In August, in anticipation of the new school year, the IRS warned taxpayers about scam phone calls directed at parents and students demanding payments for fake, non-existent taxes.
These scam artists call students and demand that they make immediate payment arrangements such as wiring money to satisfy a fake tax bill.
These callers often refer to a “federal student tax,” which, of course, doesn’t exist. When those targeted resist in any way, the caller then threatens to report the individual to the police, even stating that the consequence of immediate noncompliance is arrest. These types of cons are becoming more common each school year just around the time school begins in the late summer as scammers look for prime opportunities to target their victims.
Identity thieves are looking for victims that they can intimidate into paying money or those that are foolish enough to share personal information. The schemes identified by the IRS as the most prevalent at this time are as follows:
- Altering the caller ID on incoming phone calls to make it appear that some government agency like the IRS or local law enforcement is attempting to reach the victim.
- Imitating software providers to trick tax professionals.
- Demanding fake tax payments using iTunes gift cards.
- Soliciting W-2 information from payroll and human resources professionals.
- Verifying tax return information over the phone.
- Pretending to be from the tax preparation industry.
Recently, an associate of mine received a recorded call from a Brooklyn area code in which the message indicates that a lawsuit had been filed against him. It didn’t identify him by name nor did it provide any other information. It basically made the brief statement that “this is the IRS, a lawsuit has been filed against you, call us back now.”
Regarding telephone communication from the IRS, remember that he IRS will never:
- Call to demand immediate payment using a specific payment method such as a prepaid debit card, gift card or wire transfer. In almost all cases,, the IRS will notify a taxpayer by mail of any outstanding tax bill.
- Threaten to immediately refer a taxpayer’s case to local police or other law-enforcement groups to make an arrest for a failure to pay taxes.
- Demand that a taxpayer pay taxes without allowing an opportunity to question or appeal the amount allegedly owed.
- Ask for credit or debit card numbers over the phone.
Persons that get a suspicious phone call from someone claiming to be from the IRS and asking for money, should:
- Never provide any information to the caller. Hang up immediately.
- Search the web for any telephone numbers left on caller ID or in voicemails. Many of these phone numbers will be found in search results on the Internet on websites where other people have had similar experiences with the same number.
- Contact TIGTA to report the call. Use the “IRS Impersonation Scam Reporting” web page or call 800-366-4484.
- Report the call to the Federal Trade Commission. Use the “FTC Complaint Assistant” on FTC.gov. Make sure to add “IRS Telephone Scam” in the notes.
- If you think you may owe taxes, call an experienced tax professional to represent you in any proceedings with the IRS, and then contact the IRS directly at 800-829-1040.
If you have questions about any state or federal tax issue, call THE TAX EXPERTS AT THE Thorgood law Firm www.thorgoodlaw.com. For a FREE consultation, call 212-490-0704.
