IRS warns taxpayers of rise in email scams

Tuesday, July 12, 2011 10:47 PM

(Source: The State (Columbia, S.C.))trackingBy Kristy Eppley Rupon, The State, Columbia, S.C.

July 12--The Internal Revenue Service is warning taxpayers to be on alert for scammers trying to persuade them to file false claims.

The tax agency issued the warning after seeing a recent rise in email phishing scams, it said. "Anybody with access to an email account could probably start one of these things," IRS spokesman Mark Hanson said.

The agency first started monitoring phishing schemes in the spring of 2008. In its first year, more than 17,000 taxpayers sent emails saying they had been targeted by scammers in 240 different schemes originating from 28 different countries.

Hanson did not have updated figures Monday, but he said the agency has had elevated reports of suspicious activity in recent weeks, especially in the South and Midwest. Scammers usually target lower income and elderly taxpayers.

Popular scams include:

--Fictitious claims for refunds or rebates based on excess or withheld Social Security benefits.

--Claims that Treasury Form 1080 can be used to transfer money from the Social Security Administration to the IRS, enabling a payout from the IRS.

--Unfamiliar for-profit tax services teaming up with local churches.

--Promises of refunds for "Low Income -- No Documents Tax Returns."

--Claims for the expired Economic Recovery Credit Program or Recovery Rebate Credit.

"There are numerous ways that these scam artists are trying to get people to compromise their personal information," Hanson said.

The scammers are targeting church congregations in particular, often leading to unsuspecting people spreading the word about the refunds to family and friends. Claims that are filed either are rejected or the refund barely exceeds the money paid to have the claim filed, the agency said.

Taxpayers who think they are the targets of scammers can call the IRS at (800) 829-1040 or visit irs.gov. "If it doesn't seem right, you do have a right as a taxpayer to contact the IRS," Hanson said.

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To see more of The State, or to subscribe to the newspaper, go to http://www.thestate.com.

Copyright (c) 2011, The State, Columbia, S.C.

Distributed by McClatchy-Tribune Information Services.

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