Be on the watch for this tax agent scam. In this week’s scam, you receive an unexpected phone call from someone who says they are a Canadian Revenue Agency (CRA) or Internal Revenue Service (IRS) agent. They claim that you owe money to the their agency. The call seems real because the “agent” even provides what sounds like an actual government badge number. To make this situation even more alarming, they threaten you with fines or threaten to arrest you if you don’t immediately pay the money that you owe.

However, this “tax agent”  is actually a cybercriminal, and the debt that you supposedly owe isn’t real! They will try to pressure you into paying them, usually by wire transfer or a prepaid debit card. But if you send any money, it goes straight into the cybercriminal’s pockets!

Follow these tips to protect against tax scams:

The CRA will not call you and threaten to arrest you. If there is an issue with your taxes, they will usually contact you by mail.

If you do owe money to the CRA, they will never demand immediate payment using prepaid debit cards or wire transfers. Scammers often request payment using these methods because they are more difficult to trace.

Remember, cybercriminals try to scare you because you’re more likely to act impulsively if you’re afraid. Always stop and think!