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Huge tax time warning for millions of Aussies: ‘Take advantage’

A surge of scams impersonating the ATO have been reported.

Tamika Seeto
·Finance Reporter
Updated ·3-min read
Tax time and people
Tax time is just around the corner and Aussies are being warned a “perfect storm” is brewing for scammers. (Source: Getty)

Aussies are being warned to be on high alert for scams this tax time. Fraudsters are looking to capitalise on the busy period by targeting Aussies lodging their returns or eagerly waiting for their refunds.

The Australian Taxation Office (ATO) received a whopping 22,000 reports of scams impersonating it over the past 12 months. The scams are becoming more prevalent, with reports increasing 31 per cent between April and May.

Scammers will often impersonate reputable sources like the tax office and myGov and send people fake links to “phish” for their personal information, including their bank card details.

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CPA Australia spokesperson Gavan Ord said scammers would “take advantage of any situation”.

“These messages trick individuals into acting quickly and letting their guard down on the promise of financial gain or by convincing them they have done something wrong and need to rectify the situation quickly to avoid penalties,” Ord said.

“These scams prey on our natural instincts, which is why we need to stop and think before we click any links or give over any personal information.”

Have you fallen victim to a tax scam? Share your story with tamika.seeto@yahooinc.com

According to the ATO, Aussies aged 25 to 34 were actually the most likely to inadvertently share personal information to scammers.

“The fact that young, tech savvy Aussies are most likely to be the victim of ATO impersonation scammers should be a wake-up call to everyone,” Ord said.

Scam examples
Here's some examples of fake tax messages impersonating myGov. (Source: Customer Owned Banking Association)

New data from Norton found 14 per cent of Aussies had personally experienced cybercrime in the past 12 months, losing an average of $863.79.

Norton APAC managing director Mark Gorrie said the amount of personal and financial information shared at tax time, coupled with the stress that comes with filing returns, created a “perfect storm for scammers”.

Gorrie shared three common tax scams people should be looking out for this year.

This is when fraudsters access people’s accounts and change their bank account details. They then impersonate them and fraudulently lodge refund claims with the ATO.

To avoid this scam keep your tax file number safe, shred any documents with your personal information and ensure your online accounts, including myGov, have strong passwords and multi-factor authentication.

This scam is when fraudsters pose as ATO representatives to try and convince you to share your details. It commonly happens via text, email or social media accounts.

To avoid this scam remember the ATO will never send you an email, text message or post on social media asking you to reply with your information or send you a link to log into online services or give personal information. Other telltale signs include urgent threats and newly created unverified accounts.

This is where people offer to complete your tax return for you and will promise substantial returns and a speedier process. They then ask for access to your myGov accounts or take your personal details and payments before disappearing.

To avoid this scam check tax preparers are registered on the Tax Practitioners Board. Never share your myGov password with anyone and enable two-factor authentication.

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