As the IRS recently reminded taxpayers through its national tax-security outreach, tax scams continue to evolve — and they remain a year-round concern for individuals, businesses, and tax professionals. While the IRS’s annual awareness campaigns highlight seasonal risks, the larger message is ongoing: cybercriminals are refining their methods, targeting financial credentials, and exploiting confusion about IRS procedures.
The IRS and its Security Summit partners report continued growth in identity-theft attempts, phishing attacks, and scams aimed at employers and payroll systems. These schemes are designed to extract personal data, redirect refunds, or intimidate victims into sending money. Understanding how these scams operate — and how legitimate IRS contact works — is one of the most effective defenses taxpayers have. This article summarizes key IRS guidance and offers a structured reminder of what to watch for, how to verify authenticity, and what steps to take if you believe you’ve been targeted.
Why Tax Scams Continue to Grow
Several trends contribute to the rise in tax-related fraud:
- Increasing reliance on digital filing platforms and online portals
- Large volumes of sensitive data stored by businesses, payroll firms, and financial institutions
- More sophisticated impersonation tactics
- Aggressive social-engineering techniques designed to create urgency
Criminals adapt quickly — using emails, texts, social media, and spoofed phone numbers to appear credible. The IRS cautions that even experienced taxpayers and professionals can be deceived when a message appears to come from a legitimate source.
How to Recognize When It’s Not the IRS
One of the most important protections is knowing how the IRS actually communicates — and what it does not do.
According to the IRS, first contact is usually made by mail, not by email, text, or social media messages. In most cases, the agency sends a formal notice or letter explaining the issue and outlining next steps. Phone calls, in-person visits, or follow-up contact typically occur only after prior written communication.
The IRS emphasizes that it will not:
- Demand immediate payment over the phone
- Insist on payment using gift cards, wire transfers, or cryptocurrency
- Threaten arrest, deportation, or license suspension during first contact
- Ask for debit-card numbers or login credentials by email or text
Taxpayers who are unsure about a communication should independently verify the notice number, contact the IRS through official channels, or check their IRS Online Account.
Common Tax Scams
The IRS maintains an evolving list of scams it sees most frequently. Below are common categories — listed here for awareness only. For detailed explanations and examples, taxpayers should consult the official IRS resource.
- Phishing and smishing schemes
- IRS impersonation calls, emails, and texts
- Identity theft and unauthorized tax returns
- Online account hacking attempts
- Fraudulent refund and settlement schemes
- W-2, payroll, and HR-related scams
- Scams targeting seniors or vulnerable taxpayers
- Scams targeting businesses and tax professionals
- Fake tax transcripts and malware links
- Ghost preparers and abusive social-media tax advice
- Inflated refund schemes and false credit claims
For full descriptions of each scam and how they operate, see the IRS resource: Recognize tax scams and fraud.
Warning Signs and Red Flags
The IRS highlights several indicators that a message or call is likely fraudulent. Taxpayers should be especially cautious when they see:
- Requests for gift-card payments, cryptocurrency, or wire transfers
- Threats of law enforcement action if payment is not made immediately
- Unexpected notifications about refunds or account “problems”
- Messages pressuring the recipient to click links or open attachments
- Communications asking for personal or financial information outside secure channels
- Seasonal gift-card demands. These continue to be one of the most common payment-related scams, because funds are difficult to trace once redeemed.
What To Do If You Are Targeted
The IRS advises taxpayers not to reply, click links, or provide information if they suspect a scam. Instead:
- Report phishing attempts through the IRS phishing reporting portal.
- File an Identity Theft Affidavit (Form 14039) if someone files a fraudulent return using your information.
- Monitor accounts and credit files for unusual activity.
- Businesses should notify payroll providers and review system access immediately if employee data is compromised.
- Consider setting up an Identity Protection PIN (IP PIN) to prevent unauthorized filings going forward.
If uncertainty remains, taxpayers can contact the IRS directly using official contact information — not the phone numbers or links provided in the suspicious message. For complete reporting instructions and forms, visit the IRS resource: Recognize tax scams and fraud.
Delia Law Can Assist Victims of Tax-Related Fraud
Tax scams can create cascading issues — including frozen refunds, notices about income you did not earn, or audit inquiries tied to returns you did not file. In more complex cases, identity theft may lead to incorrect balances or enforcement actions despite the taxpayer being a victim. Delia Law helps individuals and businesses work through the IRS processes that follow scam activity — including corrective filings, appeals, and communications with the agency. Our attorneys assist with matters such as:
- Identity Theft
- Underreporting of Income
- Business & Payroll Tax Relief
- Audit Reconsideration
- IRS Tax Appeals
Delia Law provides guidance grounded in federal tax procedure and works to ensure that victims of fraud have their IRS records corrected as efficiently as possible while protecting their rights throughout the process. Contact Delia Law for a consultation today!
