Identity Theft Triggers a Surge in Tax Fraud

WASHINGTON—With tax season under way, federal authorities are stepping up efforts to stop what they call a growing problem of fraudulent filings seeking tax refunds based on stolen identities.

The scam, which involves repeatedly filing fake tax returns electronically and receiving refunds within days, is so enticing it is attracting suspects not typically associated with white-collar crime.

On Friday, two members of an alleged…

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