It’s almost the new financial year, and unfortunately this is when tax scams are most prevalent. These scams often involve criminals impersonating the Australian Taxation Office (ATO) to attempt to steal your personal information or your money. Understanding the most common tax scam tactics could help protect you from these threats.

Types of tax scams:

  • Tax advice scams - Scammers pretend to be the ATO, offering help with tax or superannuation questions over social media to gain sensitive personal and financial information.
  • Tax refund scams - Criminals claiming to work for the ATO may contact you advising of an available tax refund and requesting your details and a 'processing fee' be paid to release the funds.

    Remember, before authorising anyone to represent you with the ATO, ensure you have confirmed that they are Approved and Licenced Tax Agents.

  • Tax owed scams - Scammers may claim you have tax debt and threaten arrest if immediate payment isn't received. They use pressure to get you to act without thinking and may request payment in unusual or untraceable forms, such as crypto, gift cards, or cash.
  • TFN and ABN scams - Fraudsters create fake websites to set up your TFN or ABN for a fee. Instead of providing you this service, they steal your sensitive information and your money.

    Remember, it's free and easy to apply for a TFN on the ATO website or an ABN through the Australian Business Register (ABR). If you require assistance, reach out to your tax agent or accountant, not an unverified third party.

What to look out for:

  • Urgency tactics - Scammers pressure you to act without thinking. Take a moment to pause and review the information carefully before responding.
  • Unsolicited and unusual contact - Many of these scams begin with unsolicited communication. Remember, the ATO will never send you links, QR codes, or attachments via email, text message or social media. Legitimate messages from the ATO will be delivered to your secure myGov inbox.
  • Requests for personal or financial information - Protect your sensitive information, including your login details, passwords, pins and TFN. Never share your myGov login details with anyone, including your registered tax agent.

If something doesn’t feel right, stop and check before you respond. Verify the request by contacting the ATO or your registered tax agent directly using trusted details, not the ones provided in a message. A moment of caution may help prevent a costly scam.

 

Source: Verify or report an ATO scam | Australian Taxation Office

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