Tax Scams Are On the Rise. Here’s What to Know

March 21, 2026

Tax-related scams involving robocalls, texts, and phishing emails have significantly increased this tax season, with artificial intelligence making fraudulent attempts more sophisticated and numerous, according to the Federal Trade Commission's consumer protection bureau. Scammers frequently impersonate the IRS through various communication channels, using alarming language and fake links to steal personal information or install malware on victims' devices. Identity theft remains particularly common, with criminals using stolen social security numbers to file fraudulent tax returns before legitimate taxpayers can submit their own.

Who is affected

Taxpayers across all age groups (with younger people more frequently scammed but older individuals losing more money)
Over 600 victims of social media impersonation during fiscal year 2025
Identity theft victims who discover someone has already filed tax returns using their social security number
People whose personal information may be used to open bank accounts, credit cards, or file for unemployment

What action is being taken

The IRS is releasing its annual "Dirty Dozen" list of tax scams
The Federal Trade Commission's consumer protection bureau is tracking and reporting on increased scam activity
The Identity Theft Resource Center is tracking increases in scams and identity theft attempts
Consumer advocates and government officials are urging the public to stay wary and avoid engaging with suspicious communications

Why it matters

This matters because AI technology is enabling scammers to create more sophisticated and voluminous fraud attempts, making it increasingly difficult for consumers to distinguish legitimate communications from scams. The consequences extend beyond financial losses from fraudulent tax refunds to include potential identity theft that can affect victims' bank accounts, credit cards, and other financial services. The relentless nature of these attacks, combined with their growing sophistication, poses a significant threat to taxpayers' personal information and financial security during tax season.

What's next

Victims should report identity theft to the IRS directly
Victims should visit IdentityTheft.gov to report theft and receive a personal recovery plan
Victims should monitor credit reports and freeze credit accounts to prevent misuse
Victims should consider seeking identity theft monitoring services (while carefully vetting providers)
Victims who have lost money may want to file reports with local police for potential future restitution

Read full article from source: The San Diego Voice & Viewpoint