IRS watchdog warns of ‘largest scam of its kind’ with agency impersonators

By Josh Hicks, WashPost, Updated: March 20 at 4:32 pm

The Internal Revenue Service watchdog on Thursday warned taxpayers of a sophisticated nationwide phone scheme that has become “the largest scam of its kind that we have ever seen.”

The plot involves callers claiming to represent the IRS and demanding immediate payments with a pre-paid debit card or wire transfer.

Treasury Inspector General for Tax Administration Russell George announced that “thousands of victims” have already paid more than $1 million to fraudsters and that his agency has received more than 20,000 reports of contact.

The callers have used roughly the same scripts to bilk money from taxpayers, suggesting they may be connected, TIGTA officials said in an interview with reporters.

Officials also said the perpetrators often know the last four digits of the victims’ Social Security numbers and threaten arrest, deportation and removal of driver’s licenses — something the IRS is not authorized to do.

(More here.)