Types of Tax Refund Scams to Watch For
Tax refund scams are quickly becoming one of the most common ways thieves steal your money and even your identity. The IRS reported over $5.7 billion in tax refund fraud in 2022.
Scams include tax identity theft, email phishing, impersonating an IRS worker and phony tax preparers. Beware of these types of tax refund fraud scams:
Phishing Emails
Tip to avoid it: Check the “From” name before clicking the link in any email. Although the email may appear to come from the IRS or another government agency, when you hover over the sender’s name, it will reveal the actual email address. If the email address does not contain .gov, it’s a scam.
Phone Calls Demanding Money
Tip to avoid it: The IRS does not call consumers about tax refunds or payments. If you receive a call, hang up and call the IRS back directly at one of their published phone numbers (www.irs.gov). The IRS does not accept gift cards or cryptocurrency as payment.
How to Spot an IRS Imposter
Remember, nearly all legitimate IRS communications come as physical mail through the US Postal Service (not phone, text or email). Here are warning signs that you could be dealing with an IRS imposter:
Report scam emails and text messages to the IRS at phishing@irs.gov.
Remember, Kinecta will never text or email you to ask for secure information. If you believe your Kinecta account has been compromised, please contact us immediately at 800.854.9846.
Scams include tax identity theft, email phishing, impersonating an IRS worker and phony tax preparers. Beware of these types of tax refund fraud scams:
Phishing Emails
- Scammers will send emails pretending to be from the IRS, often with threatening or urgent subject lines demanding payment.
- The email will provide a phony link requesting additional information from you, including your social security number and credit card information.
- Clicking these links could also install malware on your device so that scammers can gain access to your computer and email.
Tip to avoid it: Check the “From” name before clicking the link in any email. Although the email may appear to come from the IRS or another government agency, when you hover over the sender’s name, it will reveal the actual email address. If the email address does not contain .gov, it’s a scam.
Phone Calls Demanding Money
- Scammers will use bots and robocalls to send thousands of calls pretending to be from the IRS.
- They will say you owe taxes and demand payment immediately.
- They may even use the threat of arrest if you don’t pay.
- Scammers may demand you pay in gift cards or cryptocurrency, like Bitcoin.
- Don’t trust the caller ID. Scammers can make it appear that they are calling from an official IRS phone number, but they are not. They may even try to give you a badge number, which is also fake.
Tip to avoid it: The IRS does not call consumers about tax refunds or payments. If you receive a call, hang up and call the IRS back directly at one of their published phone numbers (www.irs.gov). The IRS does not accept gift cards or cryptocurrency as payment.
How to Spot an IRS Imposter
Remember, nearly all legitimate IRS communications come as physical mail through the US Postal Service (not phone, text or email). Here are warning signs that you could be dealing with an IRS imposter:
- They contact you by email, text or social media message. The IRS does not initiate communication with taxpayers using unsolicited emails, text messages or social media.
- If you get prerecorded or automated messages, it is a scam. The IRS does not send these types of messages.
- If you are told to pay through gift cards, wire transfers, cryptocurrency or Western Union transfers, you know it is a scam. These are not valid payment methods for taxes.
- They ask for your credit or debit card, bank account details or online banking login credentials. The IRS will never ask you for PIN numbers and passwords.
- They threaten that your identification will be revoked, you will be deported or they will revoke, freeze or cancel your social security number or medical benefits. The IRS does not make these threats.
Report scam emails and text messages to the IRS at phishing@irs.gov.
Remember, Kinecta will never text or email you to ask for secure information. If you believe your Kinecta account has been compromised, please contact us immediately at 800.854.9846.