Common IRS Scams and How to Avoid Them

Tax season brings not only the responsibility of filing taxes but also the need to stay vigilant against potential scams. The Internal Revenue Service (IRS) has been a frequent target for fraudsters attempting to exploit unsuspecting individuals. Here are some common IRS scams and essential tips on how to avoid falling victim to them:

1. Phone Scams:

Scam: Fraudsters may call, claiming to be IRS agents, and threaten legal action or arrest for unpaid taxes.

Avoidance Tips:

  • The IRS typically communicates via mail, not unsolicited phone calls.

  • Be cautious of high-pressure tactics or threats.

  • Do not provide personal or financial information over the phone.

 

2. Phishing Emails:

Scam: Emails impersonating the IRS may request personal information or direct recipients to fake websites.

Avoidance Tips:

  • Verify the sender's email address; the IRS uses "@irs.gov."

  • Be skeptical of unsolicited emails and avoid clicking on suspicious links.

  • Do not share sensitive information via email.

 

3. Identity Theft Scams:

Scam: Fraudsters use stolen personal information to file fraudulent tax returns.

Avoidance Tips:

  • Protect your Social Security number and personal information.

  • Monitor your financial accounts and report any suspicious activity.

  • File your tax return early to reduce the risk of someone filing on your behalf.

 

4. Fake Charities:

Scam: Scammers set up fake charities, claiming to support disaster relief or other causes, to solicit donations.

Avoidance Tips:

  • Verify the legitimacy of a charity through the IRS website.

  • Be cautious of high-pressure requests for immediate donations.

  • Never share financial information with unfamiliar charities.

 

5. Fake Tax Software Scams:

Scam: Fraudulent tax software may promise unrealistic deductions or refunds.

Avoidance Tips:

  • Use reputable tax preparation software or consult a professional.

  • Be wary of exaggerated claims and promises of guaranteed refunds.

  • Research and choose well-reviewed tax software.

 

6. In-Person Scams:

Scam: Fraudsters may approach individuals in person, claiming to be IRS agents.

Avoidance Tips:

  • IRS agents conduct business by appointment; be skeptical of unexpected visits.

  • Verify the identity of anyone claiming to be an IRS agent by requesting their credentials.

  • Do not share personal information without confirmation.

 

7. Social Media Scams:

Scam: Fraudsters use social media platforms to impersonate the IRS or tax professionals.

Avoidance Tips:

  • The IRS does not initiate contact via social media.

  • Be cautious of friend requests or messages from unknown individuals.

  • Report any suspicious activity to the platform and the IRS.

 

Stay Informed and Be Wary

Protecting yourself from IRS scams requires staying informed and maintaining a healthy dose of skepticism. Remember that the IRS primarily communicates through official channels, and genuine requests for information will be made in a secure and documented manner. If you ever doubt the authenticity of a communication, contact the IRS directly through their official channels to verify its legitimacy. Being vigilant and informed is your best defense against falling victim to IRS scams during tax season and beyond.

Christopher Cooper