IRS Alert: Beware of a New Clean Energy Tax Credit Scam – