either nonexistent taxes or taxes that the taxpayer does not owe; and

Whereas, The pervasion of the fraudulent schemes is documented by the Treasury Inspector General for Tax Administration who, as of February 2, 2016, has received reports of more than 850,000 attempted fraudulent schemes since October 2013; and

Whereas, The financial impact on the victims of these fraudulent schemes is documented by the Treasury Inspector General for Tax Administration who, as of February 2, 2016, has become aware of 5,000 victims who have collectively paid $26,500,000; and

Whereas, Compliance with the fraudulent schemes is coerced through a variety of methods including, but not limited to, threats of police arrest, legal proceedings, deportation and license revocation; and

Whereas, Payment of the supposed taxes owed is demanded in a variety of methods including, but not limited to, "iTunes" gift cards, prepaid debit cards and wire transfers; and

Whereas, In the fraudulent "federal student tax" scheme, targeted students receive a demand for payment of the "federal student tax," a nonexistent tax; and

Whereas, A campaign to raise the public's awareness of the fraudulent nature of the "federal student tax" scheme will provide the public with the necessary knowledge to aid them in protecting themselves from falling victim to such fraudulent scheme; and

Whereas, It is altogether fitting and proper for this House to urge the Internal Revenue Service to undertake a campaign to raise the public's awareness of this fraudulent scheme targeting students and involving the "federal student tax"; now, therefore,

Be It Resolved by the General Assembly of the State of New Jersey:

1. The General Assembly of the State of New Jersey respectfully urges the Internal Revenue Service to undertake a public awareness campaign to raise the public's awareness of the fraudulent "federal student tax" scheme targeting students.

2. Copies of this resolution, as filed with the Secretary of State, shall be transmitted by the Clerk of the General Assembly to the Commissioner of the Internal Revenue Service and every member of Congress elected from this State.

STATEMENT

This resolution urges the Internal Revenue Service to undertake a campaign to raise the public's awareness of the fraudulent "federal student tax" scheme targeting students. In this scheme, criminals pose as Internal Revenue Service agents and demand payment from students for the nonexistent "federal student tax." As students are a uniquely vulnerable group as they tend to not have any experience with the payment of taxes or the filing of tax returns, a campaign raising awareness of this fraudulent scheme will provide the public with the necessary knowledge to aid in protecting themselves from falling victim to this fraudulent scheme.