Michael Newman’s latest ‘e-Wealth Daily’ article is titled “As Tax Season Approaches, Beware Fraud”. [‘e-Wealth Daily’ Article]


Michael Newman’s latest ‘e-Wealth Daily’ article:

As Tax Season Approaches, Beware Fraud

As tax season approaches for all of us, scam season approaches as well. Be careful this tax season, as scammers may try to steal your hard-earned money. Today, I’ll cover some popular scams and, on Wednesday, I’ll write about how you can defend yourself.

The most popular of these new scams comes at you through the telephone wires. Victims receive a phone call from a person claiming to be a representative of the IRS, and that you, the taxpayer, have failed to cash a rebate check. They will then inform you that they must run a check on your bank history and they will rectify the situation using direct deposit.

It’s likely they will tell you your rebate was lost in the mail and that they will deposit the correct amount in your bank account using direct deposit, asking you to supply them with all of your banking information. If this happens, you need to know that it is a scam. The IRS never uses direct deposit and would never acquire such information over the phone.

A similar scam involves being called up and asked for your bank account information, while being told that your rebate will be issued through direct deposit. They’ll say that, because of new tax initiatives, they’re trying to get people their rebates as quickly as possible. Do not, under any circumstances, supply your banking information; you’ll be giving the criminal on the other end total access to everything in your bank account.

The next scam, brought about by the announcement of an economic stimulus package, has seen victims receive e-mail notifications that claim to be from the IRS. Now, don’t be fooled; they probably look like they’re safe with a seemingly official address, but they aren’t.

These e-mails will ask you to enter all your personal and banking information, saying it is required in order for you to receive your tax rebate. If you fill it out, the moment you click “send,” you’ll be disclosing all your personal and banking information, making you a likely victim of robbery and identity theft. If you receive one of these e-mails, know this: the IRS will never ask you for that kind of information online. If you think it looks authentic and are convinced that perhaps the IRS has changed their policies, then visit the IRS web site at www.irs.gov, call to inquire at (800) 829-1040, or locate your local IRS office.

Another scam going around is also being carried out electronically. It involves the victim receiving notification that their tax return is up for an audit, and they are consequently asked to follow the supplied links to complete the appropriate forms. Well, if you decide to follow the links and complete the forms, you’ll notice that the forms are asking for personal banking and account information. This is a dead giveaway that you’re dealing with a scam and you should exit the page as soon as possible. Once again, the IRS will not ask for this information — especially in an e-mail — so don’t play around with it even if you think it looks legit.

Individuals aren’t the only people out there who are at risk of being taken advantage of by scam artists, as businesses and accountants have also been coming under fire. Much like the e-mails listed above, accountants and other businesses have been receiving e-mails containing instructions to download new information regarding changes in tax laws. By clicking these links, you run the risk of downloading malware (software designed to infiltrate a computer system without the knowledge or consent of the owner) that gives the scammer access to your computer’s hard drive and all the information held in it.

e-Wealth Daily

About e-Wealth Daily

The e-Wealth Daily Bulletin brings you daily tips, advice and breaking news related to home businesses, small businesses and internet marketing. Our team of experts gives you the information you need to take your business pursuits to the most profitable level. Founded by Adrian Newman in 2003, the e-Wealth Daily Bulletin and www.ewealthdaily.com are a division of Lombardi Publishing with online newsletters reaching over 100,000 subscribers each month.

* IMNewsWatch would like to thank e-Wealth Daily for granting permission to reprint this article.

Sharing is caring