Greg's Corner

Tax Season Scams: What You Need to Know

By Greg Collier

As tax season approaches, individuals and families are preparing to organize their financial records and submit their returns. With W-2 forms landing in mailboxes and deadlines on the horizon, it’s essential to remain wary against scams and misleading tax advice that surface during this time of year.

The IRS emphasizes that if an offer or promise seems too good to be true, it probably is. Social media is a growing hub for questionable tax advice, with posts encouraging users to falsify information or misrepresent credits to maximize refunds. Falling for such guidance could lead to severe legal consequences and audits, making it crucial to verify the legitimacy of any advice you follow.

Scammers often pose as representatives of the IRS, employing tactics such as threats, demands for immediate payment, or promises to resolve tax issues instantly. The IRS never initiates contact via text messages, emails, or phone calls. Official communication comes exclusively through mail. Any message urging immediate action or threatening penalties should be met with skepticism. Filing your taxes promptly can help minimize risks of identity theft, as it reduces the chance for fraudsters to file in your name and claim your refund.

Organizations like the Better Business Bureau (BBB) play a key role in educating consumers about tax scams. Reports to scam trackers often involve individuals receiving fraudulent calls, emails, or texts from impostors claiming to be with the IRS. These messages may include links to fake payment portals or demand sensitive information. Verifying the legitimacy of any contact with the IRS is critical, and trusted resources like the BBB can provide insight into whether a tax preparer or advertisement is reputable.

Ultimately, staying proactive and informed is the best defense during tax season. By filing early, verifying information, and avoiding unsolicited messages claiming to resolve tax issues, you can protect your finances and identity from potential scams. Tax season can be stressful, but with the right precautions, it doesn’t have to be.