Tax Season and Scams: What Every Taxpayer Should Know
March 18, 2026
Tax season can already feel overwhelming. Between gathering documents, meeting deadlines, and thinking about refunds or tax bills, it’s easy to feel rushed. Unfortunately, scammers know this—and they often take advantage of the stress that comes with filing taxes.
Every year, fraud attempts increase during tax season. The good news is that most of these scams follow familiar patterns. Once you understand how they work, they become much easier to recognize and avoid.
The IRS Will Not Contact You by Text or Email
One of the most important things to remember is that the Internal Revenue Service does not initiate contact with taxpayers through text messages, emails, or social media.
If the IRS needs to reach you, the first contact is almost always a letter sent through the mail.
Scammers often send messages claiming your refund has been delayed or that your account has been flagged for suspicious activity. These messages usually include urgent language such as:
● “Your refund has been placed on hold”
● “Unusual activity detected”
● “Immediate action required”
They also tend to include a link that encourages you to click quickly. If you receive a message like this, do not click the link. Delete the message and avoid responding.
Be Wary of Unusual Payment Demands
Tax scammers frequently rely on pressure and intimidation. They may claim you owe back taxes and threaten serious consequences if you don’t pay immediately.
A common warning sign is the type of payment they demand. Fraudsters often request payment through methods such as:
● Gift cards
● Cryptocurrency
● Wire transfers
The IRS does not demand immediate payment through these channels. If someone claiming to represent the IRS insists on payment using these methods, it is almost certainly a scam.
Watch for Fake Tax Preparers
Not all tax scams happen online. Some involve individuals posing as tax professionals.
One growing issue involves so-called “ghost preparers.” These individuals prepare tax returns but refuse to sign the return or include their Preparer Tax Identification Number (PTIN), which legitimate tax professionals are required to provide.
A reputable preparer will always:
● Sign the return they prepare
● Include their PTIN
● Provide a copy of your completed return
Be cautious of anyone who charges a fee based on the size of your refund or refuses to put their name on the filing.
Another situation to approach carefully is when companies promise to settle tax debt for “pennies on the dollar.” While legitimate programs do exist through the IRS, many aggressive firms charge large fees for services that may not apply to your situation.
Be Careful With Tax Advice on Social Media
Social media platforms have become an unexpected source of tax misinformation. Short videos and posts sometimes promote questionable strategies or claim to reveal “hidden” tax credits.
In many cases, these claims are inaccurate—or worse, encourage people to submit incorrect information on their tax returns.
If you follow questionable advice and file an inaccurate return, you—not the influencer—are responsible for the consequences. The IRS actively reviews suspicious filings and may impose penalties for false claims.
Filing Early Can Reduce Risk
One practical way to protect yourself is to file your tax return early.
Identity thieves sometimes attempt to file fraudulent returns using stolen personal information. By filing before they do, you reduce the chance that someone can claim a refund in your name.
You may also want to consider creating an online account with the IRS, which allows you to monitor your tax records and view notices associated with your account.
For additional protection, the IRS offers an Identity Protection PIN (IP PIN). This six-digit code is known only to you and the IRS and must be included when filing your tax return, preventing unauthorized filings under your Social Security number.
When in Doubt, Verify Directly
If you receive a suspicious message claiming to be from the IRS, avoid calling the number provided or clicking any included links.
Instead, go directly to the official IRS website or contact the agency using verified information.
Tax season only lasts a few months, but the consequences of fraud can linger much longer. Taking a few extra moments to verify unexpected communications can help protect your identity, your refund, and your financial security.
Sources:
Kropp, Devin. “HackTalk: Tax Season Is Also Tax Scam Season.” Horsesmouth, 16 Mar. 2026, https://www.horsesmouth.com/dont-let-scammers-cash-in-on-your-tax-return.
Disclosure:
This information is an overview and should not be considered as specific guidance or recommendations for any individual or business.
This material is provided as a courtesy and for educational purposes only.
These are the views of the author, not the named Representative or Advisory Services Network, LLC, and should not be construed as investment advice. Neither the named Representative nor Advisory Services Network, LLC gives tax or legal advice. All information is believed to be from reliable sources; however, we make no representation as to its completeness or accuracy. Please consult your Financial Advisor for further information.