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Updated almost 5 years ago on . Most recent reply

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Nicholas Jose
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How do you verify FAKE tax returns (and other docs)?

Nicholas Jose
Posted

Good afternoon, BP.

I'm currently doing research on how to screen applicants, particularly those who are self-employed. One way to verify an applicant's credit history would be to examine their tax returns and other relevant documents (i.e. bank statements). However, what exactly are you looking for when you see the form with your own eyes? Would there be something that jumps out at you that screams "WARNING! THIS IS A FAKE DOCUMENT"? 

For first-time landlords, wouldn't it just be easier to have your tax advisor/preparer look at the applicant's tax returns him/herself and report back to you about its legitimacy?

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Linda Weygant
  • Investor and CPA
  • Arvada, CO
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Linda Weygant
  • Investor and CPA
  • Arvada, CO
Replied

You would only look at their tax return or bank statements if they are self employed or are living off of investment/savings. 

For anybody with a job, paystubs and W2s are sufficient.

There is literally no point to pulling their tax return if you don't know/understand self employment taxes or other intricacies.  That's just time and headache you don't need.

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