Let’s face it, filing taxes is no simple task these days. That’s only one part of the problem, though. Income tax scams are already ramping up. Even though April 15 is less than two months away, you’ll need to be alert for at least the next six or seven months. There will be danger lurking in every tax-related communication. Just to be clear, this includes both email and telephone.
The National Cyber Security Alliance recently produced an infographic about income tax scams. The document includes information about these scams and can be downloaded from here. The top three tips cover phishing, imposters, and tax preparer fraud.
Phishing scams
Cybercriminals will try to get you to do something, like click on a link or respond to an email, so they can steal your personal information. Watch out for unsolicited emails, texts, social media posts or fake websites that may lure you in and prompt you to share valuable personal and financial information. Armed with this information, online thieves can pilfer funds and/or commit identity theft. And opening malicious links or attachments can cause malware such as viruses, spyware, and other unwanted software to infect your computer files.
Imposters—the fake IRS agent
The IRS will never email or call you demanding immediate payment without having first mailed a bill. They will not ask for a credit or debit card number via email or phone. They do not demand you make payment in Green Dot Money Paks or money orders. If someone calls claiming to be from the IRS, be aware they may have obtained a real IRS agent’s name and badge number. Do not let this fool you. The IRS “goes through official channels.” They have a process to follow and that process does not include phone calls or emails demanding payment.
Tax preparer fraud
The overwhelming majority of tax preparers provide honest services, but some unscrupulous individuals may target unsuspecting taxpayers for refund fraud or identity theft. Anyone who is paid to file a tax return for another person must sign the return with their preparer tax identification number.
