• James D. Lynch

Holiday Scam Reminder: Gift Cards Are Never Used To Make Tax Payments

This holiday season the IRS reminds taxpayers that the IRS does not ask for (or accept) gift cards as payment for a tax bill. However, that doesn’t stop scammers from targeting taxpayers by asking them to pay a fake tax bill with gift cards.


Here's how this scam usually happens: A scammer posing as an IRS agent will call the taxpayer (or leave a voicemail with a callback number) telling them that they must pay a fake tax bill or a fictitious tax penalty. The scammer will then instruct the taxpayer to buy gift cards from various stores. Once the taxpayer buys the gift cards, the scammer will ask the taxpayer to provide the gift card number and PIN numbers.


The IRS will never call to demand immediate payment, nor will the IRS demand the taxpayer use a specific payment method such as a gift card. Gift cards make great presents for loved ones, but they cannot be used to pay taxes.