Tax Scams | Recognising & avoiding tax & ATO scams

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How do tax scams work?

A tax scam is a sneaky attempt by scammers to impersonate legit tax authorities (like the Australian Tax Office or myGov) and scare or tempt people into making payments or giving away sensitive info. The scams come in many forms — phone calls, texts, emails, even social DMs – but they all have one thing in common: they’re fake. And expensive.

These cons often ramp up around tax time, feeding off the anxiety and confusion that many people feel when sorting out their finances. So, if someone’s claiming you owe money to the ATO or are due for a juicy refund – and they’re being pushy or dodgy about it – alarm bells should be ringing.

When you hear EOFY, you might think of snagging a bargain during a retail sale – but for most of us, it means one thing: tax time. And unfortunately, it’s also scam time.

Every year, scammers sharpen their skills just in time for 30 June, targeting stressed-out Aussies with fake tax debt threats, rebate traps, and dodgy myGov messages. Their end goal? To trick you into handing over your personal info or money.

Let’s break down the most common tax scams, how to spot them, and what you can do to keep your cash – and identity – safe.

Spot a tax scam red flag.

Tax scammers are clever – but not that clever. Keep your eyes peeled for these red flags:

Scare tactics.

If someone says you’ll be arrested unless you pay up right now, that’s a massive red flag.

Weird payment methods.

The ATO doesn’t accept Apple gift cards, crypto, or supermarket vouchers. Ever. Red flag.

Unsolicited contact.

Calls, texts or emails out of the blue? Especially ones asking for cash? Red flag.

Suspicious links.

Random links from unknown numbers or email addresses? Red flag.

Requests for NetCodes or passwords.

These are yours and yours alone. If someone’s asking, red flag.

Dodgy looking domains.

Hover over links before you click. If it looks off (like ‘my-gov-refund.biz’ or anything without a secure https://. Red flag.

What do tax scams look like?

There’s more than one way to fake a tax bill. Here are the usual suspects:

The fake ATO debt scam.

Someone calls you, claims they’re from the ATO, and tells you that you owe thousands in unpaid tax. They might rattle off fake employee ID numbers, give you a bogus case number, and even threaten arrest if you don’t pay immediately. The goal? Scare you into handing over money fast – before you realise it’s a scam.

They often ask for weird payment methods like gift cards, cryptocurrency, or prepaid debit cards. Spoiler alert: the ATO does not want to be paid in iTunes vouchers.

The myGov rebate scam.

This one’s sneakier. You’ll get a text or email saying you’re eligible for a tax refund and need to log in via a link to claim it. The link looks like it leads to myGov, but it actually sends you to a fake website designed to steal your login details, banking info, or both.

If you take the bait, scammers can hijack your account and drain your funds faster than you can say ‘rebate’.

Cardless cash cons.

A scammer convinces you to generate a Cardless Cash withdrawal from your account – then asks for the authorisation code. Once they’ve got that, they’re off to the ATM to clean you out.

What tax scams are out there?

There’s no shortage of taxation scams floating around during EOFY. Recognising the different types can help you dodge them before they do damage.

Here’s a quick rundown of the most common tax-related scams:

Tax debt scams.

Scammers impersonate the ATO, claiming you owe tax and demanding immediate payment.

They’ll often threaten arrest or legal action, and push for weird payment methods like gift cards or crypto.

Tax refund scams.

These ones dangle a fake refund in front of you. You’ll get a text or email saying you're owed money – all you have to do is ‘verify your details’.

The catch? The link leads to a fake myGov site built to steal your login info and bank details.

TFN and ABN scams.

Fake services claim they can get you a Tax File Number (TFN) or ABN fast – for a fee. You pay up but get nothing in return except a hit to your bank account and identity.

Social media tax advice scams.

Scammers pretend to be the ATO on platforms like Facebook, replying to real tax questions with bogus ‘helpful’ links. One click, and you’re on a phishing site.

myGov rebate scams.

You’ll get a message claiming you're eligible for a myGov rebate – just log in and claim it. Except the link is fake, and logging in hands scammers the keys to your account.

Call spoofing.

Scammers fake the ATO’s caller ID so it looks legit. Then they pressure you into paying a fake debt or sharing sensitive details over the phone.

How to protect yourself from taxation scams.

Good news: staying safe from taxation scams is totally doable. Here’s how to outsmart the scammers:

Be sceptical of any unsolicited contact from someone claiming to be from the ATO or myGov.

Don’t give out personal or banking information over the phone or via email.
Never pay a tax debt with gift cards, crypto, or prepaid debit cards.
Always check the legitimacy of a request by calling the ATO directly on 1800 008 540.

If you get a suspicious text or email, don’t click on any links — go directly to the official myGov or ATO websites instead.

At ME Bank, we know how slick and convincing scams can be, and we’re committed to keeping you one step ahead of fraudsters.

We keep you in the loop with up-to-date alerts on the latest scams making the rounds. Check out our latest scam alerts to stay informed.

Knowledge is mightier than the keyboard. Something feeling a bit shady? Visit our Protect Yourself page and shine a light on it.

If in doubt, call ME on 13 15 65.

Think you’ve been targeted by a tax scam?

Here’s what to do.

Caught in a scammy situation? Don’t panic. You’ve got options:

Cut contact immediately

Stop talking to the scammer. Don’t give them any more info
or money.

Report it.
Let the right people know.

ASIC (Australian Securities and Investments Commission) If the scam involved financial services.

Scamwatch To help track and prevent future scams.

Talk to us We may be able to stop or recover transactions.

Secure your accounts.

Change your passwords, especially for banking and email.

Check for chargebacks.

If you paid via credit card or bank transfer, a reversal may be possible.

Stay alert.

Scammers may try again. Be wary of follow-up scams pretending to help you recover lost funds.

Tax scams.