Background Checks: Improve Hiring & Detect Tax Fraud in 2021

As people get vaccinated for the COVID-19 virus and the inevitable truth that we need to return to life rears its head, companies of all kinds are hiring new employees again. Business has to pick up if our economy is to survive the slump that will slowly take us over. Since the job market is exceedingly competitive, more and more companies are doing thorough background checks when hiring. Background checks are helpful when you’re looking for new employees—they improve hire and provide benefits like detecting tax fraud.

Reasons to do a Background Check

Beyond the ability to be alerted of criminal charges, there are other added benefits of doing an employer background check. Not only do background checks offer national, state, and county criminal searches, you can look up their address and name history, sex offender registry, education and employment verification, and professional license and references, driving record, as well as records of civil court and workers compensation.

You will be able to determine if the person has been lying to you in any way, but you will also have a window into what kind of person they are. There might be something found in the background check that you had no idea about. They can be quite revealing. With so many different ways to compromise their character and lead to consequences for your business, doing a background check for every employee will help your business avoid trouble.

Why It Goes Beyond the Character of the Person

Of course you will get an idea of the character of the person, but that actually comes secondary to the other ways the prospective employee can impact your business. Lies about details of their work history, address, and a criminal record can end up in tax fraud that your business is forced to deal with. They could even find your business. Tax fraud occurs when someone or a business falsified information on a refund, limiting the tax liability. When the employee intentionally lies about tax information, they will pass these taxes onto you—the business.

Most employees don’t even know they are harming the business, but lying on their taxes also shows something about them. Lying can be harmless, but either way you will get an idea of who the person is by conducting a thorough background search that goes beyond the criminal record. Over time, you will see the difference in your hiring process.

Improve the Hiring of Your Business

A lot of businesses skip the background check, it is a good choice for your company because it will improve your hiring process and employee quality. You might not notice the difference at first, but if you keep with background checks it will give you a look into the person and you will hire more carefully. Background checks won’t change things immediately, but as time goes on you will take into account the details it provides and create a more dignified, honest, and reliable staff.

Cultivating a Better Staff

The world is changing. The economy is uncertain. It is absolutely imperative to get ahead of the impending economic turmoil by establishing a solid business with a great staff. This is especially pertinent when your business is a startup. As you cultivate a loyal, hard-working staff with integrity and honesty, the business will expand. The employees you hire will stay with you for years to come. They will grow with the business and take on new roles and responsibilities. While background checks are just one part of hiring, if you aren’t currently conducting them you could benefit from it.

From tech companies to warehouse fulfillment jobs, every business needs to hire honest employees. It doesn’t matter what field your company is in, hiring higher quality employees will help you grow and thrive. You won’t just have more trustworthy people working with you, the business will save on taxes, the turnover will be slower, and the employees will stay with the company long-term. Together you can grow into a functioning team that will be more successful than you ever imagined. Managers need every tool at their disposal, background checks are just one way to create an amazing team. 

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