News Summary
As tax season approaches, Boston residents are facing an increase in tax scams, including IRS impersonation scams and identity theft. Scammers are employing various tactics to deceive taxpayers, urging them to comply with false claims of owed money or fraudulent texts about stimulus checks. The IRS is reminding residents to stay cautious and report any suspicious activity to avoid becoming victims.
Boston Residents Beware: Tax Scams are on the Rise!
As tax season approaches, residents of Boston are being warned to stay vigilant against a surge in tax scams. It’s that time of year when many people are thinking about their tax filings, and unfortunately, it’s also a time when scammers come out of the woodwork. From impersonating government officials to stealing personal information, these fraudsters have a variety of tricks up their sleeves.
Spotting the IRS Impersonators
One common scam that has been flooding phones, emails, and social media is the IRS impersonation scam. Scammers often pose as IRS agents, claiming that you owe money to the government. They can be very convincing, threatening you with arrest, deportation, or even the loss of your property if you don’t pay up immediately. This high-pressure tactic is designed to make you act quickly, often leading you to make hasty financial decisions.
Beware of red flags. If you’re asked to make a quick payment via wire transfer, gift cards, cryptocurrencies, or payment apps, it’s likely a scam. The IRS will never ask for payment this way, so take a step back and verify before you act.
Identity Theft Warnings
Another alarming trend is the increase in identity theft scams. Scammers are seeking sensitive personal information like your Social Security Number to file fraudulent tax returns in your name. This type of theft is particularly damaging and can leave you struggling to reclaim your identity. Protecting your information has never been so crucial!
Ghost Preparers and Their Sneaky Tactics
It’s important for consumers to be cautious while seeking help with their tax filings. Many people turn to professionals for assistance; however, you need to watch out for “ghost preparers”. These unscrupulous tax preparers often promise large refunds by misleading clients about tax credits and benefits. If a preparer bases their fees on a percentage of your refund, it is likely a scam. These practices are deceptive and can cost you both money and peace of mind.
How Does the IRS Communicate?
In general, the IRS will communicate with you through formal written correspondence, not by phone or email. So if you receive a phone call or text message that raises your suspicions, it’s a safe bet it’s a scam. Tax experts recommend checking everything against the official IRS website, IRS.gov, to ensure you stay informed and protected.
Fraudulent Stimulus Check Texts
Recently, residents have also reported receiving fraudulent texts claiming they are eligible for stimulus checks. These sneaky messages usually instruct recipients to share personal information in order to receive their funds. Don’t fall for it! Always verify information from official sources.
Other Common Scams to Watch Out For
The IRS identifies several other prevalent tax scams, including bogus tax avoidance schemes, fake charities, false fuel credit claims, and fraudulent offshore schemes. The alarming statistic shows a 77% increase in IRS-related phishing attempts via text messages alone. This is a steep rise, indicating that scammers are ramping up their efforts to catch unsuspecting victims.
Take Action Against Tax Fraud
Residents are advised to report any suspected tax fraud. Simple steps like setting up an Identity Protection PIN (IP PIN) with the IRS could help safeguard against these fraudulent tax returns. Resources such as the FBI’s Internet Crime Complaint Center and the IRS website provide valuable information and advisories to help you stay informed.
To stay abreast of breaking news on scams, consider downloading news alert apps. Doing so can provide you with timely updates, helping you to remain alert and avoiding becoming a victim of these scams.
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Additional Resources
- NBC Boston: Common Tax Scams and How to Avoid Them
- Boston 25 News: BBB Warns of 1400 Stimulus Payment Text Scam
- CPA Practice Advisor: Boston IRS Agent Charged with Tax Fraud
- New Bedford Guide: Former Massachusetts Senator Sentenced for COVID Tax Fraud
- Boston Herald: Ex-Massachusetts Senator Dean Tran Sentenced for Fraud
