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Tax Time Traps: How to Spot IRS & Refund Scams

03/02/2026

Tax Time Traps: How to Spot IRS & Refund Scams

Tax season is stressful enough without worrying about scams. Unfortunately, fraudsters know this and take advantage of the confusion and urgency that often comes with filing taxes. Every year, scammers impersonate the IRS, tax professionals, and even financial institutions to steal money and personal information. 

Tax scams are impacting residents across York County, Greenville, and the greater Charlotte area. Knowing what to watch for can help you avoid costly mistakes and protect your financial well-being.

Common Tax Season Scams 

Tax related scams often begin with an unexpected message or phone call. These scams may: 

  • Claim you owe back taxes or penalties 

  • Say your refund is delayed or at risk 

  • Threaten arrest, legal action, or frozen accounts 

  • Ask you to confirm personal or financial information 

These messages are designed to create fear and urgency, so you act before verifying. 

How the IRS Actually Communicates 

It is important to understand how legitimate tax agencies operate. 

The IRS: 

  • Does not call to demand immediate payment 

  • Does not threaten arrest or law enforcement action 

  • Does not request payment by gift cards, wire transfers, or payment apps 

  • Does not ask for personal information by text or email 

Most official IRS communication begins by mail, not by phone or text. 

Red Flags That Signal a Scam 

Be cautious if you receive a message that: 

  • Pressures you to act immediately 

  • Asks for secrecy or tells you not to contact anyone else 

  • Requests sensitive information or payment in unusual ways 

  • Comes from an unfamiliar phone number or email address 

Legitimate organizations, including Family Trust Federal Credit Union, do not operate this way.

What to Do If You Receive a Suspicious Message 

If you receive a call, email, or text claiming to be from the IRS: 

  1. Do not respond, click links, or send money 

  1. Hang up or delete the message 

  1. Contact a trusted tax professional or your credit union directly 

Taking a moment to verify can prevent fraud before it happens. 

Help Protect Yourself and Your Family 

Tax scams affect people of all ages, but seniors are often targeted because scammers believe they will respond quickly to authority. Talking with family members about common scams and having a plan in place can make a big difference. 

If something feels off, trust your instincts and ask for help. Your credit union is here to support you and help protect your financial well-being during tax season and throughout the year. 

Family Trust is committed to helping protect families throughout York County and Greenville, South Carolina. Staying informed and sharing scam awareness tips with loved ones can make a significant difference.

A Reminder from Family Trust:  

If you suspect fraud, do not wait. Contact Family Trust as soon as possible so we can help protect your account and guide you through next steps. You should also report the incident to local authorities or the appropriate agency. 

Want to learn more about how you can protect yourself from fraud?
Visit our Fraud Education Page