IRS alert: Watch for a scam email that reads, ‘Notification of IRS Audit & Investigation.’ The email may direct you to download a “secure” file and submit documents, but in fact leads you to a fraudulent site. Learn how to recognize scams:
You can avoid falling for a tax scam. Know what to watch out for and how the IRS contacts you.
Tax scam warning signs
Scammers mislead you about tax refunds, credits and payments. They pressure you for personal, financial or employment information or money. IRS impersonators try to look like us.
Watch out for:
- A big payday – If it sounds too good to be true, it probably is. Bad tax advice on social media may convince you to lie on tax forms or mislead you about credits you can claim.
- Demands or threats – Impersonators want you to pay “now or else.” They threaten arrest or deportation. They don’t let you question or appeal the amount of tax you owe.
- Website links – Odd or misspelled web links can take you to harmful sites instead of IRS.gov.
Payments we accept
Know your taxpayer rights
How to know it’s the IRS
Protect yourself from impersonators. Know how we contact you.
Common tax scams
Be aware of the signs of tax scams.
Immediate First Steps
- Do Not Panic: This is a standard initial response, but it’s important to read the letter calmly and carefully.
- Verify the Notice: The IRS always initiates an audit by mail, not by phone, email, or social media. Be aware of scams.
- Look for an official letter number (like a CP or LTR number) on the top or bottom right corner. You can search the IRS website using this number to verify the letter’s legitimacy.
- If a phone call or in-person visit is unannounced, it’s highly suspicious. IRS Criminal Investigation Special Agents (CI) may visit unannounced, but they are required to present federal law enforcement credentials.
- Do Not Ignore It: Note the deadline for your response. Ignoring the notice will lead to further complications, penalties, and interest.
- Seek Professional Help Immediately: It is highly recommended to contact a tax professional who can represent you, such as a:
- Certified Public Accountant (CPA)
- Enrolled Agent (EA)
- Tax Attorney
Audit vs. Investigation: What’s the Difference?
Understanding the distinction is crucial because an investigation is far more severe than an audit.
| Feature | IRS Audit (Examination) | IRS Investigation (Criminal) |
| Purpose | To verify the accuracy of your tax return and ensure compliance with tax laws. This is a civil matter. | To gather evidence and uncover potential criminal tax violations, such as willful tax evasion or fraud. This is a criminal matter. |
| Notice | Typically initiated by a letter (notice) sent through the mail. | Involves a Criminal Investigation Special Agent (CI). They may visit unannounced or contact you. |
| Scope | Generally limited to specific items, deductions, income, or a limited number of tax years. | Broader scope, an in-depth, focused inquiry that can go back many years to find evidence of willful misconduct or fraud. |
| Consequences | Additional tax, penalties, and interest. | Same as an audit, plus potential criminal penalties, fines, and imprisonment. |
| Contact | Revenue Agent (RA) or Tax Compliance Officer. | Criminal Investigation Special Agent (CI), who is a federal law enforcement officer (armed). |
If your notice mentions the IRS Criminal Investigation (CI) division, STOP all communication with the IRS immediately and retain an attorney who specializes in criminal tax defense. Do not speak with a CI agent without legal counsel.
If You Received an Audit Notification (Civil Matter)
- Read the Entire Letter: The notice will specify the tax year(s) being examined, the issue(s) being questioned, and the documents the IRS is requesting.
- Gather Documents: Locate and organize all requested records, which may include receipts, invoices, canceled checks, bank statements, and other supporting evidence for the income, deductions, or credits being questioned.
- Prepare Your Response: Respond clearly and concisely, addressing only the specific items the IRS is questioning. Do not volunteer extra information.
- Send Copies Only: Never send original documents. Send copies and keep your originals secure. Use certified mail, return receipt requested, for proof of timely delivery.
- Consider Representation: An Authorized Representative (Tax Attorney, CPA, or Enrolled Agent) can request an extension, prepare your response, and represent you in the meeting (if required) so you don’t have to speak directly with the auditor.