Tax season is here, and with it comes a lot of money and personal info on the table, which makes it a prime time for scammers. Fraudsters are always looking for ways to steal your identity, money, or sensitive info—especially as you’re preparing your taxes, which are due by April 15. Experts say it’s extra important to stay on your toes this time of year.
This year, scams might be even more common, especially with the uncertainty caused by the recent job cuts at the IRS. Thousands of jobs were impacted, and with more layoffs potentially on the way, there are concerns about the IRS’s ability to handle scam reports and assist consumers.
So, how can you stay safe from tax scams? Here’s what you need to know:
Watch out for red flags
Tax scammers can reach out to you in all sorts of ways—emails, texts, phone calls, or even social media offers promising a huge refund. Here are some common warning signs to look out for:
- A sense of urgency (they want you to act fast)
- Isolation tactics (making you feel like you can’t talk to others)
- Promises of a big payday (too good to be true)
- Suspicious links or websites
Scammers often try to make you feel afraid or uncertain. They might pressure you to click a link immediately or threaten arrest if you don’t respond. Some might even try to isolate you by making you feel like you can’t ask a trusted accountant or family member for advice.
Another trick scammers use is offering large refunds—often through “ghost” tax preparers. These scammers charge you for tax prep services, promising to maximize your refund, but they’ll never sign your return. Instead, they might file a fake return with false income or deductions to bump up the refund, then change the bank account info to pocket your refund.
How to protect yourself
The IRS will never contact you via email, text, or social media to ask for personal information. If you need help with your taxes, make sure you use a trusted, accredited tax professional. If you do fall victim to a scam, it’s important to report it. You can find more information on the IRS website to help protect yourself this tax season.
