Tax Season Scams: Staying Safe Year-Round

Tax season can be a daunting time for many, filled with the fear of audits and the stress of navigating complex tax laws. Unfortunately, scammers capitalize on these anxieties, making tax season a prime time for fraud. While many associate tax scams with the April 15th deadline, it’s crucial to understand that these schemes persist throughout the year. Scammers work tirelessly to exploit your fears and steal your hard-earned money.

Common Tax Scams to Watch For:

1. IRS Impersonation Scams
Scammers often pose as IRS agents, contacting you via phone, email, or mail. They may threaten you with arrest or lawsuits if you don’t pay immediately. Remember, the IRS rarely initiates contact via phone or email. Always verify any communication directly with the IRS.

2. Phishing Emails and Texts
These scams involve fraudulent emails or texts that appear to be from the IRS, requesting personal or financial information. They often contain links to fake websites that mimic the IRS site. Never click on suspicious links or provide sensitive information.

3. Fake Tax Preparers
Be wary of individuals or companies offering unusually large refunds or promising to “fix” your tax problems. Verify the credentials of any tax preparer and avoid those who guarantee specific outcomes.

4. Identity Theft
Scammers may steal your personal information to file fraudulent tax returns in your name. Protect your Social Security number and other sensitive data.

How to Protect Yourself:

• Verify all communications directly with the IRS.

• Never provide personal or financial information over unsecured channels.

• Use secure, reputable tax preparation software or services.

• Monitor your credit reports for suspicious activity.

• Stay informed about the latest tax scams.

• Remember that the IRS will never demand immediate payment, and will never threaten arrest.

Tax season can be scary, and scammers know that. Be vigilant and protect yourself year-round.