Preventing Fraud During Tax Season

As the deadline for tax filing this year is still two weeks away, the Office of the New York State Attorney General (AG), led by Jane Le Xia, has issued a recommendation to remind taxpayers to be vigilant against artificial intelligence (AI) technology scams during this period, ensuring the security of personal and financial information.

Scammers are increasingly utilizing sophisticated AI programs to create more deceptive scams during this tax season, stated Jane Le Xia in a press release.

The AG’s office listed scam tactics, including: (1) forging videos of government officials or celebrities providing false tax information, promoting fake tax benefits or deductions, or deceiving unsuspecting victims into handing over money or sensitive information.

(2) Tax-related phishing emails. AI technology allows attackers to send highly convincing personalized emails disguised as tax notices or tax services to steal users’ personal information.

(3) Phone cloning. Scammers can use AI to impersonate IRS officials or tax preparers, claiming to be personnel involved in the tax filing or refund process, and requesting money or sensitive information.

(4) False information in Google’s AI-generated overview. Scammers can manipulate Google’s AI-generated search results to display false phone numbers or links next to legitimate information.

(5) Other common scams: claiming you “owe taxes”; IRS “refund”; “free” tax filing services; assistance in obtaining “tax refunds,” etc.

Jane Le Xia suggests that upon receiving such calls, immediately hang up and call back a trusted number; carefully review any unexpected emails related to tax obligations or providing tax assistance to ensure their legitimacy; legitimate government agencies will never threaten arrest or deportation for unpaid debts, nor insist that consumers can only repay debts through prepaid credit cards, gift cards, wire transfers, or cryptocurrency.

Lastly, Jane Le Xia reminds New York residents who suspect they may be victims of fraud to report to the AG’s office at 1-800-771-7755; or report to the Treasury Inspector General for Tax Administration office at 1-800-366-4484.