Avoid Costly Mistakes: Why Social Media Isn't Reliable for Tax Tips

ARTICLE | December 19, 2024

Authored by Vasquez + Company

Social media can be a source of misinformation and scams, especially when it comes to tax advice. The IRS warns against bogus claims circulating on platforms like Facebook, TikTok, Instagram, and X. This article discusses common myths about self-employment tax credits, misuse of tax forms, fuel tax credits, and the Employee Retention Tax Credit (ERTC). It emphasizes the importance of consulting a reputable tax professional before filing any claims.

Key Points:

• Inaccurate Tax Advice: Social media posts often provide misleading information, such as claims of self-employment tax credits or large ERTC refunds.
• Misuse of Tax Forms: Scammers promote using legitimate forms like Form W-2 and Schedule H incorrectly to file for fake refunds.
• Fuel Tax Credit Scams: False claims for the fuel tax credit are on the rise, often involving fake documents or receipts.
• Employee Retention Tax Credit Misuse: Scammers encourage claiming the ERTC without meeting eligibility criteria, leading to IRS scrutiny and denials.

Read the full article to protect yourself from costly penalties and fees.

Our firm provides the information for general guidance only, and does not constitute the provision of legal advice, tax advice, accounting services, investment advice, or professional consulting of any kind. The information provided herein should not be used as a substitute for consultation with professional tax, accounting, legal, or other competent advisers. Before making any decision or taking any action, you should consult a professional adviser who has been provided with all pertinent facts relevant to your particular situation. This article is not intended to be used, and cannot be used by any taxpayer, for the purpose of avoiding accuracy-related penalties that may be imposed on the taxpayer. The information is provided “as is,” with no assurance or guarantee of completeness, accuracy, or timeliness of the information, and without warranty of any kind, express or implied, including but not limited to warranties of performance, merchantability, and fitness for a particular purpose.