Tax man or tax scam?

November 19, 2014 by Dave Du Val, EA
identity theft

Hey Dave,

I received a phone call from IRS telling me that I owe them $2,500. They said they sent me a letter in January of 2014 that I signed for telling me the errors, and since I did not respond to it they are suing me for the money. I never received a letter, nor did I ever sign for one. They said I need to pay them $850 for the next 3 months, and I need to come to the IRS office to straighten this out. They will not tell me what the errors are, nor will they tell me what the letter said, only that I need to come to their office and pay them the money. They will not send me a copy of the letter either. This is for taxes 2009, 2010, 2011 and 2012. They said I need to get them a pre-paid visa card for $500 and then call them back to schedule an appointment to come to the office to pay. They will then schedule a payment arrangement of $200 for the next 10 months after I pay them the $500. Is this the way to handle this and what do I do?

Patricia

 

Patricia,

This is likely to be one of the telephone scams that the IRS has been warning us about for several months. Unfortunately, these are very common. Most importantly, reveal no personal information to anyone who calls you, such as your Social Security number, etc. We suggest first that you call the IRS and ask them to verify your account information for the years in question. Alternatively, you can go to the IRS website and download your own account transcripts in order to find out if owe them anything or not. The IRS telephone number is 800-829-1040. To obtain account transcripts go to here.

If it turns out you do not owe the IRS anything, we suggest you follow the steps outlined in this identity protection information. If you feel your social security number was compromised you may wish to contact your financial institutions and your local authorities. If you do owe the IRS money, make arrangements to pay your bill by contacting them directly at the number I’ve provided and have no further communication with the individuals who have been contacting you by phone.

Deductibly yours,

Dave

Tags: IRS, tax scams

SEARCH

 

David E. Du Val, EA
Chief Compliance Officer for TRI Holdco

 

Dave Du Val, EA, is Chief Compliance Officer for TRI Holdco. Inc., the parent company of TaxAudit, and Centenal Tax Group. A nationally recognized speaker and educator, Dave is well known for his high energy and dynamic presentation style. He is a frequent and popular guest speaker for the California Society of Tax Consultants, the California Society of Enrolled Agents and the National Association of Tax Professionals. Dave frequently contributes tax tips and information to news publications, including US News and World Report, USA Today, and CPA Practice Advisor. Dave is an Enrolled Agent who has prepared thousands of returns during his career and has trained and mentored hundreds of tax professionals. He is a member of the National Association of Tax Professionals, the National Association of Enrolled Agents and the California Society of Enrolled Agents. Dave also holds a Master of Arts in Education and has been educating people since 1972. 


 

Recent Articles

Person looking at an empty wallet with debt paperwork in background on the desk
Currently Not Collectible (CNC) is when the IRS determines that you are financially unable to pay the tax debt that you owe, so they put your debt on hold.
NonRefundable Tax Credit
A nonrefundable tax credit lowers your tax liability but not below zero. Therefore, a nonrefundable tax credit cannot be used to create a tax refund.
Beneficial Owner
What is beneficial ownership information reporting? If you aren’t certain whether it applies to you, this blog may help clarify the reporting requirement.
Eraser on chalkboard erasing the word Debt
Whether you can settle your tax debt through an offer in compromise will depend on what the IRS deems is your collection potential, or ability to pay.
This blog does not provide legal, financial, accounting, or tax advice. The content on this blog is “as is” and carries no warranties. TaxAudit does not warrant or guarantee the accuracy, reliability, and completeness of the content of this blog. Content may become out of date as tax laws change. TaxAudit may, but has no obligation to monitor or respond to comments.