IRS: Beware of These Top Tax Season Scams
Avoid tax prep schemes, fake rebate promises and IRS impersonators when filing in 2026.
The client’s tax preparation bill should have been around $200. Instead, Freeport, New York, tax preparer Damaris Beltre charged her $2,200 in fees for a fraudulent return. The problem with the scheme: Beltre’s client was an undercover federal agent.
The sting appeared as part of a 42-count federal indictment unveiled by U.S. attorneys on March 12, 2025. The charges ranged from aiding and assisting in preparing false tax returns to aggravated identity theft for Beltre’s role in “allegedly preparing hundreds of false individual tax returns,” according to the Internal Revenue Service (IRS). The IRS said Beltre frequently took a percentage of clients’ refunds and filed returns “claiming refunds on behalf of former clients without their knowledge.”
The case is a warning to taxpayers. As the tax deadline approaches, scammers are eager to steal your money and personal information, whether posing as tax preparers or claiming to work for the IRS. In a March survey from LifeLock, 28 percent of participants said they’d been involved in a tax-related scam attempt at some point in their lives. Of those, 42 percent said the scams involved an IRS impersonator.
Criminals may also file tax returns in others’ names; during the 2025 tax season through the end of April, the IRS suspected potential identity fraud in more than 2.4 million tax returns with refunds totaling $23 billion and suspended their processing pending identity verification, according to the Treasury Inspector General for Tax Administration. And we’re all potential targets for these scams.
Types of tax scams
In February 2025, the IRS issued its “Dirty Dozen” list of tax scams. Topping the list:
Impersonation scams. Phishing messages from criminals posing as entities such as the IRS, state tax agencies, tax preparers, and tax software companies. The emails, texts, and phone calls often lure victims with promises of big refunds or threats of criminal tax fraud charges.
Tax prep scams. Other scams cited in the IRS list include shady tax agents. Some may pledge to provide large refunds and then charge a fee based on the size of the refund. The IRS notes that a significant red flag is when the tax preparer is unwilling to sign the return. “These individuals often promise inflated refunds and may manipulate tax filings, leaving the taxpayer liable for penalties and interest,” says Chad D. Cummings, CEO of Cummings & Cummings Law. “Some fraudulent tax preparers offer services without signing returns or including their IRS Preparer Tax Identification Number (PTIN), which is required by federal law.”
Tax rebate scams. Another scam involves scammers trying to steal personal information by promising a federal rebate. They’re assisted by the fact that there is a legitimate rebate, where the IRS automatically provided $1,400 to taxpayers who didn’t claim the Recovery Rebate Credit on their 2021 returns. But most of these payments have already been sent. “Criminals are sending fake IRS texts, claiming you need to ‘verify’ your information to receive your payment,” says Truman Kain, offensive security researcher at Huntress, a cybersecurity firm. “If you click the link, you’re taken to a convincing but fake IRS website designed to steal your Social Security number, bank details, and other personal info. They’re running a numbers game, blasting out texts, hoping someone bites.”
Submitting fake returns in a victim’s name. Because of the massive number of data breaches, there’s a “heightened risk of fraudulent tax returns,” says Keven Knull, CEO of TaxStatus, an IRS account monitoring platform for financial professionals. “Criminals can exploit stolen TINs [Tax Identification Numbers] to file fake returns, often claiming large refunds long before the legitimate taxpayer even becomes aware.” If the criminal files a phony return before the taxpayer, then the IRS may not detect the fraud until the legitimate return is filed, Knull explains.
Fighting back
Here are some ways to protect yourself:.jpg)
File early. “One of the most effective ways to prevent tax fraud is to file your return as early as possible, reducing the window of opportunity for identity thieves to submit a fraudulent return in your name,” says Cummings. Also, conversely, try to avoid tax extensions. “Delaying tax filing increases the risk of fraudulent returns being submitted in your name, leading to lengthy disputes with the IRS to reclaim lost funds,” notes Knull. And if you’re getting a refund, choose direct deposit rather than a check, advises Chase Bank.
Request an IRS Identity Theft PIN. This six-digit personal identification number prevents someone from filing a tax return with your Social Security number or individual taxpayer identification number. “The IRS will issue you a pin every year, and this pin will be required to file your taxes,” says tax adviser Karla Dennis, CEO of Karla Dennis & Associates. To get one, create an online account at IRS.gov, where you can request an IP PIN or retrieve an existing IP PIN by using the “Get an IP PIN” tool. The account also allows you to monitor filings, access tax records, and receive alerts about suspicious activity. And if someone offers to help you create an online account, it’s likely another scam. “In reality, no help is needed,” the IRS states. Third parties often try to steal your personal information, submit fraudulent tax returns in your name, and score a large refund.
Know how the IRS communicates. Unless you have been in contact with the IRS about back taxes, the IRS will never call, text, or email you to ask for personal information or request payments. If you receive a call like this, hang up. And don’t click on links in emails or texts. The links could load malware or ransomware onto your computer or device. “If you get an unexpected text about an IRS payment, it’s a scam. No exceptions,” says Kain. If the IRS suspects fraud in your name, you will receive a letter from the Taxpayer Protection Program (find out what that would look like here).
Know how scammers communicate. Tax scammers often use urgency, fear, and enticements (big refunds!) to manipulate victims. Nati Tai, head of Guardio Labs, cites messages such as:
• “Your tax return has an error. Act now to avoid penalties!”
• “You’re eligible for a $1,500 tax refund. Click here to claim it.”
• “The IRS has flagged your account. Verify your information immediately to avoid legal action.”
Reference Entry: Budd, K. (2026, January 20). IRS: Beware of these top tax season scams. AARP. https://www.aarp.org/money/scams-fraud/common-tax-season-scams/