Treasury warns of fraudsters using fake letters in collections scam

Michigan taxpayers with past-due tax debts should be aware of an aggressive scam making the rounds through the U.S. Postal Service, according to the Michigan Department of Treasury (Treasury).

In the scheme, taxpayers receive a letter about an overdue state tax bill that requests individuals contact a toll-free number to resolve the debt.  The letter threatens to seize a taxpayer’s property — including bank accounts, wages, business assets, cars, real estate, refunds and cash — if the debt is not settled.

The piece of correspondence appears credible to the taxpayer because it uses specific personal facts pulled directly from the internet and public records, as well as has an official-looking “DR-1024” form number. The scammer’s letter attempts to lure the taxpayer into a situation where they could make a payment to a criminal.

“Scammers have been circulating these fake letters in the mail across the country,” said Deputy State Treasurer Kavita Kale, who oversees Treasury’s Revenue Services programs.

“The state of Michigan works collaboratively with individuals to find solutions to their outstanding state debts. If you receive an aggressive and threatening letter, please contact Treasury directly so we can log the scam, clarify your state debt status and discuss options.”

Treasury corresponds with taxpayers through official letters that use state of Michigan letterhead that embody both the names of the governor and state treasurer. These official letters are sent through the U.S. Postal Service, provide several options to resolve an outstanding debt and outline taxpayer rights.

Taxpayers who receive a letter from a scammer or have questions about their state debts should call Treasury’s Collections Service Center at 517-636-5265. A customer service representative can log the scam, verify outstanding state debts and provide flexible payment options.

To learn more about Michigan’s taxes and the collections process, go to www.michigan.gov/taxes or follow the state Treasury Department on X at @MITreasury.

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