Posts Tagged ‘Senator Susan Collins’

New development could cause scammers to capitalize on potential confusion

Senator Collins Cautions Consumers of IRS’s Use of Private Debt Collection Companies

PRESS RELEASE
April 14, 2017

Click image for more information

Washington, D.C. – U.S. Senator Susan Collins, the Chairman of the Senate Aging Committee, is cautioning consumers to be aware of the Internal Revenue Service’s (IRS) new policy of using private debt collection companies to collect unpaid taxes.

Under the new protocol, the IRS has authorized four private debt collection companies to collect unpaid taxes. They are CBE Group of Cedar Falls, IA; Conserve of Fairport, NY; Performant of Livermore, CA; and Pioneer of Horseheads, NY. Only one of these companies will contact you in the event you owe money to the IRS.
Here is what you need to know about this new development:

  • If you have an overdue balance on your account, the IRS will first send you a letter informing you that it is giving your information to one of the four companies listed above, providing the company name and contact information.
  • The debt collector will then send you a letter confirming the account turnover prior to contacting you by phone.
  • Upon calling you, they will be able to discuss payment options, but the only way you can pay your tax debt is electronically or by check payable to the US Treasury.

“The IRS’s use of private debt collection companies to collect unpaid taxes is in the spirit of efficiency, but may create confusion for those already susceptible to the IRS impersonation scam, like our nation’s seniors,” said Senator Collins. “I urge consumers to remain vigilant and protect themselves from potential scams that could stem from this new development.”

If you know you don’t owe taxes or do not immediately believe that you do, you can report the incident to the Treasury Inspector General for Tax Administration (TIGTA) at 1-800-366-4484.

To read more about this change from the IRS, click HERE.

Never give personal information, such as bank account or credit card numbers, to someone you do not know. If you suspect fraud, please contact the Aging Committee’s Fraud Hotline at 1-855-303-9470

Senior Scam Prevention and Aging Committee Fraud Book

The book is available on line or anyone can call the Fraud Hotline (1-855-303-9470) to request a free hard copy.

Access online copy by clicking image

 

Senator Collins’ office has also sent copies to senior centers and community centers across the state.

If robots call to say you owe back taxes, don’t believe them

Posted Jan. 16, 2017, at 6:19 a.m.

Which of the following is a scam?

— You get a phone call saying you owe money to the Internal Revenue Service and should pay by way of an iTunes card.

— A caller says she is an IRS official demanding immediate payment of overdue taxes, and the number on your caller ID appears to be from the local IRS office.

— A caller identifies himself as a law enforcement officer and says you face immediate arrest if you don’t wire money for overdue taxes.

— An email bearing an official-looking IRS logo asks you to “update your IRS e-file immediately.” The email mentions IRSgov — without a dot separating “IRS” and “gov.”

If you answered that all of the above are scams, you are correct.

The investigative arm of the IRS says that 1.8 million people have reported receiving impostor calls. More than 9,600 victims have been scammed out of more than $50 million.

Phishing and malware incidents rose roughly 400 percent during the 2016 tax filing season. Despite officials’ best efforts to curb the increase, it’s expected that the numbers of tax-related scam attempts will continue to grow.

Increasingly popular with scammers is the robo-call. The crooks leave urgent call-back requests, demanding payment of “back taxes” with gift cards. IRS officials say such demands are clear signs of a scam.

Other callers may ask for payment of a nonexistent “federal student tax.” People they call are told to wire money — another sure sign of a scam — with threats of legal action unless payment comes at once.

Another scheme involves a call saying the IRS “just needs a few details” to speed up the processing of your refund. The scammer tries to get personal information such as Social Security numbers, bank routing numbers or other sensitive data such as credit card numbers.

Human resources and payroll professionals have been targeted as well, through requests for information about employees. A scammer posing as the company’s CEO requests personal and financial information, including Social Security numbers.

In an effort to catch scammers and identity thieves, the IRS is delaying refunds this year for anyone claiming the earned income tax credit (EITC) or the additional child tax credit (ACTC). That move is expected to give the IRS added time to weed out more sophisticated fraudulent returns. It may also hurt lower income taxpayers who file early and likely will be waiting at least until late February for refunds. Offers to “help speed up your refund” may be more scams.

