The IRS recently released its annual list of “Dirty Dozen” tax scams for 2026. It’s meant to help taxpayers avoid getting scammed by thieves who are constantly upgrading their bag of dirty tricks.
The list covers a lot of the more popular tactics scammers use, and we’ve summarized those below (and removed those that mostly apply to tax preparers). It also highlights a newer scheme related to undistributed long-term capital gains.
No. 6: Abuse of Form 2439
Shareholders of certain investment funds or real estate trusts use this form to claim a refundable credit for taxes they paid on undistributed capital gains. Scammers are overstating or making up Form 2439 claims. These claims have involved organizations that aren’t actual investment funds or real estate trusts, as well as those that are linked to real, popular organizations. These sketchy claims can cause audits, penalties, and refund delays.
Replaying the Bogus Hits
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Phishing and smishing
The IRS is old school, so if it wants to contact you, you’re going to get a letter. Not a text, email, or (not kidding) DM.
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No phone calls, either
The IRS is so old school, they don’t even call you, either. Sadly, the age of AI has made it much easier for scammers to spoof caller ID to seem legit.
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Feel-good fakes
It’s not surprising that fraudsters don’t have morals. So, they will go so far as to create fake charities to take advantage of natural disasters or tragedies. Before you give to an organization, check the IRS’s website to make sure the charity is real.
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Tax ‘influencers’ aren’t a thing
Well, they actually are. But they probably shouldn’t be. It’s not a great idea to take tax advice from a stranger online. Stick with the pros.
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ID theft and IRS Online
If you’re setting up an IRS Online account (maybe because paper checks went away), do it through IRS.gov and not some shady third-party site.
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That credit isn’t a thing
If you have to ask whether you’re eligible for the “Self-Employment Tax Credit,” you probably aren’t. Most taxpayers aren’t, in fact. And the IRS is reviewing those claims very carefully.
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You’ve been ghosted
“Ghost preparers” sound like something from a very bad horror movie. And they are pretty scary. Ghost preparers prepare a return but won’t sign it or provide a Preparer Tax Identification Number. That means you, as the taxpayer, are legally responsible for whatever is filed, even if it’s wrong or fraudulent. Never sign a blank or incomplete return.
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It’s worth less than you think
Don’t try to game the system by claiming that land or artwork you donated is worth way more than it actually is just to slash your tax bill. The IRS really doesn’t like that.
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Withholding on withholding
If someone tells you to inflate your withholding or fudge your wages to get a bigger refund … yeah, don’t do that. It’s another thing the IRS doesn’t like.
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Off Offer in Compromise
The IRS’s Offer in Compromise program can help some taxpayers with tax debt. But there are “OIC mills” that charge big fees and make big promises, usually to taxpayers who don’t qualify.
If you have questions about your taxes or wonder if something is too good to be true (it probably is, BTW), let us know!