Every tax season, the same thing happens. As refunds start hitting bank accounts, scammers flood inboxes and phones with urgent messages claiming there’s a problem—or a bonus—with your tax refund. They’re convincing. They’re timely. And they’re costing Americans billions each year.
Related Page: The Top Scams and Fraud Threats to Watch for in 2026 (and How to Protect Yourself)
At our community bank, we hear about these scams every tax season from customers who almost clicked a link or already shared information before realizing something felt off. Let’s walk through how these scams work, how to spot them quickly, and what to do if you receive one.
Because a little awareness can save a lot of stress.
How the “Tax Refund” Scam Works
It usually starts with a message that feels official
Scammers commonly pose as the IRS, a tax preparation service, or even a bank. You might receive:
- A text saying your refund is “on hold”
- An email claiming you’re owed more money
- A message urging you to “verify your identity” immediately
These messages are designed to create urgency. Act now or lose your refund.
That pressure is the red flag.
The goal is always the same
No matter the wording, the scammer wants one of three things:
- Your personal information (Social Security number, birthdate, address)
- Your banking or login credentials
- A direct payment or “processing fee”
Once they have it, the damage can be serious—and hard to undo.
Signs a Tax Refund Message Is a Scam
The IRS does not contact you this way
This is one of the most important things to remember.
The IRS will never:
- Text you about a refund
- Email you demanding immediate action
- Ask for sensitive information via message
- Threaten arrest, account freezes, or penalties by text or email
According to the IRS itself, official communication typically begins by mail, not digital messages. You can verify this directly on the IRS website: https://www.irs.gov/newsroom/tax-scamsconsumer-alerts
The message includes suspicious links or attachments
Scam messages often include:
- Shortened URLs
- Misspelled web addresses
- Attachments labeled as “refund forms” or “verification documents”
Clicking these links can install malware or send you to a fake website that looks legitimate—but isn’t.
The tone is urgent or threatening
Phrases like:
- “Immediate action required”
- “Final notice”
- “Your refund will be canceled”
are meant to override your instincts. Real financial institutions don’t operate that way.
Why These Scams Are So Effective
Timing makes them believable
Scammers strike when people expect tax-related communication. If you’re waiting on a refund, the message feels plausible—even reassuring at first.
The messages look more real than ever
Today’s scams often include:
- Official-looking logos
- Real IRS language copied from public websites
- Professional formatting
This isn’t sloppy spam anymore. It’s social engineering.
What To Do If You Receive a Suspicious Tax Message
Don’t click. Don’t reply.
Even responding can confirm your number or email is active, leading to more scams.
Verify independently
If you’re concerned about your refund:
- Check directly at https://www.irs.gov/refunds
- Log in to your tax preparer’s official website
- Call a trusted professional using a number you look up yourself
Never use contact information provided in the message.
Report the scam
Reporting helps protect others.
- Forward IRS-related scam emails to: phishing@irs.gov
- Report texts and emails to the FTC at: https://reportfraud.ftc.gov
What If You Already Clicked or Shared Information?
Take a breath. Then act quickly.
Steps to take immediately
- Stop all communication with the sender
- Change passwords for any affected accounts
- Monitor your bank accounts closely
- Place a fraud alert or credit freeze if personal information was shared
You can find detailed recovery steps at the FTC’s identity theft resource: https://www.identitytheft.gov
And if your bank account information may have been compromised, contact your bank right away. That’s what we’re here for.
How a Community Bank Helps Protect You
At a community bank, security isn’t just a policy—it’s personal. We know our customers. We answer the phone. And when something doesn’t look right, we take the time to walk through it with you.
We also believe education is one of the strongest tools against fraud. The more you know, the harder you are to scam.
A Final Word From Your Local Bank
Scammers rely on panic and silence. We believe in clarity and conversation.
If you ever receive a message about your money that doesn’t feel right—tax-related or otherwise—pause. Verify. And reach out to someone you trust. That might be the IRS, a trusted advisor, or your local bank down the street.
We’re always here to help protect what you’ve worked hard for. That’s part of being a community.
