Web Desk
As tax season approaches, the IRS warns about a surge in tax-related scams. Experts advise taxpayers to stay vigilant and avoid falling victim to fraud.
Jennifer Hessing, fraud analytics director at Wells Fargo, highlights a growing concern: “Ghost Preparers”—fraudsters posing as tax professionals who promise inflated refunds.
“They manipulate returns to get more money, take a large portion, and leave taxpayers dealing with falsified documents and legal consequences,” Hessing explains.
A major red flag is being asked to sign a blank or incomplete tax return.
To avoid this, always verify a preparer’s credentials and check their Preparer Tax Identification Number (PTIN) on the IRS website.
Phishing Scams and Identity Theft
Tax-related phishing scams are also rampant.
“Identity theft is a year-round issue, but during tax season, scammers tweak their approach,” Hessing warns.
Fraudsters send deceptive emails and messages claiming to offer max refunds or require password resets for tax software.
Never share personal information through unsolicited emails, texts, or calls.
“Their goal is to steal your identity, access your financial accounts, or hijack your tax software,” she adds.
Scammers may impersonate the IRS, demanding urgent payments or threatening jail time.
However, the IRS communicates only through official mail.
“They won’t demand immediate payments or threaten deportation,” Hessing clarifies.
Requests for unusual payment methods—like prepaid debit cards, gift cards, or cryptocurrency—are clear scam indicators.
To enhance security, request an Identity Protection PIN (IP PIN) from the IRS, which helps verify legitimate tax returns.
How to Stay Safe
File early to prevent scammers from submitting a return in your name.
Use electronic filing to avoid check theft.
Enable two-factor authentication on tax software.
Enroll in identity theft protection for added security.
By taking proactive measures, taxpayers can safeguard their finances and avoid falling prey to scams.
