IRS Warns of Fraud Scheme Targeting Foreign Nationals and Others
November 12, 2013
Country / Territory
Share
The Internal Revenue Service (IRS) has issued a warning about a sophisticated telephone scam that has been targeting recent immigrants and taxpayers throughout the country. In the scam, individuals purporting to be from the IRS tell victims they owe IRS money and pressure them to pay by providing a credit card number over the phone or through a pre-loaded debit card or wire transfer.
These callers use “spoofing” technology to display the IRS toll-free number on caller ID. They use fake names and IRS badge numbers and may be able to recite the last four digits of the victim’s Social Security Number. Sometimes, they send victims bogus IRS emails as a follow-up to their calls.
If the victim refuses to cooperate, the caller may become hostile and threaten arrest, deportation or suspension of a business or driver's license. Victims may receive a follow-up call from accomplices claiming to be from the local police or the Department of Motor Vehicles (DMV).
The IRS has confirmed that it does not initiate contact by electronic communication to request personal or financial information such as a Social Security Number, credit card number, pre-loaded debit card number, or bank account information. The agency’s first contact with a taxpayer is likely to occur by U.S. mail.
What to Do if You Are Targeted In the Scam
If you receive a suspect phone call, take precaution.
- Do not provide any personal or financial information, such as your Social Security Number, credit card number, pre-loaded debit card number, or bank account information. If the caller threatens police arrest, deportation or license revocation for lack of payment, the call is not legitimate.
- Do not forward any funds. If you owe taxes or you think you might owe taxes, consult with a tax professional.
- If you receive a suspect email, do not open any attachments or click on any links contained in the message. Forward the email to [email protected].
- Contact the Federal Trade Commission or report the incident to the Treasury Inspector General for Tax Administration at 1-800-366-4484.
Foreign nationals should be vigilant against all types of immigration fraud. In recent months, foreign nationals have also been the target of other scams, including fraud schemes involving the Diversity Visa Lottery and the Immigrant Investor Visa. Take precautions and follow the guidelines in our recent Client Alerts.
