Each year, the IRS releases its Dirty Dozen list to warn taxpayers, businesses, and tax professionals about common tax scams. These schemes put personal and financial information at risk, often leading to identity theft and fraudulent tax filings. While many scams peak during tax season, they can happen year-round.
Top Tax Scams for 2025
Phishing and Smishing Scams
Scammers send fake IRS emails (phishing) or text messages (smishing) designed to steal sensitive information. These messages may promise tax refunds, threaten legal action, or claim account issues. Clicking links in these messages can expose your personal data or install malware on your device.
How to protect yourself:
- The IRS does not contact taxpayers by email or text for sensitive matters.
- Do not click on links in unsolicited messages claiming to be from the IRS.
- Report phishing attempts to [email protected].
Bad Social Media Tax Advice
Misinformation spreads quickly on social media, often misleading taxpayers into claiming false deductions or credits. Some influencers promote incorrect filing strategies that could result in audits, penalties, or fraud charges.
How to protect yourself:
- Get tax information from trusted sources, such as the IRS, licensed tax professionals, or reputable financial advisors.
- Be wary of “too good to be true” tax tips circulating online.
IRS Online Account Scams
Fraudsters pose as helpful third parties offering to set up IRS online accounts for taxpayers. They use this ruse to steal personal information and file fraudulent tax returns in victims’ names.
How to protect yourself:
- Set up your IRS online account directly at IRS.gov.
- Do not share login credentials or personal information with unknown parties.
Fake Charities
Scammers create fraudulent charities, especially after natural disasters or crises, to exploit people’s generosity. These fake organizations collect donations but do not use the funds for charitable purposes.
How to protect yourself:
- Verify charities using the IRS Tax-Exempt Organization Search tool.
- Avoid making donations over the phone or via email unless you initiated contact.
False Tax Credit Claims
Some taxpayers are tricked into claiming credits they do not qualify for, such as the Fuel Tax Credit or pandemic-related sick leave and family leave credits. Promoters mislead people into filing false claims, sometimes through social media or dishonest tax preparers.
How to protect yourself:
- Ensure any credits claimed on your return are legitimate and properly documented.
- Work with a trusted tax professional to avoid mistakes or fraudulent filings.
Ghost Tax Preparers
A ghost preparer is someone who prepares tax returns but refuses to sign them. These individuals often charge fees based on refund size and may submit fraudulent returns. Taxpayers are ultimately responsible for their filings, meaning they face penalties if the return contains false information.
How to protect yourself:
- Always use a tax preparer with a valid Preparer Tax Identification Number (PTIN).
- Never sign a blank return or let a preparer claim false information on your behalf.
Stay Safe During Tax Season
The IRS Dirty Dozen serves as a reminder to stay vigilant against scams. Taxpayers and tax professionals should take proactive steps to protect personal and financial information.
Tips to avoid tax scams:
- Be skeptical of unsolicited emails, texts, and social media messages.
- Work with reputable tax professionals.
- Double-check tax credits and deductions before filing.
- Report suspicious activity to the IRS.
Scammers continue to evolve their tactics, but by staying informed and cautious, you can protect yourself from fraud. If you need help navigating tax season safely, contact us at [email protected].
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