The IRS really stands for “It’s Real Scary”. No one likes to deal with them. People have been avoiding the “tax man” since the Bible. So it is only natural to get a little unnerved if you would get a telephone call from the IRS.
Here is the thing…
Much like that ‘awesome’ person you met at the club the other night…they don’t call!
IRS Scams in 2019
It is that time of year again, folks!
People will be calling claiming to be from the IRS.
They will state that there was some sort of terrible miscalculation on your tax return either this year or last.
They will warn you that you need to return your refund or pay extra, or face severe fines and penalties, up to and including jail time.
They will tell you whatever you need to hear to give them money.
They will sound convincing, honest and just like the authority they are pretending to be.
Getting that call would make even the most careful tax preparer nervous.
Here are some IRS scam tips to know!
The fact is, the IRS does not contact individuals over the phone. Their standard method of contact from the IRS to a citizen is via US Mail (USPS).
However, that doesn’t stop scammers! They call and say, “since you haven’t responded to our mailings, you need to pay us today”. Or they call and say, “since you have neglected this tax bill, you have to pay today”.
These scammers will ask for you to wire or send cash. Recently, the growing ask has been for gift cards that you purchase at Wal-Mart or CVS or Walgreens, over the phone.
These scams often come with a tight deadline in order to instill extra pressure on you. In fact, after a general discussion, the focus becomes “NOW!” from their end, every time.
You could be told that in order to avoid the issuance of a warrant for your arrest, or the next level of financial penalty, that you will have to comply within 24 hours. You might also be told that this was a personal favor they are granting you – and you shouldn’t talk about it with anyone else, or else they could get in trouble.
Don’t be ashamed if you did get scammed – and here’s why!
These scammers do this for a living.
In fact, the IRS estimates that over $50,000,000 is scammed from U.S. citizens using various scams and phishing techniques each year, using an IRS scam.
And, it’s unfortunate, but scammers are really good at their jobs. They sound professional. They can be charming. They can be EXTREMELY convincing.
Year after year, the scams get more focused, using more platforms, and spread out to more people. Not only have people received the standard phone call, but you can also be lured using automated phone calls, texting, social media and emails. Because the scammers use some professional templating in their scripts and messages, it sounds ‘legit’.
Here’s how to spot and stop the scammers
The first, and most important, thing to do is to stay calm. Panic will lead to confusion, and if you are about to be scammed, things won’t go well if you are upset.
Next, remember, the IRS isn’t going to phone individuals to collect debt. They have the ability to hold your future refunds, and they have authority to garnish wages. They don’t employ phone collectors. No state police, no lawyers, no bill collectors will call to collect a debt from the IRS.
The IRS doesn’t want cash, wires or gift cards. They would have you pay any debt the same way you pay your taxes.
Your information is also important – and you should be careful with it. This is supposed to be the IRS. If that is true, they should have all of your relevant information. They should not be asking for you to give them your Social Security number, address, or bank information.
*TIP: Conversations do not start generally like “Is this the head of the house?” “Are you the adult who filed taxes for this address?”
We’re your partner in your fight against scammers!
If you have questions, then ask us. Don’t be afraid, don’t be worried.
As always, we are here to help our members, no matter the situation. If you think you are getting scammed, or have been a victim, we are here to help you.
We don’t pass judgment. There is no need to be embarrassed. Did you get scammed? We can guide you through some suggestions for what you can do next.
Just remember…
- The IRS will NEVER call you, asking for immediate payment
- The local and state police will NEVER call you asking for funds
- The IRS DOES NOT accept payment via iTunes gift cards, Western Union wire nor Lowe’s gift cards
- The IRS knows your name, address, people living in your home, previous tax return numbers, all of the places you’ve been employed, your social security number and a ton more (so they never need to ask you about those)
- The IRS doesn’t do secret favors for you if you “send me the gift cards today to cut down on your tax bill”
- First Choice has your back if you need help navigating through a scammer’s lies and tangled truths – so give us a call if you need help!