Tax season is a stressful time. Once that return is filed and out the door, most people would prefer to never think of it again. That mindset is exactly what scam artists are counting on.
The Treasury Inspector General for Taxpayer Administration reports that more crooks are impersonating government agents than ever, and the IRS is no exception.
These Imposters May:
- Use common names and bogus badge numbers to bolster their credibility.
- Know your name and the last four digits of your Social Security number.
- Claim you owe a large, specific amount of money (this strategy makes the con more believable).
- Use legal terminology to boost credibility.
- Spam you with threatening emails, phone calls, and voicemails, perhaps even threatening you with arrest.
- Focus on consequences rather than the process of paying.
The con artists want to intimidate you. They want your adrenaline to overwhelm your rational decision making, so you comply without much debate. On the contrary, IRS collectors can and do use the legal system; they don’t need to scare you into compliance. Although it’s tempting to believe the IRS is a ruthless organization out for your hard-earned money, they must obey specific rules of conduct.
Here’s two key ways to tell if the contact you received is a legitimate IRS notice.
- The IRS always makes their first contact with people via U.S. postal mail, which establishes a clear paper trail. Your first notification that you have an unpaid tax debt will not be a phone call.
- The IRS will never ask for a wire transfer of funds or a prepaid debit card. It’s rare that tax repayment will require the use of a credit card. Most of the time, this process takes place through wage garnishment.
If you believe you may have a tax problem, don’t panic. Call the IRS taxpayer help line at 800-829-1040. If you discover you are actually in trouble, you should contact your lawyer.
If you receive threatening communications like those described above, report it:
- Call the Treasury Inspector General’s scam line at 800-366-4484.
- Forward emails to phishing@irs.gov.
- File a report with the Federal Trade Commission at ftc.gov/complaint.
