Since tax season is approaching, you must remain vigilant against increasingly sophisticated scams targeting unsuspecting taxpayers. Fraudsters are constantly devising new schemes to steal your personal information and financial data. By staying informed about common these tax scams, you can protect yourself and your assets from these malicious actors. This article will equip you with the knowledge to identify and avoid prevalent tax-related fraud attempts.
You’re going to learn about phishing emails, phone scams, identity theft, and other deceptive practices criminals employ during tax time. Armed with this information, you can confidently navigate tax season.
Using your SSN to File a Tax Return and Steal your Refund
Tax season brings a surge in identity theft as scammers use the opportunity to file fraudulent returns. These cybercriminals use stolen Social Security Numbers (SSNs) to submit false tax returns and pocket your hard-earned refund. This quite sophisticated scheme is becoming increasingly prevalent, leaving unsuspecting taxpayers in financial distress.
To safeguard your identity:
File your tax return early to beat potential fraudsters
Use strong and unique passwords for all online accounts
Enable two-factor authentication whenever possible
Regularly monitor your credit reports for suspicious activity
Be cautious about sharing personal information, especially your SSN
By staying informed and taking proactive steps, you can significantly reduce the risk of falling victim to this pervasive tax season scam. Remember, the IRS will never initiate contact via email, text, or social media to request personal or financial information. When you’re in doubt, contact the IRS directly using official channels to verify any communications you receive.
Social Security Phone Scams
It’s also essential to be aware of one of the most prevalent and dangerous scams targeting unsuspecting taxpayers: Social Security phone scams.
The Anatomy of a Social Security Phone Scam
When scammers call you, they typically pose as representatives from the Social Security Administration (SSA) or other government agencies. They may use official-sounding titles and even spoof caller ID to make it appear as if they’re calling from a legitimate government number. Their goal is to create a sense of urgency and fear, pushing you to act without thinking.
Common Threats
Scammers often employ a variety of threats to manipulate their victims:
Arrest warnings: They may claim that local law enforcement is on their way to arrest you for unpaid taxes or Social Security fraud.
Deportation threats: For immigrants, scammers might threaten immediate deportation if payment isn’t made.
License revocation: They could claim your driver’s license or professional licenses will be suspended.
Asset seizure: Threats of freezing bank accounts or seizing property are common tactics.
Red Flags to Watch For
Be wary if callers:
Demand immediate payment by phone
Insist on specific payment methods like gift cards or wire transfers
Request personal information like your Social Security number
Start using aggressive or threatening language
Remember that the real SSA will never threaten you with arrest or demand an payment over the phone. If you receive such a call, hang up immediately and report it to the proper authorities.
Phishing Scams
As tax season approaches, it’s crucial to stay vigilant against one of the most prevalent threats: phishing scams. These deceptive tactics work to steal your personal information.
Recognizing Phishing Attempts
Phishing scams often masquerade as legitimate communications from the Internal Revenue Service (IRS) or other tax-related entities. However, it’s important to remember that the IRS will never initiate contact with taxpayers via email about a bill or refund. Be wary of unsolicited emails, text messages, or social media posts claiming to be from the IRS or tax software companies.
These fraudulent messages typically:
Request personal or financial information
Contain urgent language or threats of legal action
Protecting Yourself from Phishing
To safeguard your personal information:
Verify the sender’s email address carefully
Avoid clicking on links or downloading attachments from suspicious emails
Use official websites by typing the URL directly into your browser
Keep your computer’s security software up-to-date
If you receive a suspicious email claiming to be from the IRS, forward it to phishing@irs.gov and delete it from your inbox.
These fraudulent messages typically:
Request personal or financial information
Contain urgent language or threats of legal action
What to Do If You've Been Phished
If you’re suspecting that you’ve fallen victim to some sort of phishing scam:
Immediately change the passwords for any compromised accounts
Contact your bank or credit card companies to report potential fraud
Remember that staying informed and cautious is your best defense against tax-related phishing scams. By recognizing the signs and taking proactive measures, you can protect your personal information.
Recovery scams
As you navigate the tax season, be wary of a particular threat: recovery scams. These schemes prey on individuals who have already fallen victim to tax-related fraud, promising to help recover lost funds or resolve issues with the IRS. However, these “saviors” are often just wolves in sheep’s clothing that are seeking to exploit your vulnerability for their own gain.
Their False Promises of Restitution
Recovery scammers typically approach victims with enticing offers to reclaim money lost to previous scams or resolve outstanding tax issues. They may claim to have inside connections at the IRS or boast about their expertise in tax law. However, their true intention is to extract additional fees or personal information from you under the guise of assistance.
The Red flags to Watch For
Be on high alert for these warning signs of a recovery scam:
Unsolicited contact from individuals or companies claiming to know about your situation
Promises of guaranteed results or unusually high success rates
Requests for upfront fees and personal and financial information
Pressure to act quickly or threats of legal consequences if you don’t comply
Protecting Yourself From Secondary Victimization
To avoid falling prey to recovery scams, remember that legitimate tax resolution services will never guarantee outcomes or demand payment before work is completed. If you’ve been a victim of tax fraud, your best course of action is to either contact the IRS directly or request assistance from a reputable tax professional.
Always verify the credentials of anyone offering tax-related services and be skeptical of unsolicited offers to help you. By staying vigilant and informed, you can protect yourself from becoming a victim.
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Always verify the credentials of anyone offering tax-related services and be skeptical of unsolicited offers to help you. By staying vigilant and informed, you can protect yourself from becoming a victim.
Applying With EASY Wireless
The easiest way is to apply online by clicking below:
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Find Your Nearest EASY Wireless Store
Another way is to come to one of EASY Wireless’s retail stores, where its customer service support team helps you apply for the benefits.
Either way, the first step is to provide proof of identity with a government-issued ID. This is so you can confirm your participation in one of the qualifying programs or that you meet the income requirement.
