Earlier this month, the Internal Revenue Service (IRS) issued a warning to taxpayers and tax professionals about a new email scam targeting Hotmail users. The scheme is being used to steal personal and financial information.
The subject line of the email reads: “Internal Revenue Service Email No. XXXX | We’re processing your request soon | TXXXXXX-XXXXXXXX.” That should be your first red flag: The IRS never initiates contact with taxpayers about their accounts via email (or by phone).
If you click on the links in the email, you’ll be directed to a fake Microsoft page which asks for your personal and financial information. That should be an additional red flag: The IRS will not ask you for personal and financial information, including account numbers or PIN numbers, via email.
To date, the IRS has received over 900 complaints about this new phishing scheme. Phishing is a scam where criminals attempt to steal your financial information through the use of email or a fake website.
The IRS has indicated that the scheme seems to exclusively target Hotmail users. The websites associated with this scam have been shut down, but taxpayers should be on the lookout for similar schemes which target other email accounts. As tax season gears up – and as new rules and withholding schemes come into play in 2018 – expect scammers to try and stay ahead of the IRS and law enforcement.
If you receive unsolicited emails claiming to be from the IRS, forward them to phishing@irs.gov and then delete them. Don’t respond to the email and don’t try to outsmart the scammers: You’re just giving them more information to use in the future.
(For more on how returning phone calls and emails can make things worse, check out this prior article.)
As an additional reminder, the IRS will never:
- Call to demand immediate payment over the phone, nor will the agency call about taxes owed without first having mailed you several bills.
- Call or email you to verify your identity by asking for personal and financial information.
- Demand that you pay taxes without giving you the opportunity to question or appeal the amount they say you owe.
- Require you to use a specific payment method for your taxes, such as a prepaid debit card.
- Ask for credit or debit card numbers over the phone or email.
- Threaten to immediately bring in local police or other law-enforcement groups to have you arrested for not paying.
Remember: When in doubt, assume it’s a scam.
For more ways to protect yourself from identity theft and related tax fraud, check out this prior post.
