2025 Dirty Dozen Tax Scams

Each year, the IRS updates the public with a list of common tax scams and threats known as the "Dirty Dozen." The 2025 list is a stark reminder that scammers are constantly evolving and targeting taxpayers, businesses, and professionals in increasingly deceptive ways. These scams aren't limited to tax season — they occur year-round and are designed to steal money, personal data, and even entire identities.

The Dirty Dozen campaign isn't a legal document or a formal outline of enforcement priorities. Instead, it’s an educational initiative the IRS has run for more than two decades, aiming to raise awareness about fraud and protect people from falling victim to it. The program was started in 2002 by IRS senior adviser Terry Lemons in response to growing scams across the country.

While some scams involve identity theft or fake communications, others revolve around deliberately misleading people into claiming tax credits they don't qualify for. Social media has made this worse, spreading false advice that results in fraudulent filings and potential penalties for the taxpayer.

Some fraudsters take it a step further by impersonating professionals, promising to help users create their IRS Individual Online Accounts — not to assist them, but to hijack their personal information and file fake returns for large refunds. In other cases, scammers pose as charities, preying on people’s generosity during disasters to steal money and data.

Others encourage taxpayers to claim the Fuel Tax Credit, which only applies to off-highway business or farming use — not the general public. Some even go as far as filing made-up household employment taxes or inflating income and withholding amounts on fabricated W-2s and 1099s to claim massive refunds fraudulently. These schemes are pushed especially hard through online forums and social media platforms.

Also problematic are deceptive tax preparers who operate in the shadows — so-called "ghost preparers" — who promise big refunds, often based on fake numbers, and then disappear without signing the return, leaving the taxpayer to deal with the consequences.

Another disturbing trend is spear phishing targeting tax professionals. Criminals pretend to be new clients and send malicious attachments to steal sensitive information and access systems used for filing client tax returns.

The IRS urges all taxpayers to be on alert for red flags: unsolicited messages claiming to be from the IRS, aggressive refund promises, and any situation where someone asks you to sign a blank return. These scams are dangerous, and falling for one can result in penalties, criminal investigation, or long-term identity theft issues.

The 2025 IRS Dirty Dozen Tax Scams Include:

• Email and text phishing (smishing) targeting taxpayers with fake IRS messages
• False social media tax advice, especially involving misuse of Form W-2
• Fake assistance offers for setting up IRS Online Accounts
• Bogus charities pretending to be disaster relief funds
• Improper claims for the Fuel Tax Credit (Form 4136)
• Misuse of Form 7202 for outdated family and sick leave credits
• Invented Self-Employment Tax Credit, which doesn’t exist
• Fake household employment filings to claim leave-based credits
• Overstated withholding schemes using false W-2 or 1099 information
• Misleading Offers in Compromise, often promoted by fee-hungry tax “mills”
• Ghost preparers who refuse to sign returns or provide identification
• Spear phishing attacks against tax professionals by scammers posing as clients

The IRS also warns of other abusive schemes not included on the list — such as offshore tax evasion and misusing certain trusts or retirement arrangements. These tactics are often pitched as legitimate planning tools but are actually designed to avoid taxes improperly.

If you suspect you've encountered a scam or were encouraged to participate in an abusive tax scheme, the IRS encourages reporting. You can submit IRS Form 14242 (Report Suspected Abusive Tax Promotions or Preparers) either online, by mail, or by fax. Whistleblowers may also be eligible for monetary rewards.

Report scams to:

Taxpayers are advised to stay informed, double-check sources, and work with legitimate, trusted professionals when handling their returns. In the world of taxes, if something sounds too good to be true — it probably is.

For more information, visit: IRS Dirty Dozen Tax Scams for 2025