Save
How to avoid the latest tax scam
A consumer watchdog has warned Australians to be vigilant against the latest phone scam.
How to avoid the latest tax scam
A consumer watchdog has warned Australians to be vigilant against the latest phone scam.
WA’s ScamNet has reported that losses are mounting following a spate of phone calls and voicemails from scammers demanding payment of a fake tax debt or the victim will be arrested.
So far the service has had 97 reports, with 15 victims losing a total of $188,200, with one unlucky victim reportedly losing $60,000.
This compares with 2019 figures when $100,450 was lost between 22 victims and a total of 51 reports.
Victims have reported receiving pre-recorded phone messages claiming to be from a government agency such as the Australian Taxation Office (ATO), Department of Home Affairs or Services Australia.
The call prompts the receiver to press 1, which takes them through to a person who presents themselves as either working for these agencies or is a case worker dealing with the matter.
The victim is told that their tax file number has been linked to fraudulent activity and a warrant has been issued for their arrest or they have an outstanding tax debt that they must pay immediately otherwise they will be arrested.
Commissioner for Consumer Protection Lanie Chopping said that in some cases, victims are asked what their closest police station is, and they later receive a fake call from that police station.
“The scammers spoof or copy the number of the police station so the victim believes the call is legitimate,” Ms Chopping said.
“They are told to go to their bank and withdraw money that will be safeguarded from the fraudulent activity or that they must pay this money to pay off their outstanding debt. Once funds are withdrawn, they are instructed to purchase gift cards and provide the codes on the back to the caller.”
How to protect yourself:
- Confirm the caller’s name, title and why they are calling.
- Call the ATO on 1800 008 540 to verify the ATO contact.
- Never send money or give financial/personal details to someone you don’t know or trust.
- If you have provided your financial information, contact your financial provider immediately.
- The ATO will never leave pre-recorded messages.
- Government agencies never demand payment through unusual means like gift cards or cryptocurrency.
- Government agencies will never threaten immediate arrest.
- Do not call back numbers left in voicemails.
- Search for legitimate number of agency and call directly to verify the call.
- If in doubt, contact WA ScamNet on 1300 30 40 54.
About the author
About the author
Scams
Navigating online money-making: Scams to avoid
In an era where the click of a button can lead to monetary gain, the internet has become a bustling marketplace for those looking to supplement their income. However, where there is opportunity, there ...Read more
Scams
Cyber criminals using interest rates as bait to trick customers
If you’ve ever found yourself on the receiving end of a suspicious phone call, e-mail or text message claiming to be from a major bank and demanding your details, you’re not alone – and experts are ...Read more
Scams
ATO cracks down on $850m GST fake business fraud
A nationwide crackdown on incidents of fraud involving the creation of fake businesses to scam GST refunds from the federal government has led to the Australian Taxation Office (ATO) firmly warning ...Read more
Scams
Crackdown sees more than half a billion scam calls blocked
Initiatives by telcos and the ACMA have also led to a 95 per cent reduction in reports of mobile porting fraud. Read more
Scams
Be wary when applying for a TFN or ABN, ATO warns
The tax office said that scams involving TFN and ABN applications are on the rise in the lead up to tax time. Read more
Scams
Westpac will now automatically block scam purchases
The bank said it would block suspect transactions from overseas online retailers that are considered high-risk of being a scam. Read more
Scams
ACCC issues warning after spike in money recovery scams
Aussies who have previously lost money to scams are at risk of being targeted again. Read more
Scams
Over 2m Aussies fall victim to scams and fraud
One in nine people suffered card fraud, scams or another form of personal fraud during the last financial year. Read more
Scams
Navigating online money-making: Scams to avoid
In an era where the click of a button can lead to monetary gain, the internet has become a bustling marketplace for those looking to supplement their income. However, where there is opportunity, there ...Read more
Scams
Cyber criminals using interest rates as bait to trick customers
If you’ve ever found yourself on the receiving end of a suspicious phone call, e-mail or text message claiming to be from a major bank and demanding your details, you’re not alone – and experts are ...Read more
Scams
ATO cracks down on $850m GST fake business fraud
A nationwide crackdown on incidents of fraud involving the creation of fake businesses to scam GST refunds from the federal government has led to the Australian Taxation Office (ATO) firmly warning ...Read more
Scams
Crackdown sees more than half a billion scam calls blocked
Initiatives by telcos and the ACMA have also led to a 95 per cent reduction in reports of mobile porting fraud. Read more
Scams
Be wary when applying for a TFN or ABN, ATO warns
The tax office said that scams involving TFN and ABN applications are on the rise in the lead up to tax time. Read more
Scams
Westpac will now automatically block scam purchases
The bank said it would block suspect transactions from overseas online retailers that are considered high-risk of being a scam. Read more
Scams
ACCC issues warning after spike in money recovery scams
Aussies who have previously lost money to scams are at risk of being targeted again. Read more
Scams
Over 2m Aussies fall victim to scams and fraud
One in nine people suffered card fraud, scams or another form of personal fraud during the last financial year. Read more