IRS Warning of New Telephone Tax Scam

As the 2014 tax season gets underway, the Internal Revenue Service is warning of a new telephone scam. 

According to IRS spokesman Mark Green, victims receive a phone call from someone claiming to be with the IRS about money they owe in back taxes.

 “The way the scam works is, the taxpayer gets a call and it shows up as the Internal Revenue Service on their caller ID so the victim thinks it’s a legitmate call,”  Green said. “The scam artist tells the victim they have a tax liability and they have to pay up right now or they will be either arrested, deported, or their business license suspended.” 

Victims are told to pay immediately via a pre-loaded debit card or wire transfer.  Green said if the victim refuses the caller becomes hostile and insulting.  If the victim hangs up on the scam artist, Green said they soon receive yet another threatening phone call.

“The scam artist will call back using another number that shows up on the caller ID as a local law enforcement office and then pretends to be an investigator. They identify themselves as law enforcement and tell the victim they are working with the IRS and that if they don’t pay, they will be arrested or deported,” Green said.  

Green said the scam has made its way from California to the Northeast and is now targeting vicitms in the Southeast.  He said so far about 100 people have called the IRS to file reports of the scam in Georgia. 

Green reminds taxpayers that the IRS never calls or emails a taxpayer asking for money and they will never ask for your personal or banking information. He said if you’ve been a victim of this scam you need to contact the IRS immediately.

 “There’s a couple of things a taxpayer can do,” Green said. “First, they can just hang up on the scam artist or they can go online to the IRS Web site and click on Treasury Inspector General for Tax Administration at the bottom right-hand column under Other Sites and file a complaint there.”

Additionally, if you know you owe taxes or you think you might owe taxes, call the IRS at 800-829-1040.  The IRS employees at that line can help you with a payment issue – if there really is such an issue.

You can also file a complaint with the Federal Trade Commission and use their “FTC Complaint Assistant” at www.FTC.gov.  Just add “IRS Telephone Scam” to the comments of your complaint.