State Revenue Departments Issue Urgent Warnings on Phishing Scams
Tax professionals should be aware that in mid-September 2025, several state revenue departments issued alerts to taxpayers and tax professionals regarding a surge in phishing and "smishing" (text message phishing) scams. Scammers are impersonating state tax agencies through various channels—including text messages, emails, and phone calls—in an attempt to steal sensitive personal and financial information.
Here is a summary of the recent alerts from various states.
Virginia
The Virginia Department of Taxation (Virginia Tax) issued a warning on September 15, 2025, about a text message scam.
- Nature of the Scam: Scammers, posing as a Virginia revenue agency, are sending text messages claiming a tax refund will be permanently voided unless the recipient clicks a link to provide payment information. This is a tactic to steal personal information. Fraudsters may also use social media, email, and mail to impersonate Virginia Tax employees.
- Official Position: Virginia Tax has stated it will not ask for personal information or demand payment via text message.
- Recommended Actions:
- Do not click on links in, or respond to, unexpected or suspicious texts.
- Report and delete the messages.
- If uncertain about a communication's legitimacy, contact Virginia Tax directly to verify.
Texas
The Texas Comptroller of Public Accounts has been actively updating its fraud alert page with multiple warnings, including a recent one on September 5, 2025.
- Nature of the Scams:
- September 2025 Text Scam: Fraudulent text messages claiming to be from the “Texas Comptroller of Public Accounts" contain a malicious link intended to steal personal and banking information. The goal is to trick taxpayers into providing personal details and credit card information.
- August 2025 Text Scam: Another text scam falsely claimed to be from the "Texas Franchise Tax Board" and asked recipients to click links or provide bank account details.
- Email Scams: The Comptroller's office has also warned of various email phishing attempts, including some targeting Historically Underutilized Business (HUB) members, urging them to update records via malicious links. Other email scams involve fake DocuSign requests, fraudulent Transfer XL file downloads, and demands for vendors to renew memberships.
- Official Position: The Texas Comptroller’s office has emphasized that it will never ask for sensitive information via text message.
- Recommended Actions:
- Do not click on links, engage with the sender, or provide any personal or financial information.
- Delete suspicious messages and block the phone numbers immediately.
- Report suspicious messages by emailing the agency at stop.spoofing@cpa.texas.gov.
- If you have clicked on a malicious link, immediately run protective software and change relevant passwords.
Minnesota
The Minnesota Department of Revenue updated its fraud and scam alert page on September 15, 2025, to address a recent text message scam.
- Nature of the Scam: Taxpayers have reported receiving text messages that appear to be from the Minnesota Department of Revenue, asking them to update their banking information.
- Official Position: The department confirmed it will never send unsolicited texts asking for personal data. The agency also stated it will never ask for personal information to be provided, updated, or verified through unsolicited emails.
- Recommended Actions:
- Do not reply to or click any links in the suspicious text message.
- If you are concerned about a potentially fraudulent contact, call the department at 651-296-3781 or 1-800-652-9094 to verify if the contact was legitimate.
- Never provide personal information unless you are absolutely sure the situation is legitimate.
New Jersey
On September 15, 2025, the New Jersey Division of Taxation updated its alerts regarding an increase in text message and email scams.
- Nature of the Scam: Scammers are sending unsolicited text messages and emails claiming to be from the Division of Taxation. These "smishing" texts are often urgent in nature and ask recipients to verify banking information or pay a tax due through a provided link. The agency also warns of phone scams where callers impersonate tax officials and demand immediate payment, sometimes threatening police action.
- Official Position: The Division of Taxation stated it does not initiate text messages with taxpayers and will only send a text if requested through its phone system. The Division primarily uses U.S. mail for first contact regarding unpaid taxes. An incoming call from the Customer Service Center number (609-292-6400) is a definite scam attempt, as the number is not used for outbound calls.
- Recommended Actions:
- Never click on links or share personal information in an unsolicited message.
- If unsure about a message, contact the Division directly through official channels.
- Verify suspicious texts by using contact information from the agency's official website, not from the text itself.
- If you receive a suspicious call, hang up.
North Dakota
The North Dakota Office of State Tax Commissioner issued a press release on September 9, 2025, warning of fraudulent text messages.
- Nature of the Scam: Fraudulent text messages appearing to come from the "North Dakota Department of Revenue" are circulating, asking for sensitive and confidential information like bank or credit card details via links.
- Official Position: The Office of State Tax Commissioner will never request sensitive personal information via a text message containing a link. The only texts a taxpayer would receive are refund alerts they specifically signed up for, and these reminders will never ask them to click a link or enter financial information.
- Recommended Actions:
- Do not click on any links, provide personal information, or respond to the message.
- Treat any such unsolicited messages as potential fraud.
- If you receive a fraudulent email or text, contact the Customer Support staff at taxinfo@nd.gov or call 701-328-7088 with any questions or concerns.
Michigan
The Michigan Department of Treasury released a warning on September 15, 2025, about a nationwide text message scam that is now circulating in the state.
- Nature of the Scam: Scammers are sending urgent, unsolicited text messages that appear to be from the Michigan Department of Treasury. The message falsely claims a refund has been processed and threatens forfeiture if the taxpayer does not submit accurate payment information.
- Official Position: The Michigan Department of Treasury never sends unsolicited text messages asking for personal data like banking information. The department corresponds with taxpayers through official letters sent via the U.S. Postal Service.
- Recommended Actions:
- Immediately delete any bogus text messages. Do not reply or click on any links.
- Taxpayers with questions about a refund or other tax issue should call the Individual Income Tax Information Line at 517-636-4486 to verify their status and log the scam.
Tax professionals are encouraged to share this information with their clients and staff to prevent them from falling victim to these fraudulent schemes. Given the large number of states posting about the issue at this time, professionals and clients should assume that such scam texts will be sent out claiming to come from all state revenue agencies eventually.
Prepared with assistance from NotebookLM.