San Jose IRS Scams Attorney

Skilled Assistance with IRS Scams in the San Francisco Bay Area and Throughout California

Each year, the IRS releases its "dirty dozen" list of the most common tax scams. This list describes several scams fraudsters perpetrate on consumers, as well as some illegal methods taxpayers commonly use to get out of paying taxes. IRS scams are rampant and they become more sophisticated with each passing year. This is why it is important for consumers to be aware of these scams, what to do if contacted by a scammer, and how to avoid becoming a victim.

For over 30 years, John D. Teter Law Offices has helped taxpayers in San Jose and throughout the San Francisco Bay Area with even the most complex tax problems. Taxation law is one of our primary areas of focus and we have extensive experience handling a wide range of both federal and California state tax issues. We continually stay up-to-date on all the latest developments in the tax world, as well as the latest IRS scams of which consumers need to be informed.

Common IRS Tax Scams

The IRS has warned of numerous scams against consumers (and the IRS) in recent years. Some of the most common include:

• Identity Theft: It is surprisingly easy to obtain a consumer's Social Security number and other information needed to file a false tax return. This is done more and more frequently during tax season, with scammers directing refund money into their own bank account. The IRS is aware of this problem and is adding more resources to deal with it, but it is very important for consumers to protect their private information to prevent this from happening.
• Phone Scams: Scammers are very aggressive with their phone calls, often preying on vulnerable groups such as the elderly and recent immigrants. They call and demand payment of taxes owed, often with threats of imprisonment. Recently, phone scammers have begun using auto-dialers and recorded messages to widen the scope of their operation. Now, they call anybody and everybody, and they will demand payment under some type of false pretense if you call them back.
• Email/Phishing Scams: There has been a major surge in email and phishing scams, using numerous pretenses in an attempt to extract personal information and steal your money. Examples include requests to "update your E-file PIN information," fake tax bills, requests to update other types of personal information, and many others. Some variations of these scams have also been perpetrated via SMS text messages.
• Tax Preparer Fraud: While most tax return preparers are legitimate, there are some that set up shop during tax season each year with the intent to defraud consumers. Their goal is usually to steal the identity of victims and gain access to their bank accounts. They often make false and unrealistic claims, such as the ability to secure a much larger tax refund.

Other common IRS scams that have been on recent "dirty dozen" lists include:

• Falsely Posing as a Charity
• Falsely Claiming Tax Deductions
• Offshore Tax Avoidance
• Falsifying Income to Claim Credits
• Falsely Claiming Business Tax Credits
• Abusing Tax Shelters
• Advancing Frivolous Tax Arguments

How to Avoid Being an IRS Scam Victim

To keep from being victimized by IRS scammers, it is important to understand how the IRS interacts with taxpayers. For example, there are a number of things the IRS will NEVER do, such as:

• Initiate contact with a taxpayer via phone or email. Their first notice will always be in the form of a letter through traditional mail.
• Demand payment without first offering you the right to question the amount owed or file an appeal.
• Threaten to arrest a taxpayer for not paying his or her taxes.
• Force you to make payment using a specific method, such as a credit card, debit card, or EFT.

If you are contacted via phone or email with an IRS impersonator, do NOT engage them in any way. If you are contacted by phone, hang up immediately and report it to the IRS by calling their Impersonation Scam Reporting line at 1-800-366-4484. If you are contacted by email, do NOT return the email or click on any links or attachments. Simply forward the email to phishing@irs.gov.

Many people fall for IRS scams because they are not entirely sure whether or not they owe taxes. You can find out that information from the IRS by calling their main phone number at 1-800-829-1040. However, before speaking to the agency directly, it is best to consult with a tax professional to discuss your specific circumstances, options, and how to best approach the IRS. If you have any federal or California tax question from anywhere in the world, contact John D. Teter Law Offices at 408-866-1810 for an initial case consultation.