Better Business Bureau serving Canton Region and Greater West Virginia offer tips and advice for consumers to avoid fraudulent practices.
The United States tax season is here, and so are the scammers. Con artists use the Social Security numbers of unsuspecting Americans to file phony tax returns and steal refunds. One way to protect this information is to use the Identity Protection PIN issued by the IRS; if you filed previously and lost your PIN, the IRS can help.
How the scam works
Online filers that go through the IRS website usually expect a refund. Instead, a written IRS notice arrives in the mail, stating that more than one tax return was filed using your Social Security number.
What happened? Scammers got hold of personal information, typically the account holder’s Social Security number, address, and birth date. They filed your return early and received your refund before you even got around to filing.
Tax ID theft is a particularly sneaky con because victims typically do not realize they have been targeted until they file their taxes.
Scammers steal tax information in several ways, such as a phishing scam (bit.ly/Phishingscams), a corrupt tax preparation service, or information exposed in a hack or data breach. Sometimes tax scammers file in the name of a deceased person or steal children’s identities to claim them as dependents.
How to avoid tax ID theft scams:
• File early. The best way to avoid tax identity theft is to file your taxes as early as…
