Tax season is rolling around again, and sure enough, so are the scammers. Each year, fraudsters take advantage of this busy time to try to steal taxpayers’ refunds, their hard-earned money and even their identities.
Filing your taxes can be stressful enough without worrying about fraudsters. Protect yourself by avoiding these common tax-related scams:
1. Tax Identity Theft If a criminal has stolen your personally identifiable information (such as your Social Security number), they can use it to file a fraudulent tax return in your name and collect your refund. They could also use your information to apply for unemployment and other benefits.You may not realize your identity has been stolen until you try to file your tax return and it gets rejected due to a duplicate filing. How to Protect Yourself:File your taxes early in the season to beat fraudsters to the punch.Request an Identity Protection PIN (IP-PIN) from the IRS to add an extra layer of security to your tax return.If you suspect your identity has been compromised, contact the IRS at 1-800-908-4490.2. Phony IRS CommunicationIf you get an unexpected call, email or text message from someone claiming to be from the IRS, be suspicious. Scammers will “spoof” caller ID and create realistic-looking messages designed to trick you. Remember, the IRS will not:Initiate contact with you by email, text messages or social media channels to request personal or financial information.Call demanding immediate payment. (If you owe taxes, you’ll typically receive a letter in the mail first.)Threaten you with arrest, deportation or legal action for unpaid taxes.Ask you to “confirm” sensitive details (like your Social Security number) over the phone or email.Request payment in an unusual method such as gift cards, cryptocurrency or money wire transfer.Ask for your credit or debit card number, PIN or passwords.How to Protect Yourself:Don’t respond, click any links or download any attachments.If you’re unsure, call the IRS directly at (800) 829-1040 to verify.3. Shady Tax Preparers When choosing a tax preparer, it’s important to do your homework. While most tax professionals are legitimate, the IRS warns about “ghost preparers” who promise big refunds and require cash-only payment upfront based on a percentage of your refund. After filing your taxes incorrectly to boost the size of the refund, the scammer disappears with your money.Remember, no matter who prepares your tax return, you’re the one responsible for the information on it. Choose carefully!How to Protect Yourself:Verify the tax preparer’s credentials and qualifications.Make sure your tax preparer signs and includes a valid preparer tax identification number (PTIN) on your tax return.Choose a preparer who e-files taxes and uses robust cybersecurity measures.
If a criminal has stolen your personally identifiable information (such as your Social Security number), they can use it to file a fraudulent tax return in your name and collect your refund. They could also use your information to apply for unemployment and other benefits.
You may not realize your identity has been stolen until you try to file your tax return and it gets rejected due to a duplicate filing.
If you get an unexpected call, email or text message from someone claiming to be from the IRS, be suspicious. Scammers will “spoof” caller ID and create realistic-looking messages designed to trick you. Remember, the IRS will not:
When choosing a tax preparer, it’s important to do your homework. While most tax professionals are legitimate, the IRS warns about “ghost preparers” who promise big refunds and require cash-only payment upfront based on a percentage of your refund. After filing your taxes incorrectly to boost the size of the refund, the scammer disappears with your money.
Remember, no matter who prepares your tax return, you’re the one responsible for the information on it. Choose carefully!
We’re With You! Tax season may be prime time for scammers, but by staying informed and vigilant, you can safeguard your personal and financial information.
As your caring financial partner, Wright-Patt Credit Union® (WPCU®), is here to help you protect yourself from fraud during tax season and all year round. To find more helpful tips, tools and resources, visit our Fraud Prevention page.