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IRS Warns of tax scam targeting Minnesotans

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ST. PAUL - The Internal Revenue Service is warning of a scam that targets seniors and low-income Minnesotans that promises a tax refund or rebate based on Social Security benefits.

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Fliers and advertisements for "free money" from the IRS have been appearing in community churches and senior centers around the country, including Minnesota.

"The scam encourages people to file tax returns to get a refund, rebate or stimulus check based on withholding from Social Security benefits," said IRS spokesperson Carrie Resch.

"The problem is that this kind of withholding never took place," said Resch.

People are being victimized because they end up paying the scammer a fee to prepare the returns, only to find out their claims are rejected or they have to return the money to the IRS, plus potential penalties and interest.

Anyone with questions about a tax credit or program should visit www.IRS.gov, call the IRS toll-free number at 800-829-1040 or visit a local IRS Taxpayer Assistance Center.

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