AI-generated voices. Fabricated capital gains claims. Social media "tax hacks." The IRS released its annual list of the twelve nastiest tax scams of the year — and if any of them land, you're the one who pays for it.

Every year around tax season the IRS publishes what it calls the Dirty Dozen — a list of the twelve most dangerous tax scams making the rounds. It's been running for over two decades and every year, without fail, the list is worth reading. Not because the scams are always new, but because they keep getting better at fooling smart people. And this year, they're legitimately more sophisticated than ever.

The biggest shift in 2026? AI. Phone scammers are now using AI-generated voices and spoofed caller IDs to impersonate IRS agents with unsettling accuracy. The IRS is very clear on this: they almost always contact you by mail first. They will never call demanding immediate payment or threatening arrest. If someone does that, it isn't the IRS — hang up immediately. Read more at The Tax Adviser →

The biggest addition to this year's list is brand new: abusive undistributed long-term capital gains claims. Here's how it works — scammers file Form 2439, which allows shareholders of certain investment funds to claim a refundable credit for taxes paid on undistributed capital gains. But they either fabricate the claims outright or attach them to organizations that aren't legitimate funds at all. The IRS has seen a surge in this scheme and they are not amused. If you see anyone promoting this, walk away. Full breakdown at The Tax Adviser →

Speaking of social media — misleading tax advice on platforms like TikTok and Instagram is back on the list, and it belongs there. Viral "tax hacks" promising huge refunds or magic deductions are almost always wrong, inapplicable, or outright fraud bait. The IRS has been clear: if you follow bad advice and file an inaccurate return, you are still responsible for the outcome. Your influencer won't be there when the audit notice arrives.

A few others from the list worth keeping in mind: fake charities exploiting recent disasters, "ghost preparers" who refuse to sign returns and leave you legally on the hook for their errors, and the ongoing bogus "Self-Employment Tax Credit" promotions showing up in inboxes encouraging people to file claims they simply don't qualify for. Bottom line — the IRS will never text, DM, or call you out of nowhere. If someone reaches out unsolicited offering a big refund through a credit you've never heard of, that's the pitch. Report it at IRS.gov/SubmitATip and move on.

The government will deposit $1,000 into a new tax-advantaged account for every eligible child born between 2025 and 2028. The formal rules just dropped. Here's how it actually works — and why the math on this one is hard to argue with.

If you have a child born in 2025, 2026, 2027, or 2028 — or you're expecting — pay attention to this one. The IRS issued formal proposed regulations this week for Trump Accounts, a new type of tax-advantaged investment account created under the One Big Beautiful Bill. The headline: the federal government makes a one-time $1,000 contribution to the account of every eligible child, as long as the child is a U.S. citizen with a Social Security number and you've filed a simple Form 4547. Read the full breakdown at The Tax Adviser →

The mechanics are worth understanding. Once you open an account, you can contribute up to $5,000 per year starting July 4, 2026. Employers can also chip in up to $2,500 annually without it counting as taxable income to the employee — which is actually a solid employee benefit that a lot of small business owners haven't thought through yet. The money gets invested in index funds tracking the U.S. market. The IRS has already received over 2 million enrollment forms. More details here →

A few things worth knowing before you file. The $1,000 pilot contribution is only for children born 2025 through 2028 — it's not retroactive. You have until the end of the year the child turns 17 to make the election, so there's no panic required. But there's also no reason to wait. The sooner the money is invested, the longer it compounds. And you don't need to file your tax return first — Form 4547 can be submitted independently at TrumpAccounts.gov right now.

Is $1,000 life-changing? No. But here's the math: $1,000 invested in an S&P 500 index fund at birth, left alone for 18 years at an average 7% annual return, grows to roughly $3,400 by the time your kid heads to college. It's free money in a tax-advantaged account that costs you one page of paperwork. That's a pretty good trade.

Here's one nobody is talking about yet: the 2026 FIFA World Cup hits North America this summer — 48 teams, 16 stadiums, three countries — and it's already creating a genuinely messy tax situation for players, coaches, and support staff. When a Brazilian forward earns match bonuses playing in New Jersey one week and Los Angeles the next, how does the U.S. tax that income? What about players from countries with no U.S. tax treaty? What happens when the same paycheck gets taxed in Mexico City and Miami?

Bloomberg Law flagged this on TaxProf Blog this week and it's actually a fascinating window into how complicated cross-border income taxation gets when you throw an international sporting event into the mix. For most of us it's a spectator sport — but if you have clients with international income or athletes in your network, the principles at play here aren't that far from everyday planning. Read the full piece at TaxProf Blog →