The Internal Revenue Service is urging millions of Americans to stay alert for fraud during the Christmas season, when online shopping spikes and scammers ramp up efforts to steal personal and financial information.
Why it matters
The holiday rush has become a reliable window for tax-related scams and identity theft, the IRS says. With tax filing season approaching, criminals often target consumers, tax professionals, and businesses with increasingly sophisticated online schemes designed to capture sensitive data and, in some cases, file fraudulent tax returns to claim refunds.
In response to rising losses tied to identity theft-linked tax fraud, the IRS and its Security Summit partners are expanding outreach and strengthening defenses this December.
What to know
This week marks the 10th annual National Tax Security Awareness Week, led by the IRS and its Security Summit partners. The effort includes state tax agencies, the tax preparation industry, software developers, and payroll and financial institutions working together to protect taxpayers and the tax system—especially as scam activity surges ahead of Christmas and the upcoming filing season.
Common scams the IRS says are increasing
The IRS highlighted several scam categories that are growing in both frequency and sophistication:
- Phishing and smishing: Criminals send emails or texts posing as tax authorities or delivery companies to steal personal information or infect devices with malware. Clicking links can compromise your device or accounts.
- Social media scams: Misleading “tax advice” from influencers, scheme-promoting posts, and fake offers that confuse taxpayers about credit or refund eligibility—often steering people directly to scammers.
- Targeting seniors: People over 65 or nearing retirement are frequently targeted for personal details, financial information, or money. Scammers may keep pressuring victims for additional payments and sometimes push them to withdraw from retirement accounts, increasing the risk of tax penalties and long-term financial harm.
- Protection for businesses and tax professionals: The IRS reminds tax professionals of their legal responsibility to maintain a Written Information Security Plan and to use multi-factor authentication. Businesses are also encouraged to tighten security protocols and remain vigilant about cyber threats.
- Identity Protection PIN: An Identity Protection PIN (IP PIN) is a six-digit code that can prevent someone from filing a tax return using a taxpayer’s Social Security number or Individual Taxpayer Identification Number. Taxpayers who don’t already have one can request an IP PIN as a proactive safeguard. Anyone with an SSN or ITIN—including those living abroad—is eligible to obtain an IP PIN.
What people are saying
IRS CEO Frank Bisignano said: “With the holiday shopping season underway and tax season quickly approaching, we are urging taxpayers and tax professionals to take extra steps to protect their financial and tax information.
“During this holiday season, people face the heightened risk of identity theft as criminals ramp up efforts to trick people into sharing sensitive personal information: identity thieves might use this information to try filing false tax returns and stealing refunds.”
What happens next
The IRS and its partners say they will continue ramping up public information campaigns throughout December and into the 2025 filing year.
In a press release, they said: “Many of the Security Summit partners have joined together to form the Coalition Against Scam and Scheme Threats. This group will be increasingly active during the upcoming tax season.”
Victims of identity theft can visit Identity Theft Central for more information.
