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March 28, 2025

Tax scams on the rise in KELOLAND

SIOUX FALLS, S.D. (KELO) — With tax filing season in full bloom, the IRS and the Better Business Bureau are warning people about a rise in tax scams.

Phishing and smishing are at the very top…that’s when scammers will email or text you trying to get sensitive information. There are also scammers trying to get you to send them money.

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The Better Business Bureau in Sioux Falls has received reports of potential scammers making phone calls and leaving voicemails for people in Keloland. We received three of these messages in a matter of days, each from a different voice, different company and different phone number, telling us we owed back taxes.

“Hello I hope your day is going well, this is Meredith Williams.”

“Hi this is Stephanie Johnson from Elite Advisors”

“Hey it’s Brenda from Revitaliized Tax Option LLC.”

They were probably going to tell you that you had till the end of the year to take advantage of this, said Jessie Schmidt of the Better Business Bureau in Sioux Falls.

Tom- Did you notice, they are trying to rush you.

“Oh absolutely! Time is of the essence, you are going to get a garnishment, this is a limited time offer,” said Schmidt. “All of those things that again get your heart going, you think you better act quickly or something bad is going to happen. That’s a classic scammer M-O.”

Other things to know, the IRS will “never” threaten legal action, promise a refund, or send an email or text demanding immediate payment.Schmidt says scammers try to pray on two things, fear and greed.

“The IRS will only contact you via phone after they’ve sent you multiple, typically multiple communications via U.S. Postal Service, if there is an issue with your tax return,” said Schmidt.

If the person on the phone or email wants you to pay them, also know that the IRS does not accept payment by gift cards, prepaid debit cards or any of the cash apps like Zell or Venmo.

If your social security number or individual tax identification number are ever compromised or stolen, report it right away at identity theft.gov which is the Federal Trade Commission. This will help you begin a recovery plan. That can be found here.