From EAG News:

INDIANAPOLIS – Some students are scrambling to pay their “Federal Student Tax” before the Internal Revenue Service arrests them for back taxes.

In Indiana and elsewhere, hundreds of college students have received calls from scammers posing as IRS agents who have demanded payment for the fictitious tax and threatened to send the authorities if they don’t pay up, Fox 59 reports.

“That just doesn’t exist,” said Justin Hazlett, with the Office of the Indiana Attorney General.

Hazlett said the scam, which evolved from similar rip-offs targeted at the elderly and others who are naive about taxes, is more common this year as groups targeted in the past have wised up to the telephone ruse.

“Around this time last year, the AG’s office received around 1,500 complaints about the IRS scam,” according to the news site. “This year, the office has already surpassed that number at 1,709 complaints and a total of $37,660 in losses.

“In 2014, the total number of IRS complaints was 1,100.”

“These younger persons are … at a point in their lives where they are establishing credit. They don’t want to have a bad hit – if you will – against their credit, so the scammers have probably figured out they can get traction with those sorts of receptive audiences,” Hazlett said. “The best protection here though for consumers is just immediately hang up.”

The Attorney General’s office is asking anyone who receives a call about unpaid “Federal Student Tax” to report it to the agency.


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