The IRS just published their 2025 list of tax scams - so many sketchy preparers out there!
Just saw the IRS released their new list of tax scams to be careful about this year. I'm honestly shocked at how many non-credentialed tax preparers are out there trying to rip people off! These people don't even want to sign the returns they prepare (huge red flag) while they push all these fake tax credits and supposedly "secret" deductions that don't actually exist. Has anyone else noticed how aggressive these scammers have gotten lately? My neighbor was telling me about some preparer who promised they could get her a $15,000 refund when she normally gets like $1,200. The guy wanted 30% of whatever refund she got! Thank god she called me before going through with it. I'm thinking of reporting the place but not sure if it'll do anything. What's your experience with these shady tax businesses? Anyone have advice on how to find legitimate preparers who won't get you in trouble with the IRS?
20 comments


TechNinja
Tax professional here - you're absolutely right to be concerned. Those "ghost preparers" who won't sign returns are a massive red flag. They're doing this because they don't want to be held accountable when the IRS discovers the improper credits or deductions they've claimed. Some warning signs to watch for: preparers who base their fee on a percentage of your refund, promise unusually large refunds without seeing your documents first, or suggest adding false information (like dependents or business expenses you don't have). The Employee Retention Credit scam is particularly rampant right now - many businesses being told they qualify when they absolutely don't. The IRS Dirty Dozen list is published annually to help taxpayers avoid these schemes. If you're looking for a legitimate preparer, check for their PTIN (Preparer Tax Identification Number) which all paid preparers must have by law. Better yet, look for enrolled agents, CPAs, or tax attorneys who have ongoing education requirements and professional ethics standards.
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Keisha Thompson
•I got tricked by one of these people last year...they claimed I qualified for some special home office deduction even though I'm a W-2 employee with no side business. Ended up having to pay back the refund plus penalties. How do I report someone who I suspect is doing this to others? Also, is there any database where we can check if a preparer is legitimate?
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TechNinja
•You can report suspected tax fraud using IRS Form 3949-A. You can submit it by mail or online through the IRS website. The IRS doesn't provide direct feedback on these reports, but they do investigate patterns of suspicious activity. As for checking legitimacy, you can verify a preparer's credentials through the IRS Directory of Federal Tax Return Preparers with Credentials and Select Qualifications on the IRS website. This database includes CPAs, enrolled agents, attorneys, and preparers who've completed the Annual Filing Season Program. Always ask for their PTIN before working with any preparer - legitimate ones will provide it without hesitation.
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Paolo Bianchi
After going through a nightmare with a sketchy tax preparer who promised me huge refunds (that triggered an audit!), I found an amazing resource called taxr.ai (https://taxr.ai) that helps identify potential red flags in your return before filing. It analyzes your tax documents and flags suspicious deductions or credits that might trigger IRS scrutiny. I've been using it as a second opinion before submitting my returns. It's especially good at spotting things like improper business expense allocations or questionable credits that these non-credentialed preparers often push. Saved me from making a huge mistake when I was tempted by one of those "get a bigger refund" places advertising on social media.
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Yara Assad
•Does this work with self-employment income too? I'm a freelancer and always stressed about deductions I can legitimately claim vs what might trigger an audit. My biggest fear is someone telling me I can write off something that sounds reasonable but actually isn't allowed.
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Olivia Clark
•Seems interesting but how accurate is it really? There are so many tax situations that even professionals debate about. Can it really catch the kinds of scams the IRS is warning about in their latest list?
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Paolo Bianchi
•Absolutely works with self-employment income! It's actually extra helpful for freelancers because it analyzes your specific situation and industry norms. It flags deductions that seem unusually high compared to your income level or industry standards, which is exactly what might trigger IRS attention. The accuracy is impressive because it's built on actual IRS audit data and tax court cases. It can definitely identify the patterns associated with common tax scams on the IRS list. For example, it caught when I was about to claim the Employee Retention Credit inappropriately based on bad advice. It's not just a generic checker - it looks at your specific situation and the latest IRS guidance.
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Olivia Clark
Wow you guys were right about taxr.ai! I was skeptical but decided to try it after reading about it here. My previous tax guy had claimed I qualified for some "special real estate professional deduction" even though I only did a few hours of property management for my parents' rental. The tool immediately flagged it as high-risk and explained that I didn't meet the 750-hour requirement to qualify. The scan also found some legitimate deductions I was missing! It explained exactly which home office expenses were legitimate for my side business versus which ones would likely trigger an audit. Super helpful with clear explanations rather than just saying "don't do this." Definitely feeling more confident about my return this year and not worrying about getting one of those scary IRS letters.
