Scam threatens northeast PA businesses with fake documents. Learn how to stay safe.

David Mazzenga, Tri-County Independent
·3 min read

The Pennsylvania Department of Revenue (PDR) cautions business owners to be on the lookout for fraudulent letters impersonating the agency. These scam letters demand business owners turn over their accounting records which could put private information at risk.According to PDR: "The goal of this ploy is to trick unsuspecting taxpayers into providing sensitive financial information, which the criminals behind the scheme can use for a number of illicit activities that could seriously harm a business’ financial standing. "Revenue Secretary Dan Hassell urged business owners "to be on high alert if they receive a suspicious notice that includes the Department of Revenue name and logo. If you have any doubt at all about the legitimacy of a notice from the department, please use the contact information listed on our website, revenue.pa.gov. This is the best way to ensure you are speaking with a legitimate staff member at the Department of Revenue.”The scam letter uses official PDR name and logo to threaten business owners with “alleged violation of delinquent sales tax liability" unless they hand over accounting records provided by an attorney or CPA.

"Providing this information allows the scammers to comb through the accounting records for sensitive information such as bank account numbers and other financial data, which could be used to make unauthorized transactions, request fraudulent tax refunds, and even apply for loans under the name of the business." PDR said. Because many businesses in the Poconos, particularly the more rural areas of Wayne and Pike County, have fewer than 10 employees, the likelihood that they have an experienced professional in house to catch these scams is low, explained Mary Beth Wood, Executive Director of the Wayne Economic Development Corporation (WEDCO).Many local businesses are working at full capacity just to make ends meet and keep up with their production, Wood added, noting that any loss in revenue or critical information to a scam could be detrimental to their operations."We have to be extremely cautious whenever we are asked for personal information," said Wood. She emphasized this is important in both one's personal and professional lives. "Anytime we're requested to provide information should give us pause. Reach out and follow up before acting," she advised.While the document looks official, there are some minor details which prove them false:

  • The counterfeit notice does not include a return address. A notice from the Department of Revenue will always include an official Department of Revenue address as the return address.

  • The counterfeit notice addresses the recipient as “Dear Business Owner.” When the Department of Revenue attempts to contact a business through a notice in the mail, the notice typically addresses the business owner or business name.

  • The counterfeit notice is sent by the “Pennsylvania Department of Revenue Tax Investigation & Enforcement Unit” and claims the business is “under investigation by the Pennsylvania State Revenue and Cash Disbursement Unit.” While the department does conduct criminal tax investigations and tax enforcement, the units listed on the counterfeit notice are phony. Reach out to the department directly, as advised below, to determine if the “Unit” named exists.

  • The counterfeit notice claims that the business has not registered their “entity with the Pennsylvania Department of State and The Sales and Use Tax Division.” If you are an established business in Pennsylvania, it is likely that you already registered your business with the Pennsylvania Department of State and have registered for a sales tax license by completing the Department of Revenue’s PA Online Business Entity Registration (PA-100).

PDR encourages anyone who is suspicious of documents bearing their logo to verify the letter using the Online Customer Service Center.One can also verify by calling Taxpayer Service and Information Center. For Personal Income Tax inquiries, call (717) 787-8201; for Business Tax inquiries, call (717) 787-1064; for Property Tax/ Rent Rebate program inquiries, call 1-888-222-9190; and for Inheritance Tax inquiries, call (717) 787-8327.

This article originally appeared on Tri-County Independent: Businesses in northern Poconos warned of Department of Revenue scam