IRS warns of new scamming method

The IRS warns you to watch out for swindlers trying to offer to help set up an Online Account on IRS.gov. Providing them with your personal information puts you at risk of identity theft.

The IRS Online Account was created to provide you with valuable tax information. However, an identity thief may attempt to file a fraudulent tax return in your name to get a big refund.

Giving your personal information will enable an identity thief to submit a fraudulent tax return in your name in hopes of getting a big refund.

Con artists often offer to help you create your IRS Online Account at IRS.gov. You should remember that you can set these accounts up yourself. But fraudsters making these offers will try to steal your personal information this way. You should establish your own Online Account through IRS.gov.

The scammers may ask for your personal information, such as your address, Social Security Number, and photo identification. The con artist then sells your valuable information to other criminals. In addition to using your sensitive information to file fraudulent tax returns, they can use it to obtain loans and open credit accounts.

"Scammers are coming up with new ways all the time to try to steal information from taxpayers," said IRS Commissioner Danny Werfel. "An Online Account at IRS.gov can help taxpayers view important details about their tax situation. But scammers are trying to convince people they need help setting up an account. In reality, no help is needed. This is just a scam to obtain valuable and sensitive tax information that scammers will use to try stealing a refund. People should be wary and avoid sharing sensitive personal data over the phone, email, or social media to avoid getting caught up in these scams."

The IRS provides an annual “Dirty Dozen,” a list of the 12 scams that put you and tax professionals in danger of losing personal information, money, and much more. The Dirty Dozen aims to protect taxpayers, businesses, and the tax system from identity thieves, including the new Online Account scheme.

The IRS encourages people to turn in scammers who promote improper and abusive tax schemes and tax preparers who intentionally file improper returns. You can report an abusive tax scheme or a tax preparer by mailing or faxing Form 14242, Report Suspected Abusive Tax Promotions of Preparers, and any other material to the IRS Lead Development Center in the Office of Promoter Investigations.

Don't fall for scammers who offer to help set up an IRS Online Account.

David Zubler is a tax accountant and Enrolled Agent in East Tennessee, providing tax strategies and representing clients before the IRS and has over 25 years of tax experience. He is the author of six tax books and has shared tax advice on national TV. He is the founder and president of Your Tax Care. The company provides business and tax education, including David’s one-minute tax tip radio recordings at YourTaxCare.com. David can be reached at (865) 363-3019 or contacted by email at david@yourtaxcare.com.