In the aftermath of Hurricanes Milton and Helene, the Internal Revenue Service is warning taxpayers about scammers who use fake charities to gather sensitive personal and financial data from unsuspecting donors.
Scammers commonly set up fake charities to take advantage of peoples’ generosity during natural disasters and other tragic events, the agency said in a statement Oct. 15.
Those interested in making donations should first check the Tax-Exempt Organization Search tool on the agency’s website, irs.gov, to help find or verify qualified, legitimate charities. With this tool, people can:
- Verify the legitimacy of a charity.
- Check its eligibility to receive tax-deductible charitable contributions.
- Search for information about an organization’s tax-exempt status and filings.
Tips to avoid fake charities
The IRS has a number of recommendations for taxpayers that can help them avoid falling victim to scams.
First, always verify. Scammers frequently use names that sound like well-known charities to confuse people.
Fake charity promoters may use emails, fake websites, or alter or “spoof” their caller ID to make it look like a real charity is calling to solicit donations. Potential donors should ask the fundraiser for the charity’s name, website and mailing address so they can independently confirm the information.
Use the TEOS tool to verify if an organization is a legitimate tax-exempt charity.
Be cautious about how a donation is requested. Never work with charities that ask for donations by giving numbers from a gift card or by wiring money. That’s a scam, the agency said.
It’s safest to pay by credit card or check — and only after verifying the charity is real.
Don’t share too much information. Scammers are on the lookout for both money and personal information. Never disclose Social Security numbers, credit card numbers or personal identification numbers.
Don’t give in to pressure. Scammers often pressure people into making an immediate payment. In contrast, legitimate charities are happy to get a donation at any time. Donors should not feel rushed.
