Avoiding ATO Scams During Tax Season: Protect Yourself and Your Finances

Tax season can be a stressful time, but it’s important not to let that stress cloud your judgement and make you vulnerable to scams. Unfortunately, scammers are all too aware of the anxieties surrounding tax filing and try to take advantage of unsuspecting Australians.

This article will equip you with the knowledge and tools to identify and avoid ATO scams, ensuring a safe and secure tax season.

Common ATO Scams

• Phishing Emails and SMS: These messages appear to be from the ATO, often urging you to click on a link to update your myGov details, download a document, or claim a refund. Clicking these links can lead to fake login pages designed to steal your personal information.
• Threatening Phone Calls: Scammers may call you, claiming to be from the ATO, and threaten you with legal action or arrest if you don’t pay a fabricated tax debt immediately.
• Unexpected Refunds or Overdue Payments: Scammers may contact you about a large tax refund or overdue payment you weren’t aware of. They’ll then pressure you to provide personal information or make a payment using an unusual method.

Red Flags to Watch Out For

• Sense of Urgency: Scammers often create a sense of urgency by pressuring you to take immediate action. The ATO will never use scare tactics or demand immediate payment over the phone or email.
• Grammatical Errors and Unusual Language: Legitimate ATO communications will be professional and free of typos or strange phrasing.
• Unsolicited Links and Attachments: The ATO will never send emails or SMS messages with links or attachments you need to click on to access your information or claim a refund.
• Request for Personal Information: The ATO already has your information on file. They won’t ask you to confirm it via email, SMS, or unsolicited phone calls.
• Unusual Payment Methods: The ATO will never ask you to pay a tax debt using gift cards, cryptocurrency, or money transfer services like Western Union.

How to Protect Yourself

• Be Wary of Unsolicited Contact: If the ATO contacts you, it’s always best to verify its legitimacy before responding. Don’t call the phone number provided in the message. Instead, look up the official ATO contact details on their website.
• Never Click on Links or Open Attachments: If you receive a suspicious email or SMS, don’t click on any links or open any attachments.
• Double-Check Email Addresses: Always scrutinise the sender’s email address. Legitimate ATO emails will come from addresses ending in “@ato.gov.au”.
• Enable Two-Factor Authentication: This adds an extra layer of security to your myGov account by requiring a code sent to your phone in addition to your password.
• Keep Your Software Up-to-Date: Use strong antivirus and anti-malware software and keep them updated to protect yourself from phishing attempts.
• Report Suspicious Activity: If you suspect a scam attempt, report it to the ATO by forwarding the email to ReportScams@ato.gov.au or calling the ATO on 1800 008 540.

Key Takeaways

• They won’t use scare tactics: The ATO understands tax filing can be stressful, but they’ll never use threats or aggressive language to pressure you into immediate action.
• Communication is official: The ATO will always use professional and formal communication channels. This means no unsolicited calls with automated voices or messages demanding immediate payment.
• No surprises over email or SMS: The ATO already has your tax information on file. They won’t contact you out of the blue via email or SMS to request personal details like your Tax File Number (TFN) or bank account information.
• Refunds are transparent: If you’re due a refund, the ATO will notify you through your myGov account, not through unsolicited emails or phone calls promising a large, unexpected payout.
• MyGov is your secure hub: The ATO will never ask you to log in to your myGov account through a link sent via email or SMS. Always access your myGov account by directly typing the official website address into your browser.
• Beware of urgency: Scammers often create a false sense of urgency to pressure you into making rash decisions. The ATO will give you ample time to respond to any legitimate communication.
• Overdue payments have clear procedures: The ATO will outline clear steps for resolving any outstanding tax debts through your myGov account or official letters sent via mail. There won’t be surprise demands for immediate payment over the phone.
• Unusual payment methods are a red flag: The ATO has established channels for tax payments. They will never ask you to pay a debt using gift cards, pre-paid credit cards, cryptocurrency, or money transfer services like Western Union.
• Official channels for contact: If you’re unsure about the legitimacy of a message, don’t respond or call the provided number. Look up the official ATO contact details on their website [ATO website] and reach out directly for clarification.
• Report suspicious activity: If you suspect a scam attempt, report it to the ATO. Forward the email to ReportScams@ato.gov.au or call the ATO on 1800 008 540. By reporting these attempts, you can help protect yourself and others from falling victim to scams.

Remember, the ATO prioritises clear, secure communication and will never resort to scare tactics or unusual methods for contacting taxpayers.