Tax Refund 2025: A Warning on Scams and How to Protect Yourself
Tax season is here, and millions of Americans are expecting refunds. But along with the excitement comes a serious warning: tax scams are on the rise. Cybercriminals are using advanced tactics to trick taxpayers into revealing personal and financial information. If you’re not careful, you could lose your refund—or worse, become a victim of identity theft.
In this article, we’ll break down the most common tax scams in 2025, how they work, and how you can protect yourself.
Tax Scams Are Growing: The Shocking Numbers
Tax scams are nothing new, but they are getting more sophisticated. According to the IRS, Americans lost $5.5 billion to tax fraud in 2023. And already in 2025, cybersecurity experts have reported a 77% increase in tax-related phishing attempts.
With the rise of AI-generated scams, it’s becoming harder to spot fake emails, texts, and websites. Scammers are making near-perfect copies of official IRS pages and using fake caller IDs to impersonate tax officials.
If you’re expecting a refund, it’s important to stay alert. Let’s take a look at the most common scams and how to avoid them.
Common Tax Scams in 2025
1. Recovery Rebate Credit Scam
One of the biggest scams this year involves the Recovery Rebate Credit (Economic Impact Payment). Scammers pretend to be the IRS and claim you need to provide personal information to get your refund.
Red Flag: The IRS has confirmed that eligible taxpayers do not need to take action. Refunds will be automatically deposited or sent by check.
2. Fake IRS Phone Calls
Scammers impersonate IRS agents and demand immediate payment for fake debts. They may threaten arrests, lawsuits, or even deportation if you don’t comply.
Red Flag: The IRS never calls you first. If you receive a threatening call, hang up and report it to the IRS fraud hotline.
3. Phishing Emails and Text Messages
Scammers send fake emails and texts that appear to be from the IRS. These messages contain links to bogus websites that steal your personal data.
Red Flag: The IRS does not contact taxpayers via email, text, or social media. Do not click on suspicious links.
4. Fake Tax Preparer Scam
Some scammers pose as professional tax preparers and promise bigger refunds. They collect your personal data and either steal your refund or use your information for identity theft.
Red Flag: Always verify your tax preparer’s Preparer Tax Identification Number (PTIN) on the IRS website before hiring them.
5. Fake E-Filing Websites
Cybercriminals are creating fraudulent e-filing websites that look like official IRS sites. When taxpayers enter their Social Security numbers and financial data, scammers steal the information.
Red Flag: Legitimate federal tax websites always end in “.gov”. Any website ending in “.com” or “.net” is suspicious.
How to Protect Yourself from Tax Scams
File Early: The sooner you file your return, the less time scammers have to file a fake return in your name.
Ignore Unsolicited Messages: If you receive an unexpected email, text, or call about your taxes, do not respond.
Verify Your Tax Preparer: Check their credentials on IRS.gov and ask for their PTIN number.
Use Official IRS Channels: Only visit IRS.gov for tax-related information.
Report Scams: If you get a suspicious message, forward it to phishing@irs.gov or call the IRS fraud hotline.
What to Do If You’ve Been Scammed
If you suspect you’ve fallen for a tax scam, act fast:
Report identity theft at IdentityTheft.gov.
Contact the IRS at 1-800-829-1040 to alert them.
Place a fraud alert on your credit report at Experian, Equifax, or TransUnion.
Monitor your bank accounts for suspicious transactions.
Final Thoughts
Tax season is stressful enough without the added risk of scams. By staying informed and cautious, you can protect your personal information and refund.
RedBird Technology Solutions is committed to keeping you safe from cyber threats. If you need expert IT security services, contact us today.
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