The IRS recently issued its annual list of tax scams. The list highlights various scams that taxpayers may encounter, many of which occur during tax filing season. Here are some of the scams that are highlighted on the list.
Phone scams typically involve a phone call from someone
claiming you owe money to the IRS or that you're entitled to
a large refund. The calls may show up as coming from the IRS
on your Caller ID, be accompanied by fake emails that appear
to be from the IRS, or involve follow-up calls from individuals
saying they are from law enforcement. Sometimes these
callers may even threaten you with arrest, license revocation,
or deportation.
Tax-related identity theft occurs when someone uses your
Social Security number to claim a fraudulent tax refund. You
may not even realize you've been the victim of identity theft
until you file your tax return and discover that a return has
already been filed using your Social Security number. Or
the IRS may send you a letter indicating it has identified a
suspicious return using your Social Security number.
Sometimes scam artists pose as legitimate tax preparers and
try to take advantage of unsuspecting taxpayers by committing
refund fraud or identity theft. It's important to choose a tax
preparer carefully since you are legally responsible for what's
on your return, even if it's prepared by someone else.
Taxpayers should be wary of anyone promising an
unreasonably large or inflated refund. These scam artists
may ask you to sign a blank return and promise a big refund
without looking at your tax records or charge fees based on a
percentage of the refund.
Groups sometimes pose as charitable organizations in order
to solicit donations from unsuspecting donors. Be wary
of charities with names that are similar to more familiar
or nationally-known organizations. Before donating to a
charity, make sure that it is legitimate. The IRS website has
tools to assist you in checking out the status of a charitable
organization.
Phishing scams usually involve unsolicited emails or fake
websites that pose as legitimate IRS sites to convince you to
provide personal or financial information. Once scam artists
obtain this information, they use it to commit identity or
financial theft. The IRS will never initiate contact with you
by email to request personal or financial information. This
includes any type of electronic communication, such as text
messages and social media.
While tax scams are especially prevalent during tax season, they
can take place at any time during the year. Remember to keep
your personal and financial information private and be vigilant
so you don't end up becoming the victim of a tax scam. For more
information on tax scams visit irs.gov.
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