This story originally appeared on ValueWalk
Years 2020 and 2021 (so far) have been unforgettable years for many, both emotionally and financially. For scammers also it has been an unforgettable year, but in another way. Even though business was down, the distribution of coronavirus stimulus checks gave fraudsters plenty of opportunities to carry out scams.Coronavirus Stimulus Checks Related Scams on the Rise
The IRS, on Tuesday, came up with its 2021 “Dirty Dozen” warning list of tax scams. This list includes several scams related to stimulus payment thefts.The agency, however, warned that it continues to see the threat of scammers duping users of their personal information to steal Economic Impact Payments.
Apart from stealing Economic Impact Payments, another pandemic-related scam that many fell for was related to unemployment. Scammers filled out fraudulent claims for unemployment benefits using stolen personal information of people who had not filed the claims.
Tips To Identify Scams
The IRS has also come up with tips to help users identify or watch out for scams.The IP PIN is a six-digit code that is known only to the IRS and taxpayers. Thus, it prevents scammers from filing fraudulent tax returns using the taxpayer’s personal information. If an electronic return doesn’t have the correct IP PIN, it will be rejected. The paper returns, on the other hand, will go through “additional scrutiny for fraud,” the IRS says.