FOR IMMEDIATE RELEASE
March 8, 2016

NATIONAL CONSUMER PROTECTION WEEK: DEPARTMENT OF CONSUMER AFFAIRS WARNS NEW YORKERS ABOUT PREDATORY TAX PREPARER TACTICS

The City Announces Results of Annual Tax Preparer Inspections and Encourages Eligible New Yorkers to File for Free

Federal, State and City Consumer Protection Authorities Recognize National Consumer Protection Week

Department of Consumer Affairs (DCA) First Deputy Commissioner Alba Pico today, as part of National Consumer Protection Week, issued a warning to New Yorkers about predatory tax preparer tactics, including overcharging, hidden fees and filing without permission. As part of the City’s annual tax preparer inspections, DCA conducted more than 350 targeted inspections citywide and issued violations to two in every five income tax preparers inspected. Top violations included failing to post prices for their services, misrepresenting their qualifications and violating other consumer rights. First Deputy Commissioner Alba Pico also encouraged New Yorkers who earned $62,000 or less to take advantage of the City’s free tax preparation services. DCA made the announcement at a press conference with the Better Business Bureau Serving Metropolitan New York, the New York State Office of the Attorney General and the U.S. Postal Inspection Service.

“Every New Yorker should know their rights before going to a paid preparer to file their taxes,” said Department of Consumer Affairs First Deputy Commissioner Alba Pico. “For a number of years, refund anticipation loans disappeared thanks to federal regulations but they are back in a new way this year. The products are supposed to be free of interest and the cost isn’t supposed to be passed on to the consumer but, as we all know, things are rarely “free.” With the most common violation at tax preparers being related to the price list, we want consumers to be very vigilant about what they are being charged to file their taxes. If you earned $62,000 or less, we encourage you to take advantage of the City’s NYC Free Tax Prep program and get back the full refund you deserve.”

Read the full press release: Warning Against Predatory Tax Preparers