12 Tax Scams to Avoid: The IRS’ “Dirty Dozen” List
Each year, the IRS compiles a list of common tax scams of which Americans should be aware, especially during tax season. See below for a list of the IRS’ 12 tax scams to avoid.
- Phishing – Be cautious of fraudulent emails and websites appearing to come from legitimate companies that ask you to click a link or download a file.
- Phone Scams – Do not respond to fake calls from individuals posing as the IRS.
- Identity Theft – Protecting your social security number and personal information will prevent criminals from filing your tax returns.
- Return Preparer Fraud – Keep an eye out for dishonest return preparers.
- Fake Charities – Ensure your money is going to a real charity before making a donation.
- Inflated Refund Claims – Be cautious of anyone who promises you big tax refunds.
- Excessive Claims for Business Credits – Avoid misusing business credits by doing your research in advance.
- Falsely Padding Deductions on Returns – Never falsely increase deductions or expenses to receive a larger tax return.
- Falsifying Income to Claim Credits – Always file your income accurately.
- Abusive Tax Shelters – Always pay your fair share when it comes to taxes.
- Frivolous Tax Arguments – Never make unreasonable claims to avoid paying taxes.
- Offshore Tax Avoidance – Never hide money or income offshore to avoid paying taxes.
For additional information regarding common tax scams, visit the IRS’ website at https://www.irs.gov/newsroom/dirty-dozen.