Tax Scams to Watch For (and How to Protect Yourself)

​Tax season tends to bring out two things: a rush to file… and a surge in scams.
Every year, the IRS releases a list of common schemes targeting individuals and business owners. And while the tactics evolve, the goal is always the same—get access to your money or your personal information. The problem is not just the scams themselves.
It’s how convincing they’ve become.
If you’re not paying attention, it’s easy to mistake a scam for something legitimate.
​
Why This Matters
Tax-related scams can lead to:

• Stolen identities
• Fraudulent tax filings
• Lost refunds
• Compromised business or financial accounts

And once it happens, it’s not a quick fix. Cleaning it up can take months.

Common Tax Scams to Watch For

1. IRS Impersonation (Calls, Emails, or Texts)
Scammers pose as the IRS claiming you owe money or are due a refund.
They often:

• Create urgency (“Pay immediately or face penalties”)
• Threaten legal action
• Ask for payment via gift cards, wire transfers, or crypto

Reality: The IRS does not initiate contact this way or demand immediate payment through those methods.

2. Phishing Emails and Fake Links
You may receive emails that look official, asking you to:

• “Verify your information”
• “Click to claim your refund”
• “Update your tax details”

These links are designed to capture your login credentials or personal data.
Reality: The IRS does not send unsolicited emails asking for sensitive information.

3. Fake Tax Preparers (“Ghost Preparers”)
Some individuals offer to file your taxes but:

• Don’t sign the return
• Don’t provide a copy
• Disappear after filing

They may inflate refunds to take a larger fee or use your information fraudulently.
Reality: A legitimate preparer signs your return and includes their PTIN (Preparer Tax Identification Number).

4. Refund and Credit Scams
Scammers promise “guaranteed” large refunds or credits you may not qualify for.
They may:

• Ask you to file false information
• Charge fees based on refund size
• Encourage aggressive or inaccurate claims

Reality: If it sounds too good to be true, it usually is—and you are responsible for what’s filed under your name.

5. Social Media Tax “Hacks”
There has been a rise in misleading advice online encouraging people to:

• Claim credits improperly
• File false income or deductions
• Use loopholes that don’t actually exist

Reality: Following bad advice can result in audits, penalties, and repayment of refunds.

How to Protect Yourself- This doesn’t require paranoia—just discipline.
Be cautious with communication

• Don’t click links from unknown or unexpected sources
• Verify any “urgent” request before responding

Work with trusted professionals

• Use a reputable tax advisor
• Avoid anyone who guarantees results or avoids signing your return

Protect your information

• Use strong passwords and secure networks
• Do not share sensitive information casually

Slow down

• Scammers rely on urgency
• Taking a moment to verify can prevent a costly mistake

From a GLM Perspective- Most tax scams don’t work because people aren’t smart.
They work because people are busy. When something looks official and creates urgency, it bypasses your normal decision-making process.

That’s why having a clear system matters:

• Who do you trust for tax advice?
• Where do you verify information?
• How do you respond when something feels off?

If those answers aren’t clear, that’s where problems start.

Final Thought
Clarity protects you.
If something doesn’t feel right, pause before acting. A quick conversation with a trusted advisor can save you from a much bigger issue later.
​
If you ever receive something questionable related to taxes or the IRS, feel free to reach out—we’re happy to take a look and help you determine what’s real and what’s not.