IRS will never call to demand payment
Joan Hanrahan got a troubling voicemail message early Wednesday, saying it was important for her to contact the Internal Revenue Service right away.
She called the number back. “Of course this is a number where someone answered immediately,” she noted.
When Hanrahan asked why “IRS” wasn’t showing up on her caller ID, the female IRS “agent” said it was because she was with a special investigative division.
The agent told Hanrahan she owed $2,800-something in back taxes, then asked if she had $20,000 in the bank. When Hanrahan answered no, the agent asked, “How much do you have?” Hanrahan replied, “$2,000.” According to Hanrahan, the agent told her she was about to be served an arrest warrant, which she could stop if she took the following action within the next hour: Go to her bank, withdraw $2,000, take it to a grocery store at a specific address in Oakland, buy a $2,000 money order, then call back at the same number for further instructions.
Hanrahan explained that her bank didn’t open until 10 a.m. The agent said no, it opened at 9 a.m., which was correct. Hanrahan was thinking of the bank’s Saturday hours.
Fearing arrest, the 84-year-old Hanrahan went to her bank. While waiting for it to open, she mentioned to another woman outside that she was withdrawing money to pay the IRS. The woman told her, “There are a lot of scams going on involving the IRS.”
Nevertheless, Hanra- han withdrew $2,000, left the bank and then spoke to two men “drinking coffee at a bakery,” she said. Turns out the two men had received the same phone call, saying they owed the IRS the exact same amount of money. One had called his financial adviser, who told him it was a scam.
Hanrahan went back home and called me with this story.
The IRS has been warning taxpayers about this ripoff for 18 months, but it just keeps growing.
‘More sinister’
“They started targeting immigrants. As the months and weeks go on, it has gotten more pervasive and more sinister,” says IRS spokesman Raphael Tulino.
There are variations on the scheme, but it starts with a random phone call, allegedly from the IRS. They can often “spoof caller ID” to make it look like it’s really the IRS calling, “and they sometimes know the last four digits of your Social Security number,” Tulino said.
They often threaten to bring in local law enforcement unless back taxes are paid, usually on a prepaid debit card.
In a Jan. 21 news release, the Treasury Inspector General for Tax Administration called this “the largest scam of its kind that we have ever seen.” It has reports of 290,000 phony contacts since October 2013, “and has become aware of nearly 3,000 victims who have collectively paid over $14 million as a result of the scam,” the release said.
Regular mail
The IRS says its first contact with a delinquent taxpayer is always by regular mail, never by phone or e-mail.
It also will never:
Demand that you pay taxes without giving you a chance to question or appeal the amount.
Require you to use a specific payment method for your taxes.
Ask for a credit or debit card number over the phone.
Threaten to bring in local law enforcement groups to have you arrested.
If you get a phone call from someone claiming to be from the IRS, hang up and call the IRS at (800) 829-1040. If you think the call was a fraud, report it to the inspector general at (800) 366-4484 or at www.tigta.gov. You can also file a complaint with the Federal Trade Commission at www.ftc.gov/ complaint. Add “IRS Telephone Scam” to the comments.
Here are other scams the IRS is warning about this tax season: Phishing: Scammers use fake IRS e-mails or websites that lure victims into providing personal and financial information that can be used to commit identity or financial theft. Again, the IRS does not send unsolicited e-mails. If you get one that looks like it is from the IRS or the Electronic Federal Tax Payment System, forward it to phishing@irs.gov. Unscrupulous return preparers: Beware of those who promise overly large refunds; they might be fraudsters out to steal your refund or identity. At a minimum, make sure the preparer has an IRS Preparer Tax Identification Number. For more tips on choosing a preparer, see http:// 1.usa.gov/1A0khrW.