Posted On 06 Mar 2025
Tax season is a time when many people are focused on filing their returns and getting their refunds. Unfortunately, it’s also a time when scammers are out in full force, trying to take advantage of unsuspecting taxpayers. Here are some common tax return scams to watch out for:
- Phishing and Spearphishing: Scammers often send fake emails or text messages that appear to be from the IRS or other tax authorities. These messages may ask for personal information, such as your Social Security number or bank account details. Be cautious of any unsolicited communication and never provide sensitive information through email or text.
- Fake IRS Phone Calls: Scammers may call you, pretending to be IRS agents. They might threaten you with arrest or legal action if you don’t pay a supposed tax debt immediately. Remember, the IRS will never call you to demand immediate payment or threaten you over the phone.
- Social Media Scams: Fraudsters use social media to spread false information about tax credits and refunds. They may encourage you to file false claims to get a larger refund. Always verify tax information from reliable sources and avoid following advice from unknown social media accounts.
- Unscrupulous Tax Preparers: While most tax professionals are honest, some may engage in fraudulent activities. Be wary of tax preparers who promise large refunds or charge fees based on the size of your refund. Always ensure your tax preparer signs your return and includes their IRS Preparer Tax Identification Number (PTIN).
- Offer in Compromise Mills: These scams target taxpayers who owe back taxes. Fraudulent companies claim they can settle your tax debt for a fraction of what you owe, but they often charge exorbitant fees and provide little or no help. It’s best to work directly with the IRS or a reputable tax professional if you need assistance with your tax debt.
- Fake Tax Refunds: Scammers may file a fraudulent tax return using your personal information to claim a refund. To protect yourself, file your tax return as early as possible and use strong, unique passwords for your online accounts.
- Charity Scams: During tax season, scammers may pose as charitable organizations to solicit donations. They may promise a tax deduction in return for your contribution. Always verify the legitimacy of a charity before making a donation.
To protect yourself from these scams, always be vigilant and skeptical of unsolicited communications. Verify information from trusted sources, and never share personal or financial information through email, text, or over the phone. If you suspect you’ve been targeted by a tax scam, report it to the IRS immediately.
Stay safe and informed this tax season!
