The Internal Revenue Service issued its annual "Dirty Dozen" ranking of tax scams, reminding taxpayers to use caution during tax season to protect themselves against a wide range of schemes ranging from identity theft to return preparer fraud.

The Dirty Dozen listing, compiled by the IRS each year, lists a variety of common scams taxpayers can encounter at any point during the year. But many of these schemes peak during filing season as people prepare their tax returns.

"Taxpayers should be careful and avoid falling into a trap with the Dirty Dozen," said IRS Commissioner Doug Shulman. "Scam artists will tempt people in-person, on-line and by e-mail with misleading promises about lost refunds and free money. Don't be fooled by these scams."

The following is the Dirty Dozen tax scams for 2012:

1. Identity Theft
2. Phishing
3. Return Preparer Fraud
4. Hiding Income Offshore
5. "Free Money" from the IRS & Tax Scams involving Social Security
6. False/Inflated Income and Expenses
7. False Form 1099 Refund Claims
8. Frivolous Arguments
9. Falsely Claiming Zero Wages
10. Abuse of Charitable Organizations and Deductions
11. Disguised Corporate Ownership
12. Misuse of Trusts

For more information about these tax scams, please visit the IRS article Dirty Dozen Tax Scams for 2012.

If you have filled out your own 1040 tax return before, then you are most likely familiar with the box on the first page that states, "Do you want $3 of your federal tax to go to the Presidential Election Campaign Fund?"

This fund was established in the early 1970's as a way to help cover the costs of presidential nominees in the general election and for national party committee conventions. Candidates are given the option to use public funding, if they qualify. Qualifications include the following: check off dollars are given only to presidential candidates who demonstrate broad national support, no private contributions may be accepted, candidates may not spend more than $50,000 of their own money on their campaign, and recipients are limited in the amount of total spending. For more information, please visit the IRS website at: http://www.irs.gov/irb/2008-09_IRB/ar09.html

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