Tax season is already stressful enough.
After all, you have to worry about gathering the right documents, filing on time, and ensuring the IRS gets their money by the deadline.
But guess what? That’s not your only problem.
That’s because scammers are lurking and getting bolder and more aggressive every year.
In 2024 alone, the IRS received nearly 300,000 reports of identity theft. Of those reports, the IRS found $5.5 billion in tax fraud.
And now? We’re in a new tax season.
This means that scammers are gearing up again and looking for their next victim.
That’s why I’m writing this article to help you protect yourself.
In this post, you’ll learn:
✅ How to spot scammers before they trap you
✅ How to protect yourself from identity theft
✅ How to avoid shady tax preparers who could land you in trouble
Let’s get into it.
Tax Refund Scams Are Ruthless! Here’s What You’re Up Against
Tax scammers aren’t playing games.
They’re out here stealing identities, refunds—even entire life savings. It’s not just happening to the uninformed. Smart, educated people fall for these scams every single day.
Take Al Cadenhead, a pastor from North Carolina. Scammers knew his full name, street address, even details about his taxes. They convinced him they were the IRS. And he handed over $16,000.
That’s just one story. There are thousands more just like it.
Let’s talk about how these scammers operate—so you don’t become their next victim.
How to Spot Tax Scammers Amid Growing Tax Refund Scams in 2025
First things first—scammers need a way to reach you.
They’ll try:
📞 Calling you, pretending to be the IRS
📧 Emailing or texting you fake IRS messages
📢 Running shady social media ads
🏠 Even showing up at your front door
Lately, taxpayers have been getting flooded with scam texts and calls from people claiming to be IRS agents.
DO NOT fall for it
Here’s what you need to know:
✅ The IRS will NEVER text you about missed payments or audits.
✅ They may call you, but ONLY after mailing multiple official notices.
✅ If the IRS needs to reach you, they’ll send a letter—through the U.S. Postal Service.
The ONLY reasons the IRS would contact you are:
🔹 A major mistake on your tax return
🔹 A fraud investigation
🔹 Missed tax payments
Even then, they will NEVER text you first. So if you get a text or email from the “IRS”? It’s a scam. Delete it.
Protect Yourself from Identity Theft
Identity theft is no joke.
Once a scammer has your information, they can:
🚨 Open credit cards in your name
🚨 Drain your bank accounts
🚨 File a fake tax return and steal your refund
So how do you protect yourself?
✅ Get an IP PIN
An Identity Protection PIN (IP PIN) is a six-digit code that locks down your tax return. Even if a scammer gets your Social Security number, they can’t file in your name without it.
✅ Use Antivirus Software
Scammers use malware and phishing links to steal your personal data. Good antivirus software helps block them before they get access to your device.
🚨 If You Become a Victim…
1️⃣ Report the crime to the FTC at identitytheft.gov
2️⃣ Fill out IRS Form 14039 to alert the IRS of fraud
3️⃣ Freeze your credit so scammers can’t open accounts in your name
Avoid Shady Tax Preparers
Here’s something most people don’t realize:
Not all tax preparers are ethical. Some will flat-out lie on your return to make themselves more money. They’ll do things like:
❌ Claim fake dependents
❌ Report income you never earned
❌ Create bogus businesses under your name
At first, you might think, “Wow, my tax preparer got me a huge refund!”
But then? The IRS sends you a letter.
And suddenly, you owe thousands in back taxes and penalties.
Out of 11,000 people who reported tax preparer fraud, only 2,292 shady preparers got penalized. The other 8,708? They had to suck it up and pay the IRS back.
So how do you avoid getting burned?
Watch Out for These Red Flags:
🚩 A preparer who won’t sign your return
🚩 Someone who only accepts cash payments—and won’t give you a receipt
🚩 A tax pro who promises a “huge” refund—before even looking at your documents
Always Review Your Tax Return Before Filing:
Before you send anything to the IRS, go through your return carefully.
And most importantly? Make sure your tax preparer is licensed. More than 50% of tax preparers have NO formal credentials and aren’t subject to ANY IRS regulations.
So be smart about who you trust with your taxes.
Final Thoughts: Take Action Now Before It’s Too Late
Scammers are always lurking—waiting for an easy target.
But now? You know how to protect yourself.
✅ You know how to spot IRS scams.
✅ You know how to prevent identity theft.
✅ And you know how to avoid shady tax preparers.
So don’t wait. Take action today.
Because no one’s going to protect your money for you.
If you found this helpful, click here to read more.
FAQ:
1. How do I know if the IRS is really contacting me?
The IRS never texts or emails you about missed payments, audits, or tax issues. They always contact taxpayers by mail first. If you receive a call, it’s only after multiple official notices by mail.
2. What should I do if I get a scam call or email from someone pretending to be the IRS?
Ignore the call, don’t engage, and never give out personal information. If it’s an email or text, delete it immediately. You can also report IRS scams to the Treasury Inspector General for Tax Administration (TIGTA) at www.tigta.gov.
3. What’s an IP PIN, and why should I get one?
An Identity Protection PIN (IP PIN) is a six-digit code from the IRS that locks down your tax return, preventing scammers from filing in your name. You can request one at www.irs.gov/IPPIN.
4. How do I know if my tax preparer is legit?
Watch for these red flags:
🚩 They refuse to sign your return.
🚩 They only accept cash payments and won’t provide a receipt.
🚩 They promise a big refund before even reviewing your documents.
Always check that your preparer has proper credentials, like a CPA, Enrolled Agent (EA), or IRS Preparer Tax Identification Number (PTIN).
5. What should I do if I suspect I’m a victim of tax fraud?
Take action immediately:
1️⃣ Report the fraud to the FTC at identitytheft.gov.
2️⃣ Fill out IRS Form 14039 to alert the IRS.
3️⃣ Freeze your credit to prevent further damage.
6. Can I get my money back if I fall for a tax scam?
Unfortunately, once money is sent to scammers, it’s almost impossible to recover. This is why prevention is key. If you paid through a credit card, contact your bank immediately to see if a chargeback is possible.
7. Where can I learn more about tax scams and fraud prevention?
Visit the IRS Tax Scams & Consumer Alerts page at www.irs.gov/scams for up-to-date scam warnings and fraud prevention tips.
Got more questions? Drop them in the comments or reach out—we’re here to help!
