Refund fraud poses a significant challenge to ecommerce businesses and tax authorities, costing billions of dollars annually through various schemes, such as fake tracking IDs, wardrobing, price switching, and stolen identity refund fraud. Criminals execute these scams by exploiting loopholes in refund policies, such as requesting refunds for undelivered, defective, or falsely advertised products, and often operate in groups, making them easier to identify using machine learning algorithms and device fingerprinting. Other tactics include altering receipts, leveraging online reputation to pressure businesses, and committing tax fraud by filing false returns. To combat this issue, businesses are advised to implement measures like browser fingerprinting, careful inspection of returned items, and monitoring social media for potential fraud-related complaints while balancing these preventative measures with customer satisfaction to protect their loyal clientele.