Don't pay callers claiming to be from IRS
As identity ID thieves ramp it up, the Internal Revenue Service is rolling out more warnings via YouTube videos and other avenues to get consumers to stop handing over personal data and money to crooks.
"Refund fraud caused by identity theft has recently become a more serious and complicated threat," said IRS Commissioner John Koskinen in a statement.
"Increasingly, these crimes are being perpetrated by sophisticated, organized syndicates," Koskinen said. "They've been able to gather almost unimaginable amounts of personal data from sources outside the IRS."
The ID thieves then use stolen personal data to file fraudulent federal and state income tax returns and use various tax credits to claim huge refunds. Data is bought and sold on the black market.
Koskinen noted that many tips are common sense but may not be stressed enough. Use strong passwords. Don't respond to spam texts or e-mails asking for your bank account information or a Social Security number. Don't believe a text that asks you to update your bank account information or tax information.
And once again, the IRS is warning consumers to not fall for the scam callers or robocalls that claim to be from a federal agency or the IRS and threaten you with jail time or lawsuits unless you make an immediate payment via a prepaid card.
The scam calls are ongoing everywhere from Michigan to Massachusetts. One woman in Oak Park said she recently received one of those calls and did not know it was a scam initially. The caller didn't talk about the amount of money owed at first. Instead, he tried to scare her into thinking the police were on the way to arrest her.
The caller said: "You have to watch your front door."
"It was totally frightening," the senior said.
The IRS offered other tips: Do not routinely carry your Social Security card or number with you. Shred sensitive documents before throwing them in the trash. Do not overshare personal information on social media.
The new campaign is called "Taxes. Security. Together." The idea is to raise public awareness that even routine actions on the Internet and mobile devices can unknowingly make personal information easy for thieves to access.
The IRS is working with tax preparation companies and others to further authenticate tax returns during the tax return filing process and prevent fraudulent refunds from being issued as well. The tax preparation industry, individual states and the IRS are working together on various initiatives to fight identity theft tax refund fraud.
"We understand that ID theft and related refund fraud is a very serious threat, which is why the IRS has made it a top priority," said Luis D. Garcia, an IRS spokesperson in Detroit.
"But we can’t do it alone, and that’s why partnerships like this are so important and the key partner in this fight is the taxpayer."
Contact Susan Tompor: 313-222-8876 or stompor@freepress.com. Follow her on Twitter @Tompor.