IRS Warns of Tax Scams as Private Debt Collection Begins

The recent announcement by the IRS that it would turn the accounts of a small number of delinquent taxpayers over to private debt collection companies has spurned a rash of scam artists posing as IRS-hired collectors. According to the IRS, scammers using the phone, email and Web sites attempt to impersonate IRS agents or private debt collectors hired by the IRS in order to trick taxpayers into divulging personal or financial information, or even giving up cash.

In a press release, the IRS advises that all taxpayers actually involved in the private debt collection program will be contacted by the IRS via regular mail before they are contacted -- again via regular mail -- by the collection agency. Initial contact by the collection agency will always be by mail, never be by telephone, email or the Internet. In addition, the IRS warns that when paying the collection agency, taxpayers should make their checks out only to the U.S. Treasury -- never to an individual or company. The collection agency will provide the appropriate IRS coupon and mailing address for the payment, and the collection agencies will never ask for cash or checks written to individuals.

The IRS advises all taxpayers to keep in mind that they never asks people for the PIN numbers, passwords or similar secret access information for their credit card, bank or other financial accounts. Taxpayers who are in doubt should call the IRS at 800-829-1040 for more information.

Also See:
Recognizing Email Identity Theft Scams
Protect Yourself from Identity Theft
Tax Evasion Scams