Tax scams, identity theft, and fraud schemes to watch out for — how they work, how to spot them, and how to protect yourself.
At the start of tax season, I reported that the IRS was using new technology focused on photo identification for verification. Specifically, taxpayers who wanted to access online services were advised to create a new ID.me account. IRS referred to ID.me, a self-described “secure digital identity network,” as a “trusted technology provider in helping to…
At the climax of the 1979 film, “When A Stranger Calls,” the family babysitter, played by Carol Kane, is advised by the police that the terrorizing calls she’s receiving are coming from inside the house. While thinking about that scene, I couldn’t help but wonder about the IRS and its recent problems. What if the…
As society continues to do more online, data security is more important than ever before. That goes for your taxes and the IRS as well. In their annual report, the IRS identified $2.3 billion in tax fraud schemes in 2020. With the 2021 tax season continuing, it’s something businesses and individuals need to pay attention…
Normally, I don’t post about state-specific issues, but I am in this instance, and here’s why: when you read what this company is doing, it may well ring a bell even if you don’t live in Pennsylvania. That’s because these kinds of schemes know no geographic boundaries: you’ll find them all over the country. In…
Beginning in January 2021, the Internal Revenue Service (IRS) will be expanding the voluntary Identity Protection PIN (IP PIN) program. What Is An IP PIN? An IP PIN is a six-digit number assigned to eligible taxpayers to help prevent tax refund fraud on federal income tax returns. An IP PIN helps the IRS to verify…
Earlier this week, I received complaints that our law firm was dialing random numbers. We followed up with our phone company and were advised that scammers were most likely masking or spoofing our number. The phone company filed a complaint with the authorities and advised us to report any further activity. Of course, we aren’t…
According to Johns Hopkins, the United States has confirmed nearly two million cases of COVID-19. With many businesses closed and taxpayers still waiting on stimulus checks, scammers are capitalizing on the shaky economic climate to cheat and steal. The Internal Revenue Service (IRS) is reminding taxpayers to be on guard against tax fraud and other related financial scams…
J. Russell George, the Treasury Inspector General for Tax Administration (TIGTA), is urging all taxpayers to stay alert to ensure that they do not lose their Economic Impact Payments (EIPs), also called stimulus checks, to thieves and scammers. TIGTA is responsible for conducting statutory oversight of issues relating to federal tax administration. As such, it regularly…
Ugh. The ink is barely dry on the “Coronavirus Aid, Relief, and Economic Security Act” or the “CARES Act” – and scammers are already coming up with schemes to defraud taxpayers. Specifically, identity thieves are using confusion over the stimulus checks to convince potential victims to turn over personally-identifying information. The Better Business Bureau is already reporting that government imposters are calling…
Scammers aren’t just relying on robocalls and voice mails to reach potential victims: they’re now texting. The Inspector General of Social Security, Gail S. Ennis, recently issued a warning about a new scam involving text messages that appear to come from Social Security. The texts warn about a Social Security number problem and ask the recipient to call a…
