Attorney General Bonta Warns Californians of Text-Based Scams Targeting Taxpayers

OAKLAND — California Attorney General Rob Bonta today alerted consumers of ongoing text-based scam activity targeting California taxpayers. Tax fraud scams are a part of a larger universe of government imposter scams, which occur when a person claims to be a government employee in order to obtain a victim’s personal information or for financial gain. These fraudulent texts claim to come from the State of California Franchise Tax Board (FTB) and ask consumers to provide personal information in order to receive their so-called tax refund. In today’s alert, Attorney General Bonta provides Californians with tips to avoid falling victim to tax fraud scams like this one and other government imposter scams. Taxpayers should be especially cautious with their tax, bank account, credit card, and other personal information. 

“Californians: Be on alert for texts from seemingly official government agencies that seem fishy — they might indeed be phishing scams designed to trick you out of your hard-earned money,” said Attorney General Rob Bonta. “Bad actors are getting more sophisticated and show little signs of slowing. I urge Californians to not click on links in texts asking consumers for personal information, visit only official websites, and talk to friends and family who may be unaware of these dangers."

“Sadly, FTB and other California agencies constantly battle bad actors attempting to steal your money. These scammers may impersonate tax agency representatives to steal your personal information," said State Controller and FTB Chair Malia M. Cohen. "If you ever have doubts about the authenticity of a text, email, or phone call claiming to be from FTB, IRS, or any other government agency, contact the agency directly to verify whether there’s an issue that requires your attention.” 

FTB advises Californians not to reply to suspicious text messages, download attachments, or click on links in texts or emails if they are unsure of their authenticity. Verify any suspicious messages by contacting the agency identified directly and visiting official pages only. View FTB’s text messaging page to verify when FTB texts and what information they send. For more information, please see here.

Text-Based Scams 

If you receive a suspicious or unsolicited text message claiming to be from FTB, do not respond or click on any links, as the text may be a phishing scam. Text messaging is particularly dangerous because consumers might hurriedly click on a link and begin entering a password, not realizing that the link is phony and their password is being recorded. These texts may ask for:

• Usernames
• Passwords
• Payment
• Credit and debit card numbers
• Banking information
• PINs
• Social security number  

Other Tax Fraud Scams

Tax-related scams take on various forms and show up every year, especially around tax season. The most common tax-related scams include: 

• Fake phone calls demanding money: Scammers will call you claiming that they are from the Internal Revenue Service (IRS) or the FTB and say that you owe them money. The scammer will harass you and use high-pressure tactics claiming that you will be arrested, deported, or will lose your driver’s license if you don’t pay right now. Sometimes the scammer will even know your Social Security number or fake the caller ID so that it looks like they are calling from the IRS or FTB. Scammers may offer to provide “documentation” or “evidence,” or use the name of a real government official. If a government agency calls you and asks for financial or personal information, hang up and go to the agency’s official website (which should be a .gov website) and call them directly. Government officials will not threaten you with arrest or legal action in exchange for immediate payment. They will not promise to increase your benefits or resolve an issue in exchange for a fee or transfer of funds to a protected account.
• Fake emails: Scammers will send out "phishing" emails that look like they are from the IRS or FTB and claim that you either owe money or are due a refund. They will include links to official-looking websites and ask for either money outright or personal information that will allow them to steal your identity.
• Stolen refunds: Identity thieves will use stolen personal information to file false tax returns in your name and steal your refunds. Scammers will usually file early in the tax season, before you get to it. You won’t learn about the theft until you try to file your taxes.  

Protect Yourself from Tax Fraud Scams

• Protect your personal information: Never provide personal information, such as your Social Security number or bank account information, to someone you do not know.
• Be wary of unsolicited communication: As a rule of thumb, real government officials will never ask for payment in the form of gift cards, prepaid debit cards, wire transfers, Internet currency, or by mailing cash.
• Hang up the phone! While in some cases the IRS or FTB may call a person who owes taxes, the agencies only do so after they have tried to contact you by mail. If you suspect a scam call, immediately hang up or do not respond. The longer you stay on the line, the more likely you are to fall victim to a scam.
• Use a strong password: When preparing your tax return for electronic filing, be sure to use a unique strong password for your online filing accounts. A strong password is eight or more characters, including letters, numbers, and symbols. Use a unique password for each of your tax filing accounts.
• Never sign a blank return: Do not use a tax preparer who asks you to sign a blank tax form.
• Talk to friends and family: Always seek a second opinion from your friends and family.

If you suspect you have been a victim of a tax-related scam, report the scam and any losses to the Internal Revenue Service and/or the California Franchise Tax Board. For more information and resources on tax fraud and other government imposter scams, visit our website at oag.ca.gov/consumers/general/taxes.