About tax return score The Lost Wage Assistant, "LWA", examines information derived from tax return copies provided by the applicant. Because it is voluntarily provided, there is no concern about the misuse or sharing of information among other data providers (such as utilities, landlords, etc.).   The computerized Tax Return Score process assigns an overall score to individual federal tax returns based on deviations found when compared to 138 million tax returns -- resulting in an additional indicator of an individual’s financial strength beyond a traditional credit history rating. The Tax Return Score provides critical information regarding the credibility of applicant’s integrity and accuracy of their tax return. The TRS technology utilizes mathematical algorithms reviewed against national tax statistics, producing a score based on taxpayer deviations from Internal Revenue Service averages. The letter grades range from A for Excellent to U for Unsatisfactory.

Report Information Credit vs. Tax Return Score Comparison Chart Tax Return Score Sample Report

The review evaluates nearly every tax return line item, including (but not limited to) monthly liquidity, tax ratios, significant tax events, deductions, exit from the workforce or job instability, and tax delinquencies. As such, it complements traditional underwriting objectives such as identifying source(s) of income, monthly average net income and liquidity, retirement income, and existing tax liabilities. It can demonstrate a solid history of income and stability.
 
Including this new information as an additional component of “credit underwriting” can open doors for many individuals among diverse groups, and/or also avoid the tendency for such individuals to be offered only subprime products and rates. Statistics show that an estimated 50 million people are “unscoreable” when it comes to traditional credit bureau scoring. Not everyone can provide a rent or utilities payment history, but most individuals in these tax brackets do file tax returns. I acknowledge that I am selling a service/product – however, it would be great to help individuals achieve the benefits and security of owning their own homes.

Can individuals use tax scoring if their credit has been compromised?

Yes, people with poor credit scores caused by identify theft, reporting errors – or lack of traditional credit history – will benefit from this innovative method of demonstrating their ability to repay debt.

Not only does TRS verify an individual's annual gross income but we provide a credit like score to allow business commerce. 2009: 692 (Tax Return Score Avg.) 2009: 692 (National Credit Score Avg.)

Sample Reports: Click images below for a sample of the report pages.
Report A	Report D-	Detailed Cash Flow
Summary of Individual Tax Returns	Financial Health Report Card	Trend Analysis

• Score: By utilizing mathematical algorithms extracted from 138 million tax returns we identify taxpayer deviations and subtract points to arrive at an overall letter grade. Scoring tax returns provides critical information regarding the credibility of applicant’s integrity and accuracy of their tax return. The letter grades range from A for Excellent to U for Unsatisfactory.

• Self-Employed: We tested self-employed tax returns for years 2000 through 2006 Taxpayers: and we compiled the following statistics:

  • 21,000,000 self-employed individuals prepare Federal Tax Returns

  • 45% (9.5 million) will score a letter grade of A/B (Excellent/Good)

  • 20% (4.2 million) will score a letter grade of C (Average)

  • 35% (7.3 million) will score a grade of D or U (Poor/Unsatisfactory)

  • 1,470,000 self-employed individuals will prepare Federal Tax Returns but never mail them to the IRS.

• Benefits: Scoring tax returns would provide the following benefits:

  • Provide US Treasury ability to recapture $44 billion of estimated $350 billion dollar tax gap

  • Provide 50 million Americans who are credit "unscoreable" the ability to demonstrate their credit-worthiness for commerce

  • Provide mortgage industry with means to prevent lending fraud that will result in the US Government saving millions each year