Colorado Agency: Fraud Checks Could Delay Some Tax Refunds

DENVER — Colorado officials are carefully reviewing tax returns after seeing an increase in fraud, meaning taxpayers might have to wait longer than usual for refunds, a spokeswoman said Wednesday. The state Department of Revenue faced a similar challenge last year and responded by mailing paper checks to addresses on record instead of directly depositing some refunds. The procedure — costly in terms of time as well as money — was prompted by an increase in stolen identity information used to file fraudulent tax returns. The federal Internal Revenue Service and other states are seeing similar problems, said Verenda Smith, deputy director of the Federation of Tax Administrators, an information-sharing Read more on Colorado Springs Gazette