Tax Scams

How To Protect Yourself From Becoming the Next Victim

By Dr. Rich Austin

As the chief of the Milton Police Department, it pains me to read reports of citizens who have been scammed out of money due to falling for the increasingly bold and aggressive schemes perpetrated by sophisticated and usually offshore networks of criminals. These schemes often take advantage of the victims good nature and his/her willingness to be compliant with the law. Since were in the heart of tax season, people may be more apt to believe a random call would be coming from the IRS or other federal agency, as scammers often claim. Here is some information to help you protect yourself from these types of crimes.

How do these schemes work?

In a recent local case, an elderly lady received a phone call from someone claiming to be an IRS agent, who was seeking to collect on years of back taxes. The caller was very aggressive and assured her that if she hung up, she would be arrested and brought before a federal court judge to answer charges for tax evasion. Terrified, the victim stayed on the phone with the scammer, listening and obeying his every direction. He instructed her to go to a local big box store to purchase several thousand dollars of Google Play and Apple gift cards to submit as payment.

Fortunately, when the lady reached the checkout, the cashier was very astute and contacted store security, who intervened on the call and ceased the transaction. Unfortunately, others have not been so lucky. Each year, U.S. citizens lose billions of dollars due to various scams. Read on for a few tips to help you avoid becoming a victim of these types of crimes.

Be wary of phone calls from those claiming to be with government agencies.

Typically, if you are suspected in a crime or there is some other problem, an IRS agent or law enforcement officer will contact you in person. Also, if there is a problem with your taxes, you would normally be mailed information about whom to contact at the IRS. End the call immediately if the person threatens you with arrest if you hang up. Law enforcement does not work in that manner.

Be wary of acceptable forms of alternate payment.

Legitimate government agencies do not accept forms of payment such as Apple gift cards, Google Play gift cards, Green Stamp cards, or Western Union transactions. These forms of payment are how scammers take the victims money without being detected.

Be wary of callers asking for personal information to verify your identity.

If a government agency has business with a person, it will already have the citizens information. A frequent technique of scammers is to rattle the person with the threat of arrest and then pelt them with questions about their identity. The person who would not typically share information now has his or her guard down and complies in the spirit of cooperation to resolve the matter.

These are but a few of the techniques that scammers use to trick unsuspecting citizens into parting with their hard-earned money. Education and preparation are key when confronted by these scammers.

For more information, visit IRS.gov/newsroom/how-to-know-its-really-the-irs-calling-or-knocking-on-your-door.