Latest IRS Scams: How to Spot Them and Fight Back

Intuit has agreed to pay $141 million to four million Americans who paid for its tax preparation services. The editorial content on this page is based solely on objective, independent assessments by our writers and is not influenced by advertising or partnerships. It has not been provided or commissioned by any third party.

When you purchase through links on our site, we may earn an affiliate commission. Christopher Maynard is a New York-based writer and editor who has worked as a security guard, high school teacher, theatrical lighting designer and volunteer fireman.

What happens if I click on a link in a scam email?

If instructed, go to the IRS Identity Verification Service. Verify the number of the letter, form, or notice on the IRS website. If the IRS scams appear to be impersonating a state tax authority rather than the IRS, contact your state Attorney General’s office. https://turbo-tax.org/a They want you to pay only with gift cards, iTunes cards or prepaid debit cards. Go here for a list of IRS customer service phone numbers). Here’s a list of recent IRS scams, 10 ways to spot impersonators and scammers, and how you can report them.

• Soon after, his girlfriend and parents received text messages that he had been in a horrible accident, causing several hours of panic.
• You may need a tax transcript to apply for a loan or for government assistance.
• Paul Wagenseil is a senior editor at Tom’s Guide focused on security and privacy.
• Web addresses that resemble those of prominent businesses, but are slightly different.For example, the URL of a spoof site mimicking PayPal.com may begin with “http” instead of “https.”

Read on to learn about the latest on TurboTax Free Edition, how the Biden administration and Congress have responded and what options are left for those looking to file for free. For example, in tax year 2018, Intuit hid turbotax sent me an email saying the landing page for its IRS Free File Program from search engines for about five months during the peak of tax season, they alleged. Respond immediately to any IRS notice by calling the number provided on the letter.

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Schemes that persuade taxpayers into unscrupulous actions – examples include Offer In Compromise agreements which lure the victim into a feeling of security before the scam. I did that a few years ago and it was with a different tax company. From what I know, and it might’ve changed since then, they give you an advance based on your taxes, or the amount you’ll get back. It looks like about 90% file electronically, and about half of those do themselves using some software package.

Find out how to report IRS scams, and learn how to identify and protect yourself from tax scams. One of Kim’s listeners emailed us recently with a frightening story of how her family fell for one of these TurboTax phishing scams. Keep reading to find out what happened and learn tips on how you can avoid being the next victim.

How to Report Identity Theft

The rule change also allowed the IRS to make its own free filing system, but so far it hasn’t. But even as it launched its own ostensibly free filing program, Intuit took measures to lure customers into “traps” that caused them to pay, ProPublica’s report alleges. The news outlet said it had uncovered internal documents that showed Intuit knew it was misleading customers to assume they would not have to pay for certain services.

We sent you a letter requesting information to verify the amount of withholding you claimed on your tax return. Through its partnership with the federal program, called the Free File Program, Intuit allowed selected low-income people and members of the military to file their taxes through TurboTax at no charge. That was the finding of a multistate investigation led by Attorney General Letitia James of New York. Ms. James announced on Wednesday that Intuit, the company creating the software, would pay back $141 million to more than four million Americans who were unfairly charged for tax services that were falsely advertised as free. Refunds will be sent automatically to affected taxpayers. • We’ve Got You Covered – We handle all complexities from self-employed to investment taxes and we have real tax experts and trusted technology to get your taxes done right for your unique tax situation.