If you receive a phone call from someone claiming to be an IRS tax collector, you have a right to be suspicious. Since 2013, con artists have stolen tens of millions of dollars from innocent people by claiming to be collecting back taxes. The Treasury Inspector General for Tax Administration has received nearly 900,000 complaints regarding phone scams of this type.

The IRS does use private collectors to gather back taxes owed to them. But this form of fraud is so common that you are safer assuming a caller is not legitimate, particularly if they ask you to make a wire transfer or use a prepaid debit card immediately to avoid penalties.

One hallmark of this tax scam is the aggressive and threatening nature of the calls. Scam artists need to get your money quickly—and without an obvious trail—to avoid landing in jail. They may threaten to have you arrested or deported. They may threaten to seize your bank accounts or repossess your vehicle. They may threaten to have your driver’s license revoked. In short, they will threaten you with anything to get your money. Continue reading →