FILE-In this photo illustration, a 1040 Individual Income Tax Return document is seen on a desk on April 15, 2024 in North Haledon, New Jersey. (Photo illustration by Michael Bocchieri/Getty Images)
PHILADELPHIA - Tax season is a busy time, and it’s also when scammers are most active. Knowing the warning signs of tax scams and how the IRS actually contacts people can help you avoid becoming a victim.
What we know:
Scammers often impersonate the IRS to trick people into sending money or sharing personal, financial or employment information. These scams may involve fake promises of large refunds, threats of arrest, or messages designed to look official.
The IRS says scammers frequently try to create fear or urgency so that people act quickly without verifying the information.
Tax scam warning signs
Scammers may use several tactics to deceive taxpayers.
One common red flag is the promise of a big payday. If an offer sounds too good to be true, it probably is. Bad tax advice on social media may encourage people to lie on tax forms or claim credits they are not eligible for.
Another warning sign is demands or threats. IRS impersonators may insist you pay "now or else," threaten arrest or deportation, or refuse to let you question or appeal the amount you supposedly owe.
Suspicious website links are also a concern. Misspelled or odd-looking web addresses may lead to harmful sites that mimic IRS webpages but are not IRS.gov.
How the IRS actually contacts you
The IRS says it typically contacts taxpayers for the first time by mail delivered through the U.S. Postal Service.
To confirm a letter is legitimate, taxpayers can search IRS notices and letters on the IRS website. Some legitimate letters may also come from private collection agencies working on behalf of the IRS.
Other ways the IRS may contact you
In some situations, the IRS may also contact taxpayers through other methods.
The IRS may send emails or text messages, but only with your permission, except in limited cases such as criminal investigations.
The IRS or authorized private collection agencies may also call to discuss account matters. In some cases, automated messages may direct you to IRS.gov to securely manage your account or make a payment. These messages do not include specific personal details.
The IRS may send a fax to verify or request employment information.
In-person visits are rare. The IRS generally sends a letter before visiting a home or business.
What the IRS does not do
The IRS says it will never:
- Direct message or accept payments through social media
- Accept gift cards or prepaid debit cards as payment
- Use automated calls that threaten you or direct you to non-IRS websites
- Threaten to involve law enforcement or immigration officials
- Take your citizenship, driver’s license or business license
- Mail advertisements promising tax debt resolution
If someone visits you claiming to be from the IRS
Unannounced visits are uncommon, but when they happen, only certain IRS employees conduct them.
Those include revenue agents, revenue officers, special agents involved in criminal investigations, and fuel inspectors.
Revenue agents, revenue officers and fuel inspectors carry two forms of official identification: an IRS-issued credential, also known as a pocket commission, and an HSPD-12 card with a photo and serial number. Fuel inspectors also wear uniforms and drive government vehicles.
Criminal Investigation special agents carry law enforcement credentials.
If you feel unsafe during a visit, you should call 911. If someone claiming to be from the IRS does not show proper identification or you are unsure about their credentials, you can call the number provided on their identification card to verify it.
Why you should care:
Tax scams can lead to identity theft, financial loss and long-term credit damage. Understanding how scammers operate — and how the IRS actually communicates — can help protect your money and personal information.
The Source: This article was written using information provided by the Internal Revenue Service.