$1,400 tax rebate: The program is real but the texts are a scam, BBB warns

LOS ANGELES - Eligible taxpayers could soon receive a $1,400 rebate from the IRS by the end of the month—but fraudsters are using the opportunity to run a phishing scam.

The Better Business Bureau (BBB) is warning that scammers are impersonating the IRS, sending fake text messages that claim recipients need to verify personal information before they can get their payment.

These messages often contain links to fraudulent websites designed to steal Social Security numbers, bank details, or other sensitive information.

Meanwhile, the real IRS rebate does not require any action. The agency announced in December that it is automatically distributing payments to people who didn’t claim the Recovery Rebate Credit on their 2021 tax returns.

How the scam works

The backstory:

Scammers are sending text messages that appear to come from the IRS, telling recipients they are eligible for a $1,400 Economic Impact Payment.

The messages often contain a link directing users to a fake IRS website, where they are asked to enter personal and financial information.

The IRS does not send text messages about tax refunds or payments and never requests personal details via text, email, or social media. Clicking on fraudulent links could lead to identity theft or malware being installed on devices.

A woman uses her smartphone.  (Getty Images. )

Who is eligible for the real IRS rebate?

Why you should care:

The IRS is sending $1,400 payments to taxpayers who were eligible for the Recovery Rebate Credit but didn’t claim it when filing their 2021 tax return.

Eligible individuals do not need to take any action—the IRS is issuing payments automatically through direct deposit or paper checks and will notify recipients by mail.

If someone did not file a 2021 tax return, they may still qualify by submitting their return and claiming the Recovery Rebate Credit before April 15, 2025.

How to protect yourself from IRS scams

What you can do:

Authorities recommend the following steps to avoid falling victim to scam messages:

• Ignore unsolicited texts – The IRS will never text you about a rebate or refund.
• Do not click on links – Fake links can install malware or steal personal information.
• Verify official communications – Legitimate IRS notices come through postal mail.
• Report scams – Forward suspicious texts to phishing@irs.gov and report fraud to the BBB Scam Tracker at BBB.org/ScamTracker.