Scammers posing as IRS agents extort $5 million
Callers posing as Internal Revenue Service (IRS) agents have stolen $80,000 from Arizona residents since January in a nationwide scam that continues to grow both in volume and in threat.
Federal authorities said Wednesday that as many as 1,100 people across the country have lost $5 million to con artists who tell people they will be arrested if they don’t immediately pay thousands of dollars in unpaid taxes.
In May, authorities described the extortion scheme as biggest scam of its kind. The callers rely on fear to persuade people to purchase Green Dot MoneyPak cards and wire thousands of dollars to prearranged accounts.
IRS agents don’t ask for payments using prepaid debit cards or wire transfers. They also don’t ask for credit cards over the phone and do not make cold calls to taxpayers regarding problems.
The U.S. Department of Treasury’s Inspector General for Tax Administration investigates crimes involving the IRS. Matt Richards, assistant special agent in charge, on Wednesday refused to provide details of the investigation, which began in 2013.
Other countries, including Canada and the United Kingdom, have reported similar scams.
Federal authorities say there is one sure way for taxpayers to deal with the scam calls: Hang up.
Source: Usatoday
