As you gather your W-2s and prepare your returns, fraudsters are getting ready too. Every year, they come up with new ways to trick people into giving up personal info or sending money that looks official but isn’t.
At Mission Fed, we care about your financial security as much as your financial goals. So, let’s break down the most common tax scams in 2026 and what you can do to protect yourself (and your refund).
IRS Impersonation Scams Are Back in Full Force
This one tops the list every year. You get a call, text, or email saying you owe back taxes. Or worse, that you’ll be arrested if you don’t pay immediately. Scammers can even spoof real IRS numbers or use official-looking emails to make the threat seem real.
Here’s what’s important:
- The IRS doesn’t call, text, or email you to demand immediate payment.
- The IRS starts communication with a mailed letter.
- They’ll never ask you to pay by wire transfer, gift card, or cryptocurrency.
Scammers love using fear and urgency to make people act fast. So if someone’s threatening arrest or claiming your refund’s on hold, hang up and verify directly at IRS.gov.
Phishing and “Refund Update” Scams
One of the biggest 2026 tax fraud trends is phishing emails and texts that look legitimate. Scammers use the IRS logo and language like “Update your refund details” or “Confirm your tax account” to trick you into clicking fake links.
A single click can leak high-value details like your Social Security number, bank credentials, or online account logins.
How to avoid phishing scams:
- Don’t click links or open attachments in messages about taxes or refunds.
- The IRS never communicates about payments or refunds through email or text.
- Go directly to IRS.gov or your verified tax software portal to check your refund status.
Beware of “Tax Hacks” on Social Media
Social media has become a new scam hotspot. Posts and videos on TikTok or Instagram might promise “secret refund hacks” or “legal loopholes” that boost your return. But here’s the truth—many of these so-called tips are illegal tax fraud schemes.
They often involve falsifying W-2 forms, exaggerating deductions, or using fake employer identification numbers.
Smart move: Always rely on a trusted tax professional or verified IRS resources for tax advice.
Fake Tax Preparation Websites
Another growing tax scam involves fake online tax prep services. Fraudsters create professional-looking websites, advertise “guaranteed refunds,” and collect sensitive information like SSNs and bank details.
How to spot the fake sites:
- Check the URL carefully—look for “.gov” or trusted brands.
- Avoid ads or links promising instant refunds or special credits.
- Use well-known, IRS-authorized e-file providers or certified professionals.
If a site seems off, trust your instincts and close the page.
How to Protect Yourself This Tax Season
Here’s your quick, shareable checklist to avoid tax fraud scams this year:
- Verify before you trust. Always double-check IRS or tax communications through official sources.
- Take your time. Scammers thrive on urgency—pause before you act.
- Keep your data safe. Use strong, unique passwords on tax and financial accounts.
- Monitor your Mission Fed accounts. Use Mobile or Online Banking and set up digital transaction alerts to catch unusual activity quickly.
- Shred sensitive documents. Don’t leave personal data lying around.
Mission Fed’s Reminder: Protect Your Personal Information
Your Mission Fed accounts include safeguards to help detect unusual activity—but security starts with awareness. This tax season:
- Keep your Social Security number private.
- Shred old financial documents before disposal.
- Use strong, unique passwords for online tax services and financial accounts.
- Monitor your Mission Fed accounts regularly through Mobile or Online Banking for any suspicious activity.
If something feels off, trust your instincts. Reach out to us right away—we’re here to help protect you and your financial well-being.
Final Thoughts
Scammers count on people being busy, stressed, or distracted during tax time. Slowing down and staying skeptical of unexpected calls, texts, or “too good to be true” offers is the best defense.
At Mission Fed, we believe protecting your financial well-being is just as important as helping you reach your goals. This tax season, take a few extra seconds to think before you click, call, or pay. It could save you from a major headache later.
This information is not intended as financial, tax or legal advice. Consult a qualified financial and/or tax advisor. The content provided in this blog consists of the opinions and ideas of the author alone and should be used for informational purposes only. Mission Fed Credit Union disclaims any liability for decisions you make based on the information provided. References to any specific commercial products, processes, or services, or the use of any trade, firm, or corporation name in this article by Mission Fed Credit Union is for the information and convenience of its readers and does not constitute endorsement, control or warranty by Mission Fed Credit Union.
