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Tax Fraud Detection and Prevention

Sophisticated tax and ID fraud requires an equally sophisticated defense. Build yours from networked intelligence and dynamic fraud decisioning.

Protect your community and its resources with better fraud detection and prevention.

Tax evaders are contributing to an ever-widening tax gap, putting additional strain on government agencies already facing shortfalls. The entire community suffers when there’s fewer resources to go around. But that’s not the only problem: Tax ID fraud causes a very different—very significant—sort of harm to victimized individuals and businesses.

You need tools to agilely identify and respond to a wide array of traditional and emerging threats. At LexisNexis® Risk Solutions, that’s what we do for tax and revenue agencies everyday.
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Achieve These Results

Spot Under-Reporters and Tax Evaders

Our solutions make it easier to detect individuals who purposely omit key data that may impact the amount they owe. Fully understand the individuals and businesses you’re dealing with — and their hidden connections — in one comprehensive view. Leverage our massive consumer identity data and unique data set to get an unprecedented look into household information, business ownership, assets and other vital data relative to an individual’s tax reporting. Even in the case of business tax fraud, that consumer view is so vital because businesses don’t perpetrate fraud: the people associated with the business are the violators.

Harness our unique strengths into your advantage:

  • Combined digital and physical identity intelligence (we’ve uncovered 40 million business LexIDs and 280 million consumer LexIDs — which are unique identities determined by linking massive disparate data sets to a single person/entity)
  • Identity details on the owners/principals of the business and their networks of relatives and associates
  • Business details such as revenue producing locations, principals and ownership structure

Combat Identity Fraud without Adding Undue Friction

Law-abiding taxpayers shouldn’t have to put up with security burdens created by fraudsters. Our platform approach and broad set of solutions enable you to implement multi-layered, risk-based processes for authentication and fraud mitigation. Meaning, you can provide streamlined access for trusted users while increasing scrutiny or implementing step-up measures on riskier ones.

For example, we can help you better differentiate between a trusted individual and a cyber-threat by leveraging combined physical and digital identity attributes (address, phone number, date of birth, SSNs, court filings, device ownership, locations, past behaviors) compiled from a cross-industry contributory network. This robust knowledge bank unearths hidden details that signal suspicious behaviors and evolving cybercrime threats such as bot attacks and synthetic identities.

We also help protect against tax refund identity fraud and account takeovers, making it possible to accurately detect the use of location and identity cloaking services. Bring hidden proxies and VPNs into the light. See the true IP address, geolocation and other attributes of each transaction. Quickly cross-check identities against agencies in bordering or faraway states before approving applications.

With the power of advanced data linking and unique identifiers, you’ll be able to surface more connections between individuals, claims and other data points. For example, homestead exemption fraud tends to be especially elusive for agencies — but our ability to reveal indicators like multiple property ownership, primary residency, death and incarceration records gives you the tools to shut it down. Easy to use visualization tools help you see patterns that may indicate larger-scale, coordinated fraud efforts — even those occurring outside the public sector. When it comes to devising an action plan, back-end intelligence and automated solutions can help you filter information and prioritize audits, focusing on the ones that owe the most or have the greatest compliance impact.

Fraud is a complicated area, and it takes special expertise to stay on top of emerging threats that may be happening across all industries. Don’t navigate this landscape alone. Count on the LexisNexis® Risk Solutions Special Investigations Unit for the latest intelligence and hands-on help where needed.

This group of cross-trained analysts stand ready to support you with updated skills, tools and knowledge drawn from professional experience in law enforcement, national security intelligence, military intelligence and fraud prevention. They’re uniquely able to uncover identity patterns of fraud and solve special challenges including:

  • Conducting research and assisting with investigations
  • Helping you understand bigger trends in the fraud landscape
  • Assisting in troubleshooting issues and brainstorming new approaches
Take advantage of these services at no additional cost; they’re built into our solutions. 

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