Alert 1019 scam messages falsely claim new government program will wipe out your tax debt

Readers often reach out to VERIFY asking if suspicious emails, text messages and even phone calls are scams.

Recently, a VERIFY team member was on the receiving end of one such unsolicited phone call. It was an automated voice message – known as a robocall – from a 1-800 number that said the intent of the message was to inform them of back taxes owed, and the possibility they could have impending tax liens and bank levies.

A portion of the automated message said that using “the newly introduced federal economic recovery policy, you can prevent these liens and levies by choosing to act accordingly. You will not need to repay the overdue taxes. They will simply be classified as non-collectible and dismissed.”

The message then said to go to alert1019.com to take advantage of the “new policies” to resolve tax debts. 

Online search data show people have also been asking whether “Alert 1019” is a scam.  

THE QUESTION

Is Alert 1019 a legitimate federal program to reduce tax debts?

THE SOURCES

• Debt.org
• Internal Revenue Service (IRS)
• Mark Steber, chief tax information officer with Jackson Hewitt Tax Services
• Alaska Department of Law’s Consumer Protection Unit
• Federal Trade Commission (FTC)
• Security.org
• Scam tracking websites OnlineThreatAlerts and NomoRobo
• Taxpayer Advocate Service (TAS), an independent organization within the IRS

THE ANSWER

No, Alert 1019 is not a legitimate federal program to reduce tax debts.

WHAT WE FOUND

Alert 1019 is not a real program and is not affiliated with any legitimate federal tax relief programs, VERIFY found. According to scam tracking websites OnlineThreatAlerts and NomoRobo, the Alert 1019 scams were first reported in early November 2023.

After VERIFY received the voicemail about Alert 1019, we investigated this message in detail for indicators this is a scam. First, we tried to access the website mentioned in the message. We were taken to a website with no reference to “Alert 1019” and instead it featured an artificial intelligence (AI) chatbot with the logo that said “Agent AI” at the top of the page. A chatbot is a computer program that simulates human conversation.

Security.org, a company that specializes in security research, says suspicious chat programs like these could be designed to exploit users and steal personal information. 

The bot said it would direct the user “through the ins and outs of the groundbreaking Abatement Tax Program.” 

The first message from the bot also says: “As a member of the Federal Back Tax resolution department’s analyst team, I’m equipped to provide you with all the details you need to understand the remarkable benefits this program offers. I’m here to make this experience as informative and personalized as possible!. Before we embark on this enlightening journey, may I ask your first name?” 

We noticed a typo in the bot's text, which can also be an indication of a scam.

Further, VERIFY found no “Federal Back Tax resolution department” on any IRS or Treasury website, as the bot suggested. On the robocall message, the message referenced a “newly introduced federal economic recovery policy,” but there is no such thing. 

Mark Steber, chief tax information officer with Jackson Hewitt Tax Services, told VERIFY there are tax-related scams each year, including phone calls like the one VERIFY received, and the scammers’ intention is to scare the receiver into thinking they have to act fast.

An IRS spokesperson also told VERIFY the phone message about Alert 1019 has some of the characteristics they often see with tax-related scams. If a call comes from the IRS, it would clearly say so, and unlike this message, any web page referenced would have a URL that ends in IRS.gov, and not .com as this one indicates, they said.

“If you ever get a message and think it COULD be the real deal, I strongly recommend you reach out to a tax professional who can confirm if it’s real or a scam,” Steber said. “Whether you work with a professional or do your taxes on your own, any competent professional will help you debunk a fraudster.”

The IRS calls the companies that operate these scams Offer in Compromise (OIC) mills. The mills make “outlandish” claims regarding how they can settle a person’s tax debt, sometimes “for pennies on the dollar.” The companies also typically claim they work through an IRS or IRS-like program or will file through the IRS for you.

Alaska Department of Law’s Consumer Protection Unit warns “these companies usually charge a high upfront fee, possibly thousands of dollars, for their services. They tell consumers that they can stop IRS collection activity and resolve IRS problems. After collecting their advance fee, these companies often fail to provide the promised tax relief.”

The Federal Trade Commission (FTC) says these programs can seem too good to be true because they often are.

“The truth is that most taxpayers are unable to qualify for the programs these scammers advertise. In many cases, these companies don’t settle your tax debt. Some don’t even send your paperwork to the IRS to apply for programs to help you. These companies often leave people further in debt,” the FTC warns.

Recommendations on how to handle tax debt

The IRS says if you can’t pay the full amount of taxes you owe, “don’t panic.” Here are some options: 

• Submit your return on time and pay as much as you can with your return. The more you pay by the filing deadline, the less you would be charged in interest and penalties.
• Complete an Online Payment Agreement to request an installment agreement if you owe less than $50,000 in combined tax, penalties and interest. All returns must be filed and current for this option.
• If you owe more than $50,000, you still might be able to qualify for installment payments, but a different form needs to be completed. 

Taxpayer Advocate Service (TAS), an independent organization within the IRS, says if the IRS finds a taxpayer can’t pay both your taxes and your basic living expenses, they could qualify for federal taxes to be placed in Currently Not Collectible (CNC) status. The IRS would ask for financial information, review income and expenses, and decide whether you can get a loan or sell assets before placing someone in CNC status. 

That doesn't mean the taxes due are dismissed. The IRS can keep tax refunds and apply them to debt and conduct regular audits to determine if someone can pay, TAS says.

Taxpayers can visit IRS.gov/payments to pay their federal taxes anytime throughout the year.