2025 Tax Season Scams and Fraud Schemes to Look Out For
Protect Yourself from Tax Scams
As tax season approaches, it’s important to be vigilant against scams that attempt to deceive individuals into providing personal, financial, or employment information. Scammers may target you with false promises of refunds or credits or impersonate the IRS to make threats of arrest or deportation. At Freedom Credit Union, we want to help our members avoid falling victim to these scams. Here’s what to watch out for and how to protect yourself.
Tax Scams to Watch Out For
Too Good to Be True Offers
- If you come across tax advice that seems too good to be true—such as promises of huge refunds or credits—it likely is. Some scammers may even try to convince you to lie on your tax forms or falsely claim deductions.
Threatening Demands
- IRS impersonators may threaten you with arrest, deportation, or wage garnishment if you don’t pay immediately. They may try to pressure you into making an urgent payment without allowing you to dispute or appeal the claim.
Suspicious Links
- Be cautious of emails or messages that contain misspelled website links. These may direct you to fraudulent websites designed to steal your personal information.
Impersonators & Fake Charities
- Scammers often impersonate the IRS or charitable organizations, especially during times of crisis (like the COVID-19 pandemic) or after natural disasters, in order to take advantage of your generosity.
Phishing Emails & Text Messages
- Beware of unsolicited emails or texts claiming to be from the IRS, asking for personal information or payment. The IRS does not initiate contact via email or text.
Dishonest Tax Preparers
- Be cautious when selecting a tax preparer. Some may promise unrealistic results or overstate deductions in order to increase their fees. Always verify the credentials of your preparer.
Tax Debt Relief Services
- Scammers offering to settle your tax debt for a fraction of what you owe are often just out to steal your money.
How to Recognize the IRS
The IRS will never contact you through social media, email, or text messages asking for personal information. If the IRS needs to contact you, they will send a written notice to your last known address. Additionally, the IRS will not demand immediate payment or threaten you with arrest.
Protect Yourself
Verify Emails and Calls
- If you receive a suspicious call or email, hang up or delete it. Contact the IRS directly using official channels if you are uncertain.
Be Cautious of Websites
- Always check that website links are spelled correctly and are legitimate (ending in “.gov”).
Consult Trusted Resources
- For guidance, refer to the IRS website or speak with a trusted tax professional. Freedom Credit Union members can also take advantage of our resources to stay informed and avoid scams.
Stay aware of these common scams and follow these steps to protect your personal and financial information. If you suspect you’ve encountered a scam, report it to the IRS or your local authorities.
Let’s work together to keep your tax season safe and secure.
