A fake IRS scam that is making its way around the nation has already scammed people out of more than $1 million. This scam starts with a phone call and the person on the other end claims they are an IRS agent and they demand that you pay unpaid taxes, according to Fox News on March 24.
The Detroit Press reports on March 23 that one of the things that makes this IRS scam even more frightening is that the person calling knows the last four digits of your social security number in some cases. This has led many to fall for the scam after believing that the voice on the other end of the phone is from the IRS.
The caller demands payment by credit card. They offer other options if you don’t have a credit card like purchasing a Green Dot prepaid credit card or wiring money. The Treasury Inspector General for the Tax Administration reports that they are aware of the scam and that over $1 million has been paid to the scammers by unsuspecting victims.
This scam is the largest of this kind, reports the agency that provides the oversight of the IRS. J. Russell George, the Treasury Inspector General for Tax Administration reports:
“The increasing number of people receiving these unsolicited calls from individuals who fraudulently claim to represent the IRS is alarming.”
The IRS sends you a letter, they don’t call demanding money. They will also not demand that you use a credit card or other means for an immediate payment. The callers are using a very common name as their own. They also seem to target the elderly and people who may have last names that indicate that they may be from Pakistan or India. The caller may have a foreign accent.