Fraudsters are targeting elderly and vulnerable people by asking them to pay off fake tax bills using iTunes gift cards.
HM Revenue and Customs (HMRC) has issued a warning about the scam, which is conning people out of thousands of pounds.
Figures from Action Fraud show that between the beginning of 2016 and August this year, over 1,500 cases have been reported, with the number of incidents rising in recent months. Many of the victims are aged over 65 and have suffered an average financial loss of £1,150 each, HMRC added.
This is how it works: The scammers are cold calling victims and posing as an HMRC member of staff. They then tell them that they owe large amounts of tax which can only be paid off through digital vouchers and gift cards, like those used on Apple's iTunes Store.
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Victims are told to go and buy these vouchers from the nearest shop and read out the 16-digit redemption code on the back of the card. The conmen then sell on the codes or purchase high-value products, all at the victim's expense.
HMRC said it would never request the settling of debt in this way. The organisation is now working closely with law enforcement agencies, Apple and campaign groups to make sure the public are aware of the scam and how to report it.
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In a statement on its support website, Apple reminded customers that its gift cards can only be used to purchase goods and services on the iTunes Store, App Store, iBooks Store, or for an Apple Music membership.
HMRC's Director General of Customer Services, Angela MacDonald, described the scammers as 'very confident, convincing and utterly ruthless.'
She added: 'We don't want to see anyone fall victim to this scam just before Christmas. That's why we're working closely with crime fighters to ensure taxpayers know how to avoid it.
'These scams often prey on vulnerable people. We urge people with elderly relatives to warn them about this scam and remind them that they should never trust anyone who phones them out of the blue and asks them to pay a tax bill. If you think you've been a victim you should contact Action Fraud immediately.'
Carrie-Ann Skinner, tech expert for Good Housekeeping says:
'Scammers are exploiting the fact at this time of year for some money is tight and the last think people want is an unpaid bill hanging over their heads.'
'HMRC would never request payment in the form of iTunes (or any other gift cards) - instead it would be as a bank transfer, cheque or debit card payment. If you receive any unsolicited emails, calls or letters from someone purporting to be HMRC, always check with them that they are genuine.'
If you suspect that you or a vulnerable or elderly relative has been the victim of this scam or a similar one, you should report it immediately to Action Fraud on 0300 123 2040 or use their online fraud reporting tool.
(via Prima)
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