Tax Blog

Kurtis’ articles about the IRS and taxes

BE AWARE OF SCAMMERS

The Internal Revenue Service has been authorized to use private collection agencies (PCAs) to collect taxes.  Taxpayers should be on alert for scammers and identity thieves pretending to be from a private collection agency.

When representatives from one of the four approved PCAs contacts a taxpayer, they will state that they are from one of these collection agencies: CBE, Performant, Pioneer or ConServe. These agencies are required to respect the Taxpayer Bill of Rights and abide by the consumer protection provisions of the Fair Debt Collection Practices Act.

Whether a taxpayer selects the preauthorized direct payment option or mails a check, the IRS reminds taxpayers to be on the lookout for scam telephone calls from anyone claiming to be collecting on behalf of the IRS.

Even with private debt collection, taxpayers will not get unexpected phone calls demanding payment. Before a taxpayer is contacted, the taxpayer will receive two letters; one from the IRS and one from the PCA. Both letters will include a Taxpayer Authentication Number (TAN). The TAN will be used to authenticate the PCA and to verify the identity of the taxpayer, instead of using their social security number. Taxpayers are advised to safeguard their TAN as they would a social security number.

The bottom line is that we need to continue to be vigilant about protecting our identity and personal information.  So should you receive a call from a collection agency claiming to be from the IRS, be sure to utilize this information to verify that they are legitimate.

Kurtis Kron