Watchdog warns on IRS phone scam

A federal watchdog warned taxpayers on Wednesday to look out for scammers seeking them out over the phone.

{mosads}Russell George, Treasury’s inspector general for tax administration, said that taxpayers had reached out to his office more than a quarter million times in the last 15 months to report fraudsters who had faked being from the IRS.

“This scam, which is international in nature, has proven to be the largest scam of its kind that we have ever seen. The callers are aggressive, they are relentless, and they are ruthless,” George said. “Once they have your attention, they will say anything to con you out of your hard-earned cash.”

Top IRS officials, including Commissioner John Koskinen, have also worked to get the word out about the over-the-phone fraud, which has increased significantly in recent years. 

George said Wednesday that his office knew of almost 3,000 victims who had been swindled out of more than $14 million. In the scam, fraudsters generally threaten people with arrest or even worse unless they pay off a debt with a debit card or wire transfer.

His message came the day after the IRS opened its new tax filing season. The IRS has tried to warn taxpayers that it generally contacts them first via mail, and wouldn’t ask for a credit card payment over the phone.