IRS Alerts Taxpayers and Preparers to Rampant Fraud Schemes in 2025 Filing Season

May 8, 2025 | Washington, D.C. — The Internal Revenue Service today issued Tax Tip 2025-30, urging taxpayers and tax professionals to stay vigilant against a wave of sophisticated scams aimed at stealing refunds, credentials, and client data.

Social Media Misinformation

Fraudsters are spreading inaccurate guidance on platforms like Facebook and Twitter, encouraging filers to inflate claims for refundable credits—particularly the Employee Retention Credit and Fuel Tax Credit. Posts touting a non-existent “Self-Employment Tax Credit” promise up to $32,000 for gig workers, but in reality the only relevant relief is the technical Credits for Sick Leave and Family Leave, for which most do not qualify.

Fake “Account Setup” Offers

Beware of third-party schemes offering to establish your IRS Online Account at IRS.gov. These scammers pose as helpful intermediaries, but their real goal is to harvest Social Security numbers, bank details, and more. Always navigate directly to IRS.gov when managing your account.

Phishing and Spearphishing Campaigns

Unsolicited emails, texts, and social media messages may impersonate the IRS or related agencies to trick recipients into divulging login credentials or financial data. Tax professionals face an elevated risk: targeted “spearphishing” can result in wholesale client-data breaches and fraudulent returns filed in your name.

Ghost Preparers and Unscrupulous Tax Professionals

Most return preparers adhere to the law, but “ghost” preparers—who refuse to sign returns or withhold their Preparer Tax Identification Number—are a major red flag. Likewise, preparers charging fees based solely on refund size may be cutting corners. Never sign a blank or incomplete return.

“Offer in Compromise” Mills

While the Offer in Compromise program helps eligible taxpayers settle liabilities, some promoters aggressively market “mills” to unqualified filers, charging thousands of dollars for futile applications. Taxpayers can assess eligibility for free with the IRS Offer in Compromise Pre-Qualifier tool.

Stay Protected

• Always verify tax-related advice against official IRS resources at IRS.gov.
• Report scam attempts to the Treasury Inspector General for Tax Administration (TIGTA) at TIGTA.gov.
• Consult the Taxpayer Advocate Service at taxpayeradvocate.irs.gov if you believe you’ve been targeted.

For more tips on spotting fraud and securing your tax data, visit the IRS Tax Scams and Consumer Alerts page.