If you are a regular reader of this blog, you are aware of the many IRS impersonation scams that exist where a caller claims to be from the IRS and demands payment on a fake tax bill.
However, there is a lesser-known but equally effective scam called the lottery scam. Scammers first identify people who previously entered into sweepstakes, lotteries or other contests. The scammer then calls the victim to state that he or she has won a lottery or some other prize.
Before the “winnings” can be released to the victim, that person is instructed to pay a fake federal tax in order to receive the prize.
The Treasury Inspector General for Tax Administration recently broke up a lottery scam ring where from November of 2008 to September of 2013 the scammers received over $1 million from lottery scams from at least 66 victims.
Do you have unfiled tax returns or owe money to the IRS? Contact us, we can help. Call us before the IRS calls you!®