The Internal Revenue Service and the Social Security Administration were urged during a congressional hearing Tuesday to take further steps to curb identity theft-related tax fraud.

“To date, little has been done to ensure that tax refunds are directly deposited only into the taxpayer’s account,” said Treasury Inspector General for Tax Administration J. Russell George. “Some bank accounts are obviously being used for the refunds of many different taxpayers. For example, we found that 4,157 of the potentially fraudulent tax refunds we identified totaling $6.7 million were deposited into one of 10 bank accounts. Each of these 10 bank accounts had direct deposits of more than 300 tax refunds.”

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