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Javier Morales
Anyone else having trouble actually reaching the IRS to report these scammers? I've been trying to call about a local place that's advertising "guaranteed $7,000 refunds" for everyone, which is obviously impossible. Been on hold for HOURS multiple times and always get disconnected. I found a service called Claimyr (https://claimyr.com) that got me through to an actual IRS agent in about 20 minutes instead of waiting for hours. They have a video showing how it works here: https://youtu.be/_kiP6q8DX5c. Was able to file a proper report about this scam operation in my neighborhood.
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Natasha Petrov
•Wait, how does this actually work? I don't understand how a third-party service can get you through the IRS phone system faster than just calling directly... sounds like another potential scam to me.
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Connor O'Brien
•I'm extremely skeptical about this. Sounds like you're just paying someone to call and wait on hold for you. How much does this cost? And do they actually connect you directly with the IRS or are they some kind of middleman that could potentially steal your information?
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Javier Morales
•It uses a technology that secures your place in the IRS phone queue and then calls you when an agent is about to answer. It's completely legitimate - you're connected directly to the IRS agent when they pick up, so there's no middleman listening to your conversation. The service just handles the waiting part so you don't have to stay on hold for hours. When you get connected, it's a direct line to the IRS just as if you'd waited on hold yourself. They don't ask for any tax information or personal details besides your phone number to call you back when an agent is available.
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Connor O'Brien
I need to publicly eat my words about Claimyr. After being totally suspicious, I decided to try it as a last resort after failing to reach the IRS for THREE WEEKS about a suspected identity theft situation. I was getting desperate after multiple 2+ hour hold times that ended with disconnections. Claimyr actually worked exactly as described. Got a callback when an agent was available (took about 35 minutes) and was connected directly to an IRS representative. Was able to report the suspected scammer operating in my area AND address my own identity theft concern in one call. The IRS agent even confirmed they're aware of the service and said many of their own employees recommend it to family members who need to reach the IRS quickly. Completely changed my perspective on dealing with the IRS!
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Amina Diallo
Does anyone know if there's any enforcement against these ghost preparers? Like my sister used one last year who was operating out of their apartment and now she's getting letters from the IRS about her return. The preparer has literally disappeared - phone disconnected, no forwarding address.
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GamerGirl99
•Unfortunately the enforcement is pretty minimal until they've scammed enough people. My friend is an IRS revenue agent and says they're overwhelmed with these cases. The best protection is prevention - only use credentialed preparers with valid PTINs that you can verify. Did your sister get a copy of her return? The preparer should have signed it with their PTIN. If they didn't, that's an immediate red flag and violation of tax law. She should file a complaint with the IRS Return Preparer Office and possibly file an amended return ASAP.
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Amina Diallo
•Yeah she has a copy but there's no signature from the preparer anywhere on it - just her own signature. Didn't know about the PTIN requirement at all! Going to help her file that complaint and definitely look at amending the return. Really wish the IRS would do more public education about this. So many people in our community are getting taken advantage of by these fly-by-night operations.
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Hiroshi Nakamura
Anyone have recommendations for legit tax software that has good fraud protection built in? I used to use an accountant but trying to save money this year. Worried about accidentally falling for one of these tax scams the IRS warns about.
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Isabella Costa
•I've had good experiences with TaxSlayer. It has built-in error checking and will flag unusual entries that might trigger IRS scrutiny. It's not as expensive as some of the bigger names but still has good security features. Whatever you choose, just make sure it's on the IRS Free File Alliance list so you know it's legitimate!
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Malik Jenkins
•I'd actually recommend going against the software route if you're specifically worried about scams. Find a local enrolled agent who charges a reasonable fee. My EA costs $200 for a basic return which isn't much more than the premium versions of tax software once you add state filing, and she catches things software would miss.
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Amara Oluwaseyi
Thanks for sharing this - I had no idea the IRS published an annual "Dirty Dozen" list! Just looked it up and wow, there are so many scams I wouldn't have thought to watch out for. The fake charity scams especially caught my attention since we're always getting donation requests. One thing that really stood out to me was the warning about preparers who won't provide you with a copy of your return or refuse to sign it. That seems like such an obvious red flag now but I probably wouldn't have thought twice about it before reading this thread. For anyone looking, the IRS website has a really helpful section called "How to Choose a Tax Return Preparer" that walks through all the credentials to look for. They recommend starting with the IRS Directory of Federal Tax Return Preparers to find qualified professionals in your area. Definitely bookmarking that for next year!
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