Phishing Emails and Fake Refunds: These deceptive emails mimic SARS communications, tricking you into sharing personal information. They often notify victims of a tax refund and prompt them to provide bank details. Once given, scammers can directly steal funds from the victim's account.
Due Date Threats: Scammers pose as SARS officials, threatening legal action or arrest if immediate payment isn’t made. They may request payment through unconventional means like prepaid cards or wire transfers.
Auto-Assessment Fraud: With SARS’s increased use of auto-assessments, scammers exploit this by sending fraudulent assessment notices and redirecting victims to fake websites. These sites replicate SARS’s official website to harvest personal information.
SMS Scams: Fraudulent SMSs claim you owe tax or are due for a refund, urging you to follow a link or contact a number. Always verify the authenticity of such claims.
Spotting the Red Flags – Telltale Signs of a Scam
To avoid falling victim, stay alert for these warning signs:
Email Source: Authentic SARS emails come from a @sars.gov.za address. Be cautious of sub-domains or misspelled email addresses.
Urgency and Threats: Scammers often create a sense of urgency, threatening penalties or legal action if immediate action isn’t taken.
Personalization: Genuine SARS communications include your personal tax number and other identifying information. Lack of such details is a red flag.
Grammar and Spelling: Poorly written emails with spelling or grammatical errors are clear signs of unprofessionalism and should raise suspicion.
Requests for Personal Information: SARS will never request your banking details, login credentials, or credit card information via email or SMS.
Suspicious Links and Attachments: Be wary of links directing you to unfamiliar websites or emails with attachments, especially .htm or .html files.
Practical Steps to Protect Your Business
Understanding the different types of scams is just the beginning. Here are practical steps to stay ahead of scammers and protect your business:
Verify Communication and Authenticity: Always verify the authenticity of any communication from SARS. Contact SARS directly using the official contact details available on their website. Remember, SARS will never ask for your banking details via email, SMS, or over the phone.
Educate Employees: Ensure your team is aware of these scams. Conduct regular training sessions on identifying and responding to suspicious communications.
Secure Your Information: Use strong, unique passwords for your SARS eFiling account and other sensitive accounts. Regularly update these passwords and use two-factor authentication where possible.
Report Suspicious Activity: If you receive a dubious email or call, report it to SARS’s Fraud and Anti-Corruption hotline (0800-00-2870) or email. This helps SARS track and mitigate ongoing scams.
Secure Payments: When making payments to SARS, use the official banking details provided on their website. Avoid using account numbers provided in emails or phone calls.
Stay Informed: Stay updated on the latest scam tactics by regularly visiting the SARS website and subscribing to their alerts. The SAFPS also provides resources and a platform to report fraud through their Yima tool, which helps secure identities and scan websites for vulnerabilities.
By being aware of the common tactics used by scammers and taking proactive measures, you can protect your business from falling victim to tax fraud. Remember, when it comes to tax scams, vigilance and education are your best defenses.
