As tax season winds down, scammers continue to look for ways to con unsuspecting victims. The IRS has investigated thousands of cases during tax season in which people lost money while having their personal information stolen. In this article, you will learn about different types of tax scams.
Scammers will use email, phone, and text to contact you-even tax professionals, students and entire businesses can fall prey. The most common way fraudsters attack is by impersonating IRS officials over the phone. You might receive an unsolicited call from a recorded voice or real person. The criminal often has your personal information; claiming you owe money to the IRS. They might aggressively demand payment via wire transfer or prepaid debit/gift cards. Usually they threaten arrest, deportation, or license revocation if they are not paid.
Email is another platform scammers use. Known as "phishing," con artists use direct email to gather information or assets. They may pose as a bank or payment system company, asking you to update, validate, or confirm your information. Just like phone scams, they might aggressively threaten you in order to get what they want. Sometimes they pose as IRS officials, insisting you are owed a refund and requesting that you update your personal information.
Other scams during tax season include: dishonest tax preparation, inflated tax refunds, fake charities, and promoters of frivolous tax arguments. The best way to protect yourself is to get informed. Visit the IRS website to read up-to-date information and please report IRS or Treasury-related fraudulent calls to firstname.lastname@example.org.