Tax scams where someone files a fake return for you and puts money on your bank account
Yes, you read that right.
This is the new type of scam going around, and the later you file your taxes, the higher the chances of you being targeted with a “refund” scam.
What happens in this scenario?
Sometimes, scammers also use automated calls claiming to be the IRS where they threaten victims that their SSN will be blacklisted if they don’t call back a specific number they provide in the message.
Once again, the unaware consumer goes through a series of harassment and losses because of bogus returns filed by scammers.
What should I do if I receive an erroneous refund?
Unfortunately, this scam is even worse than the previous one because scammers have gone through great lengths to file a bogus return on your behalf. The money does need to be refunded, but directly to the IRS.
If your refund was a direct deposit:
If your refund was a check:
More details on how to return an erroneous refund here.
Even though you are the victim, you may accrue interest charges on the refund so make sure you call the IRS to notify them of your situation.
IRS may be able to waive your interest due to reasonable cause or first time penalty abatement.
Final words of advice:
As much doom and gloom this is, being aware and spreading the word to your friends and families will greatly help reduce such scams.
Solutions like Harvest Platform can help with staying on top of what’s happening with your bank accounts. The best remedy, however, is to stay alert and spread the word.
Please share the article so that more consumers can stay vigilant. #staywoke
Disclaimer: We are not tax experts and the information provided is purely for educational purposes. For tax advice, visit a licensed tax professional with good IT security. Our mission is to simply alert consumers about predatory practices.