#MiddleburyCT #BBB #TaxScams
‘Tis the season for tax scams. Recently, Better Business Bureau, Connecticut has received nearly two dozen reports to its scam tracker about phony tax collection companies inundating residents with harassing phone calls. The following are excerpts from those reports and the red flags to watch out for are marked with an asterisk.
“This is Daniela Martinez with the tax review unit. I’ve been trying to connect since the new year. Your file was flagged for manual review and still shows some unresolved items. Possibly an older balance or a couple of missing returns …”
*Like all government agencies, the IRS will first attempt to reach you by mail before initiating contact over the phone. The agency will not demand immediate payment over the phone.
Consumers report calls from Tax Resolution, American Tax Consultants, and the Tax Review Unit. While those companies may sound legitimate, the bad actors behind these phone calls are actually phishing for personal and financial information from their targets. American Tax Consultants has informed BBB that their business name is being used without authorization and that they do not engage in tax collection activities and will never contact consumers to request payment for back taxes.
“Hello this is Nancy from American Tax Consultants. I’m following up on the notice we sent out regarding your back taxes and missed filings on your account. This may be our only attempt to reach you and it’s important that you speak to us today please call us right away …”
*Creating a sense of urgency is the hallmark of a scam.
“Thanks to your state and a new budget allocation. You may qualify for IRS FreshStart or similar resolution programs. Or even settle it completely, depending on your financial situation. I am available till 5 PM today. Please call me back at 866 878 67051…”
*There is a Fresh Start Program to help individuals and small business owners settle their debt with the IRS, but you don’t need to pay a middleman to see if you qualify. You can go on the IRS website to apply.
More Tips to Avoid Tax Scams
- File your taxes as early as possible before a scammer can file a fraudulent return to reduce the risk of tax identity theft.
- The IRS does not initiate contact by email, text message, or social media.
- If you’re unsure whether you’re speaking with a scammer, stop communication and contact the IRS independently.
- Carefully review website addresses to ensure you are visiting the official IRS website.
- If you are the victim of tax identity theft, contact the IRS at 1-800-908-4490.
Consumers can find more tax resources at www.bbb.org/all/taxtips/us
Report scams to BBB’s Scam Tracker at bbb.org/scamtracker
