Senators Back Bill to Thwart ID Thieves Who Steal Tax Refunds

By Colby Adams and Brian Orsak

U.S. lawmakers proposed legislation Wednesday to combat the pilfering of tax refunds, now the most common type of identity theft-related fraud in the country. In a hearing held by the Senate's Special Committee on Aging, legislators and U.S. officials outlined the growth of the crime, which costs the U.S. government $5 billion annually and has become more frequent than ID theft-related credit card fraud. Using stolen personal data, criminals typically file electronically and request that refunds be sent on prepaid cards. Describing the misuse of stored value products in tax refund fraud and other crimes, Sen. Bill Nelson (D-FL) said...