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Common Tax Scams and How to Avoid Them

Form 1040 with a blue ballpoint pen resting on it, close-up of the pen tip and bold "1040" text on the tax paper.
Published On
15 April 2026
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Tax season is prime time for scammers. As deadlines approach, bad actors take
advantage of stressed and rushed taxpayers. Below are the most common tax scams
victims face every tax season.

Ghost Preparers

These are individuals who:

  • Prepare your return
  • Refuse to sign it
  • Disappear after filing

👉 Always ensure your preparer signs your return. It’s required by law.

Phishing Scams

Scammers impersonate the IRS and the California Franchise Tax Board (FTB) via:

  • Emails
  • Text messages
  • Fake websites

The IRS and FTB will never initiate contact this way.

Fake Refund Promises

Some scammers promise inflated refunds to lure clients. They may:

  • Fabricate deductions
  • File false claims

This can result in penalties for YOU.

Social Media Scams

Trending schemes often involve:

  • “Secret tax credits”
  • DIY refund hacks

These are often inaccurate or fraudulent. Hear more about social media scams from the
IRS on the Taxpayer Beware podcast.

Identity Theft

Scammers may file a return using your Social Security number to claim your refund. It is
also wise to ask the preparer about their privacy policies.

How to Protect Yourself:

  • Work with a registered or licensed, reputable preparer
  • Never share personal info via email or text
  • Verify credentials before hiring
  • File early to reduce fraud risk

In California, only attorneys, CPAs, CTEC-registered tax preparers (CRTPs) or IRS
enrolled agents (EAs) can prepare taxes for compensation.

Remember: Staying informed is your best d

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