The IRS has issued a warning to taxpayers about fake charities that have emerged in the wake of Hurricanes Milton and Helene. These fraudulent organizations aim to collect sensitive personal and financial information from donors looking to help those affected by natural disasters.
To safeguard against such scams, the IRS advises potential donors to use the Tax-Exempt Organization Search (TEOS) tool available on IRS.gov. This tool helps verify whether a charity is legitimate and eligible to receive tax-deductible contributions.
IRS Commissioner Danny Werfel emphasized caution, stating, “Many people want to help survivors and their families by donating to charities. Too often, criminals take advantage of would-be donors’ kindness by stealing money and personal information from well-meaning taxpayers. You should never feel pressured by solicitors to immediately give to a charity. It’s important to do the research to verify if they’re authentic first.”
The TEOS tool allows users to confirm the legitimacy of a charity, check its eligibility for tax-deductible donations, and search for details about its tax-exempt status and filings.
Additional tips from the IRS include verifying any charity's legitimacy as scammers often use names similar to well-known organizations. Potential donors are encouraged not only to request detailed information about the charity but also independently confirm it using the TEOS tool.
Furthermore, donors should be wary of how donations are requested. Charities asking for gift card numbers or wired money are likely scams; credit card or check payments are recommended after verification.
Donors should avoid sharing excessive personal information such as Social Security numbers or credit card details since scammers seek both money and data.
Finally, legitimate charities do not pressure individuals into making immediate donations; thus, any pressure tactics should be viewed with suspicion.
For more resources on identifying fake or suspicious charities, individuals can refer to the FBI’s guidance on Charity and Disaster Fraud.
