As a taxpayer, the idea of getting a big refund from the IRS each year may appeal to you. In your excitement, however, it is important for you to remain guarded before handing out your personal identification information. You can protect yourself from being taken advantage of by identity thieves during tax season and other times of the year by knowing what IRS scams to avoid.

Claims of Available Refunds 

One of the most common ways that identity thieves target unsuspecting victims is by claiming that taxpayers could be owed a huge refund from the IRS. Scammers will make contact with victims by sending out emails promising information about refunds people are supposedly owed. The links in the emails instead take people to fake IRS phishing websites. 

This scheme is not only found in the U.S. but also in other countries like India. Millions of people unwittingly hand over their personal identification information each year because of phishing email scams. If you receive an email alleging to be from the U.S. government or the IRS, you should delete it and avoid clicking any links in it. The IRS does not communicate with taxpayers about any tax matter including refunds by email.

Bogus W-2 Notices 

Identity thieves will also attempt to steal your private information by sending emails saying you forgot to send in your W-2 for the tax year. The email will typically include a link that you are supposed to click on in order to input your personal information including your Social Security number, date of birth, and address. The link is actually a phishing scam that steals this information from you. 

If you legitimately fail to send in your W-2 to the IRS, you will not be notified by email about this oversight. Instead, you will receive a letter by certified or regular U.S. mail alerting you to this matter. You should delete and not respond to any email purporting to be from the IRS. 

Smartphone Link Scams 

Identity thieves realize that more people today are using smartphones. In an attempt to steal people's information, scammers will send out text messages alleging to be from the IRS. The texts promise information about refunds that the smartphone users may be owed. 

In reality, the texts are phishing attempts to steal users' private information. The IRS does not have access to your smartphone telephone number and never texts taxpayers about refunds or other tax matters. If you receive a text saying it is from the IRS, you should delete it immediately without responding and do not click on any links within it.

How to Protect Yourself 

Identity thieves are persistent and get more sophisticated with each passing year in their attempts to steal people's private information. They are adept at preying on people's fears of the IRS as well as taxpayers' desire to get back big refunds after filing taxes. 

The best way to avoid being taken advantage of by an identity theft scam is to realize how the IRS will communicate with you. The IRS never emails or sends out text messages to taxpayers. Instead, it will send out regular U.S. or certified mail letters to people who have legitimate business with the IRS. 

Further, it is critical that you realize to whom the IRS has entrusted the matter of gathering taxpayers' identification information. These individuals include: 

• Tax professionals
• Certified public accountants
• Accountants
• Tax preparation companies

Further, if you are owed a refund, you will never have to respond to or click on a link or another form within an email or text. The IRS will collect the necessary information like your bank's name and account number when you file your tax return. 

Safeguard Your Social Security Number and Personal Information 

As a taxpayer, your main priority should involve protecting your Social Security number and private information at all costs. You should avoid giving it to people whom you are not 100 percent sure are qualified and trained to prepare your taxes. Furthermore, you should avoid giving it to anyone over the phone, via email, or in a text message. 

One of the most common mistakes that people make with their Social Security numbers involves carrying their Social Security number cards in their purses or wallets. If your purse or wallet is stolen, your identity could easily be taken over by the thief. You should keep your card in a safe location like a security deposit box. 

Do Not Give Personal Information Over the Phone or Through Email 

In this age of technology, you might be accustomed to communicating with people and businesses via email or by phone. However, these modes of communication are common ways that scammers attempt to steal people's identities. They seek out and attempt to steal Social Security numbers, dates of birth, addresses, and other details by calling or emailing unsuspecting victims. 

You can avoid being targeted by these scams by realizing that the IRS and your bank will not ask for this kind of personal information by email or over the phone. Legitimate financial and government institutions realize the importance of safeguarding these details. If you have business to do with your bank or the IRS, you will receive written notification by either regular or certified mail. 

Check Your Credit Report Once a Year

Another proactive way to stay safe from identity theft is by checking your credit report once a year. You should look for:

• Addresses that are wrong or that you never before used
• Charge accounts at stores which you do not shop
• Judgments, liens, garnishments, and collection activities that are not yours
• Accounts in names or with aliases that do not belong to you

These discrepancies signal that someone may have stolen your identity. You should contact the credit bureau immediately and also notify the police to file a stolen identity report.

Do Not Give into Fear 

Identity thieves are successful in stealing people's identities by invoking fear or panic in their victims. They will tell you that you are going to be arrested for owing and not paying back taxes or for not sending in required documents like your W-2 to the IRS. 

It is important to realize that the IRS will not harass or threaten people and especially will not arrest taxpayers via email or by phone. If you owe the IRS money, you will be notified in writing by certified or regular U.S. mail. You can also verify all communications from the IRS by consulting with a tax professional about your tax matters. 

Use Reputable Tax Companies 

As tax season approaches each year, websites like Craigslist and local newspapers will see an influx of ads touting to be from low-cost tax preparation companies. These companies promise prizes or money for using their services. 

In reality, many of these ads are placed by identity thieves. You can avoid being targeted by one of these scams by using reputable tax preparation companies and tax professionals. Reputable companies and tax professionals will be able to prove their credentials upon request and are trained to handle your private information with the utmost of care while filing your taxes professionally. 

Identity thieves use a number of ways to attempt to steal your sensitive information. You can avoid common IRS scams by filing your taxes with reputable tax preparation companies and tax professionals and by knowing in what ways the IRS will legitimately communicate with you.