Americans are falling victim to online tax scams at an alarming rate, as revealed in a recent study by McAfee. The 2024 Tax Scams Study surveyed 2,500 U.S. adults and found that a staggering 25% had been duped by these scams, resulting in losses amounting to thousands of dollars, and in some cases, tens of thousands of dollars.
Cybercriminals are employing sophisticated tactics, including the use of artificial intelligence, to create more convincing scams. AI-generated messages, deepfake videos, and AI-generated audio are increasingly being used to deceive unsuspecting victims. Despite these advancements, the study showed that less than half of Americans feel confident in their ability to identify fraudulent content.
Of particular concern is the fact that 68% of individuals who clicked on fraudulent links from purported tax services ended up losing money. Among these victims, 29% lost over $2,500, while 17% reported losses exceeding $10,000. The situation is even more dire for those who fell for cryptocurrency tax-related scams, with 76% losing money, and a significant portion facing substantial financial losses.
McAfee’s research also uncovered a surge in imposter scams, with a significant increase in tax-related malicious URLs discovered in a short period. Phishing email scams, including those containing PDF attachments claiming to be from the IRS regarding tax refunds and statements, were among the most common.
The study also highlighted the general anxiety surrounding the tax filing process, with less than half of Americans feeling very confident about it. This uncertainty, coupled with a lack of proactive measures to prevent scams, leaves many vulnerable to cybercriminals.
To protect against tax scams, McAfee recommends maintaining a healthy level of suspicion towards emails and phone calls purporting to be from the IRS, refraining from sharing personal information over the phone, actively monitoring credit reports, and utilizing AI-driven technology for online security. Additionally, keeping a close eye on credit and identity, alongside having identity theft protection in place, can help thwart tax fraud and expedite recovery in case of identity theft.
As tax season progresses, it is paramount for individuals to remain vigilant and take the necessary precautions to safeguard themselves against the evolving threats posed by online tax scams.
