AS tax season approaches, unsuspecting taxpayers must be extra vigilant given the sharp increase in scams targeting taxpayers to disclose personal information that can be used to defraud them as well as the South African Revenue Services (SARS).
Cybersecurity expert and GoldPhish chief executive Dan Thornton said tax season was a prime opportunity for identity thieves to approach people with realistic-looking emails and SMS about their tax returns and refunds. “But taxpayers need to be wary of these SARS impersonation scams, where criminals pose as SARS agents with the intention of stealing their victims’ money or personal information. The latter can lead to identity theft — which allows scammers to file tax returns in their victims’ names and steal their tax refund, in addition to other negative financial implications,” Thornton said.
Common fraud tactics used by cyber criminals during tax season include SMS scams (better known as ‘smishing’), email scams (‘phishing’), phone scams (‘vishing’) and refund scams.
Expert cyber security awareness training company, GoldPhish, unpacks some of these deceptive methods and how one can mitigate against these to protect yourself, your money and your personal information.
Tax Season Scam Tactics prevention included being on the lookout for professional looking ‘tax return’ phishing emails impersonating SARS, which were in fact fraudulent communications enticing one to disclose specific information such as bank account details. These email addresses may appear legitimate, for example they could be from [email protected] or [email protected] so that they give the impression that they are legitimate. These emails contain links to mock-up forms and fake websites made to look like the “real thing”, but with the aim of fooling people into entering personal information which the criminals can then utilise in various ways.
Another tactic will try to convince someone that they are entitled to a rebate or refund from SARS.
The scammers, pretending to be from SARS, ask you to make a small initial payment to cover administration fees or taxes, in order to claim the amount owed to you. SARS will never request your banking details or credit card details in any communication.
To Protect Yourself one can verify the identity of the contact by calling the relevant organisation directly by finding them through an independent source such as a phone book or online search. Do not use the contact details provided in the message sent to you.
Government departments or trusted companies will never contact you asking you to pay money upfront in order to claim a fee or rebate.
Never send money or provide credit card details, online account details or copies of personal documents to anyone you do not know or trust and never by email. SARS will never request your banking details in any communication that you receive via post, email, or SMS. However, for the purpose of telephonic engagement and authentication purposes, SARS will verify your personal details. Importantly, SARS will not send you any hyperlinks to other websites–even those of banks.
One must avoid any arrangement with a stranger that asks for upfront payment via money order, wire transfer, international funds transfer, pre-loaded cards or electronic currency. It is rare to recover money sent this way.
They should also protect their identity as personal details were private and invaluable; keep them away from scammers. Always remain sceptical before handing over personal information via the phone, email or online form.
One should report any suspicious activity or communication received to SARS Fraud and Anti-Corruption Hotline on 0800-00-2870.
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