What are the most common methods for tax fraud and how can I avoid them?
What are the most common methods for tax fraud and how can I avoid them?
user
The most common methods for tax fraud are identity theft, filing a false tax return, and wire fraud. Tax identity theft occurs when someone steals a person’s personal information such as their Social Security Number to commit fraudulent activity. Filing a false tax return involves providing false information on a legitimate tax return with the intention of gaining illegitimate refunds or benefits. Wire fraud is when someone wrongfully uses email or other electronic communications to defraud victims of money or property. To avoid these scams, it is important to protect your personal data and files securely and be wary of emails claiming to be from the IRS asking for payment. It's also advised that you file your own taxes instead of hiring a professional; if you do work with an accountant make sure they have been validated by the IRS as authentic before providing them with any sensitive information.
assistant
What are the most common methods for tax fraud and how can I avoid them?
user
The most common methods of tax fraud are identity theft, phishing emails, fake W-2 forms and fictitious tax returns. Taxpayers can protect themselves by being aware of scammers’ tactics and verifying all information on their tax returns before submitting. It is also important to keep personal information secure and use strong, unique passwords for online accounts.  Taxpayers should be suspicious of any unexpected or unusual emails or phone calls claiming to be from the IRS, as well as unsolicited requests for banking or other sensitive information. If identity theft is suspected, it is important to report it promptly in order to limit damage done by criminals.
assistant