Since taxpayers are personally responsible for what is on their return, use only a trusted tax professional. Many low to moderate income taxpayers qualify for free tax help through the Volunteer Income Tax Assistance (VITA) sites and Tax Counseling for the Elderly (TCE) programs.
When using another person to prepare your returns, be aware that any one of these six (6) signs may mean you are working with a fraudulent tax preparer.
- Offers to prepare tax return for free
- Promises a refund within 48 hours
- Only available seasonally
- Promises refund without reviewing any documents
- “Friends/friend of friends” who prepare tax returns online
- Does not list their name on tax return and does not provide an “EFIN” number
Filers with limited English proficiency are encouraged to have a trusted party review and translate their return even if the preparer speaks their native language. Find tax fraud warning flyers in multiple languages here.
In addition to protecting yourself from fraudulent preparers, taxpayers should know the warning signs of other fraudulent activities. If you receive a phone call or an email from someone claiming to be the IRS, it is probably a scam. If you owe a tax debt, the IRS first sends a letter and gives you the chance to respond to their claim. Your first contact from the IRS will not be a phone call or email.
THE IRS DOES NOT:
- Call to demand immediate payment.
- Request a specific payment method such as a prepaid debit card, or gift card, or apple card or wire transfer.
- Demand that you pay a tax debt without giving you the chance to appeal the amount the IRS claims is owed.
- Threaten to call the police, immigration, or other law enforcement. The IRS does not threaten to put you in jail, deport you, or otherwise arrest you for failure to pay your debt. If that happens, it’s a scam.
Scammers are getting increasingly sophisticated and can use clever ways to make it look like they are from the IRS. That is why you should suspect that any calls or emails from someone claiming to be the IRS is a scam, especially if this is the first time you are hearing from them.
Protect yourself by doing the following:
- Hang-up and/or do not provide any information!
- If you are not sure whether you owe the IRS, call 1-800-829-1040.
- Contact the low-income taxpayer clinic to see if you qualify for help.
- If you do owe a tax debt, there are options to reduce or eliminate the debt or create a repayment plan within your budget.