LOUISVILLE, Ky. — The IRS has issued a warning to taxpayers in Kentucky and Indiana about COVID-19 scams related to the second round of stimulus checks.
In the last several months, the IRS’s Criminal Investigation Division (IRS-CI) has seen a variety of Economic Impact Payment (EIP) scams and other financial schemes designed to steal money and personal information from taxpayers.
IRS-CI said it is investigating hundreds of COVID-19-related cases with law enforcement agencies domestically and abroad. They are also using this as an opportunity to educate taxpayers about scams.
These are some common COVID-19 scams:
- Text messages asking taxpayers to disclose bank account information to receive the $1,200 EIP.
- Phishing schemes using email, letters, and social media messages with keywords such as “Coronavirus,” “COVID-19,” and “stimulus”. These communications are sent to a lot of people and aim to access personally-identifying information and financial account information (including account numbers and passwords).
- The organized and unofficial sale of fake at-home COVID-19 test kits (as well as offers to sell fake cures, vaccines, pills, and professional medical advice regarding unproven COVID-19 treatments).
- Fake donation requests for individuals, groups, and areas heavily affected by the disease.
- Opportunities to invest in companies developing COVID-19 vaccines while promising that the “company” will dramatically increase in value as a result.
Tips to avoid being scammed
The IRS is a government agency and there are numerous things they don't do that should immediately set off your inner alarm.
- The IRS does not send unsolicited texts or emails.
- The IRS does not call people with threats of jail or lawsuits.
- The IRS does not demand tax payments on gift cards.
If the caller or person who contacts you doesn't pass your smell test, don't reply to them. You should report it immediately to the IRS.
How to report a possible scam
COVID-19 scams should be reported to the National Center for Disaster Fraud (NCDF) Hotline at 1-866-720-5721 or submitted through the NCDF Web Complaint Form.
Taxpayers who receive unsolicited emails or social media attempts to gather information that appear to be from either the IRS or an organization closely linked to the IRS, should forward the message to phishing@irs.gov.
Taxpayers can also report fraud or theft of their Economic Impact Payments to the Treasury Inspector General for Tax Administration (TIGTA).
Reports can be made online at TIPS.TIGTA.GOV.
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