The Internal Revenue Service (IRS) is cautioning millions of Americans to stay alert for scams and identity theft schemes as the holiday shopping rush and tax-filing season approach.
In a Dec. 3 announcement kicking off the agency’s 10th annual National Tax Security Awareness Week, officials emphasized that the campaign is designed to help taxpayers better understand and avoid growing security threats.
IRS CEO Frank Bisignano warned that this time of year is especially risky, urging Americans to “take extra steps to protect their financial and tax information” as fraud and scam activity often spikes during the holidays and in the lead-up to tax season.
Common scams the IRS is flagging
The agency outlined several types of schemes that taxpayers, tax professionals and businesses should be particularly cautious about:
- Social media scams:
Posts or “advice” from influencers and other accounts may promote false information about credits or refunds, encourage people to lie on tax forms or claim the IRS is hiding special tax breaks. These messages often serve as a gateway that connects unsuspecting taxpayers with scammers. - Phishing and smishing:
Fraudsters commonly send emails (phishing) or text messages (smishing) pretending to be from the IRS in order to steal personal and financial information. These messages may demand immediate payment or urge recipients to click links or open attachments, which can compromise devices and expose sensitive data. - Targeting older adults:
Scammers frequently focus on people age 65 and older or those nearing retirement, pressuring them for money or personal details. After convincing someone to send funds, they often come back asking for more. If they succeed in getting a person to withdraw money from a retirement account, it can also create unexpected tax consequences.
How to protect your information
The IRS also highlighted steps that businesses, tax professionals and individuals can take to better secure their data.
- For businesses and tax professionals:
The agency is reminding tax professionals that they are legally required to maintain a Written Information Security Plan and to use multi-factor authentication where appropriate. Businesses are encouraged to review and strengthen their cybersecurity practices and stay alert to potential cyberattacks. - Identity Protection PIN (IP PIN):
An Identity Protection PIN is a unique six-digit code that helps block someone else from filing a tax return using a taxpayer’s Social Security number or individual taxpayer identification number. Taxpayers who have a Social Security number or an individual taxpayer identification number — including those living abroad — can request an IP PIN if they do not already have one.
Individuals who believe they’ve been victims of identity theft, or who want more guidance on what to do if their information is compromised, can visit Identity Theft Central for additional details, instructions and support resources.