Sen. Susan Collins, R-Maine, chairs the Senate’s Special Committee on Aging, which has published a guidebook on avoiding scams. Read it online at aging.senate.gov/imo/media/doc/217925%20Fraud%20Book%20Final.pdf. You also can call the committee’s fraud hotline (1-855-303-9470) for information or to report fraud attempts.

The IRS offers a summary of our legal protections in the Taxpayer Bill of Rights at irs.gov/taxpayer-bill-of-rights.

Consumer Forum is a collaboration of the Bangor Daily News and Northeast CONTACT, Maine’s all-volunteer, nonprofit consumer organization. For assistance with consumer-related issues, including consumer fraud and identity theft, or for information, write Consumer Forum, P.O. Box 486, Brewer, ME 04412, visit https://necontact.wordpress.com or email contacexdir@live.com.

Consumer complaints helped bust bogus call center with 700 employees

Posted Oct. 31, 2016, at 6:54 a.m.
FMI check press release, October 27th

FMI check press release, October 27th

You are likely one of the thousands of Maine consumers who have received phone calls from someone wanting a “delinquent tax payment.” We’ve written over the years about crooks posing as Internal Revenue Service agents or other officials who try to coerce people into paying money they don’t owe.

These days, you might hang up quickly and dismiss the attempted ripoff without another thought. However, you might help slow the scammers by taking the time to report the attempt.

Consider the action by police in Mumbai, India, a few weeks ago. Raids on nine call centers resulted in 70 arrests. Investigators allege that employees were trained to speak with American accents as they pressured people to pay phony debts by wiring money that couldn’t be recovered. Each call center raked in an estimated $150,000 per day, usually from retirees and other older Americans.

The Indian Express reports that authorities are still questioning some of the 700 employees of the fake call centers. They’re also hunting for the alleged mastermind of the scheme, who apparently fled a lavish lifestyle in India for a new home in Dubai.

Back in the U.S., people who keep an eye on such things think the raids were made possible by reports from people the scammers attempted to target. Since March 2015, the Better Business Bureau has maintained a “scam tracker” website that consumers can use to file complaints about the IRS scam and other ripoff attempts. BBB officials say that following the raids in India complaints to that website dropped by 95 percent.

The sharp dip in complaints “validates our belief in the importance of using reports from the public to better understand the scam landscape,” program manager Emma Fletcher told the Washington Post. The Treasury Department welcomes information about these impersonation scams. File a report online at treasury.gov/tigta/contact_report_scam.shtml.

The Internet Crime Complaint Center also accepts reports at IC3.gov.

Maine Attorney General Janet Mills warned consumers back in August about the IRS impostor scam maine.gov/ag/news/article.shtml?id=703353.

At the time, Mills said, “The IRS scam and others like it are consistently the top complaint we receive.” She urged consumers not to engage callers and not to divulge personal information.

The Internal Revenue Service will not call suddenly to ask for a payment, won’t demand a specific kind of payment (hoaxers specify paying by wire or gift card) and the IRS won’t threaten legal action if you don’t pay immediately.

If you do owe money, you’ll get a letter first, and there’s usually a period of time in which you can settle your debt.

The IRS has a rundown of recent hoaxes and steps consumers can take to avoid being scammed at irs.gov/uac/tax-scams-consumer-alerts.

Scammers sometimes send emails to back up their phone call threats. They may have personal information about consumers, including the last four digits of their Social Security numbers. They may also spoof the number a caller ID shows to mimic a real IRS office. Don’t be fooled. If you have any doubts, look up the number of your nearest IRS office yourself, call that number and inquire.

A lot of scams originate overseas; in fact, posing as a government official ranked second on a list compiled by the International Consumer Protection and Enforcement Network, a joint effort by 35 organizations worldwide. Visit its site at econsumer.gov/#crnt.

Consumer Forum is a collaboration of the Bangor Daily News and Northeast CONTACT, Maine’s all-volunteer, nonprofit consumer organization. For assistance with consumer-related issues, including consumer fraud and identity theft, or for information, write Consumer Forum, P.O. Box 486, Brewer , ME04412, visit https://necontact.wordpress.com or email contacexdir@live.com.

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