Tax Season Scams

We’re nearing the end of tax season, but that doesn’t mean tax scammers are quite finished!

Tax season is prime time for scammers who attempt to steal sensitive information through phishing, identity theft, and fraudulent phone calls. In this article, we outline the most common tax scams, how they operate, and what you can do to avoid falling victim. From recognizing fake IRS communications to securing your financial data, we provide essential cybersecurity tips to keep your information safe during this critical time of year.

The IRS has published their list of the “Dirty Dozen” tax scams to watch for in 2023 and quite a few of them have not been seen in prior years. The full list can be found here at IRS.gov.

A few to call out:

1. Online Account Setup Scam:

   • Scammers are posing as IRS employees and offering to help individuals “sign up” for online accounts for tax filing and tax-related communications. Scammers are calling, emailing, and texting!

   • Telltale signs: Anyone proactively reaching out to you to “help” with taxes or your IRS.gov account.

2. Fake IRS Tax Forms:

   • Scammers are posing as the IRS and sending dangerous malware disguised as fake tax forms via email.

   • Telltale signs: the IRS doesn’t send documents like W-2 to you in this way, typos, grammatical errors, very large file size. See screenshots and more details here.

3. Filing Issue Scam:

   • Scammers are posing as the IRS or collections agencies and claiming that there’s a major issue with your tax filing. They typically use phone calls, but can also use emails, snail mail or text messages.

   • Telltale signs: Aggressive tone (to incite fear), use of long words and official-sounding language (to appear legitimate), use of tight deadlines and threats of large fines, jail time, deportation, etc. (to create a sense of urgency.)

Want to report suspected fraud??

As part of the Dirty Dozen awareness effort, the IRS encourages people to report individuals who promote improper and abusive tax schemes as well as tax return preparers who deliberately prepare improper returns.

To report an abusive tax scheme or a tax return preparer, people should mail or fax a completed Form 14242, Report Suspected Abusive Tax Promotions or PreparersPDF and any supporting material to the IRS Lead Development Center in the Office of Promoter Investigations.

Mail:

Internal Revenue Service Lead Development Center
Stop MS5040
24000 Avila Road
Laguna Niguel, California 92677-3405
Fax: 877-477-9135

Stay skeptical at tax time and all year round!