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IRS Warns of New Scams Aimed at Tax Professionals

By:
Ruth Singleton
Published Date:
Feb 18, 2022

iStock-614154064 Phishing Fish Hook Scam Fraud Identity Theft

The IRS has issued a warning about new email phishing scams that seek to steal tax software preparation credentials. Tax professionals are the prime targets, as the scammers seek to steal their identities and obtain client data in order to file fraudulent tax returns for refunds.

The latest email scams use the IRS logo and several subject lines, such as, "Action Required: Your account has now been put on hold." Another variation offers an "unusual activity report" and a solution link for the recipient to restore the account. Yet another claims to be from a "tax preparation application provider."

"Scams continue to evolve, and this one is especially sinister since it threatens tax professional's accounts," said IRS Commissioner Chuck Rettig. "Tax professionals must remain vigilant in identifying and staying clear of these IRS impersonation emails. A little extra care can protect the tax professionals and their clients."

Another variety of scam emails purports to be from tax software providers. The emails will ask recipients to click on a website that shows the logos of several popular tax software preparation providers. After the recipients, do so, they are asked to provide their tax preparer account credentials. The IRS warns tax professionals not to respond or take any of the steps outlined in the email. Similar emails include malicious links or attachments that are set up to steal information or to download malware onto the tax professional's computer. If recipients enter their credentials into the pop-up window, thieves can use this information to file fraudulent returns using their credentials

A typical scam email will appear as follows:

***

Your account has now been put on hold

ALL preparers are required to apply security feature to their Tax Pro account towards 2021 Tax Returns processing.

You have failed to apply new update before expiry date

You are restore and update your account immediately.

Please Click Here to update your account now.

Important

Failure to update your account within the next 24 hours will lead to you account being terminated and be barred from filing tax returns claims for 2021 tax season Your access will be restored once you have updated your details.

Sincerely,

IRS.gov eServices

***

The IRS advised that any tax professionals who clicked on one of the URLs and entered  their account information should contact their tax software preparation provider's support hotline.

In addition, tax professionals who receive a scam email should save the email as a file and then send it as an attachment to phishing@irs.gov. They should also notify the Treasury Inspector General for Tax Administration at www.tigta.gov to report the IRS impersonation scam. Both TIGTA and the IRS Criminal Investigation division are aware of this scam.

For additional information and help, tax professionals should review Publication 4557, Safeguarding Taxpayer Data PDF and Identity Theft Information for Tax Professionals.

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