Beware of Tax Return Issues Scams

Tax return issues scams are a deceptive tactic used by fraudsters to exploit unsuspecting taxpayers. In these schemes, scammers claim there’s a problem with your tax return and demand immediate action to resolve the alleged issue. Understanding how these scams operate is crucial for protecting yourself from financial loss and identity theft.

Threat Type
This scam involves fraudsters impersonating IRS officials to extort money or steal sensitive information by claiming issues with the victim’s tax return.

Communication Method
Scammers typically contact victims through unexpected phone calls, emails, or text messages. They may also use official-looking letters sent via postal mail to appear more legitimate.

Demands or Actions Requested
Victims are pressured to make immediate payments for alleged tax discrepancies or provide sensitive personal information to “verify” their identity and resolve the supposed issue.

Red Flags

• Unexpected communications claiming to be from the IRS
• Urgent demands for immediate payment or personal information
• Threats of legal action, arrest, or other severe consequences
• Requests for payment through unconventional methods like gift cards or wire transfers

Scammer Claims
Fraudsters assert that there are problems with the victim’s tax return, such as errors, underpayments, or suspicious activity. They may claim that immediate action is required to avoid penalties or legal consequences.

Psychological Manipulation Tactics
Tax return issues scams exploit fear and urgency, creating panic that leads victims to act impulsively without verifying the legitimacy of the communication.

Target Audience
While anyone can be targeted, these scams often focus on seniors, immigrants, and individuals less familiar with IRS procedures.

How to Verify Legitimacy
The IRS initiates most contacts through regular mail delivered by the United States Postal Service. If you receive a suspicious call, email, or text message claiming to be from the IRS, do not respond. Instead, contact the IRS directly at 1-800-829-1040 to verify your tax return status.

What to Do if Targeted

• Do not provide personal information or make payments
• Hang up immediately if you suspect a scam call
• Do not click on any links in suspicious emails or text messages
• Report the incident to the Treasury Inspector General for Tax Administration (TIGTA)

Report tax return issues scams to:

• TIGTA at 1-800-366-4484 or www.tigta.gov
• The Federal Trade Commission at ftc.gov/complaint

Preventive Measures

• Be skeptical of unsolicited communications claiming to be from the IRS
• Verify all tax-related claims through official IRS channels before taking any action
• File your tax return early to prevent scammers from filing a fraudulent return in your name
• Keep your personal and financial information secure

Remember, the IRS will never demand immediate payment without first mailing you a bill, nor will they threaten to involve law enforcement for non-payment. By staying informed about tax return issues scams and following these guidelines, you can protect yourself from these deceptive tactics.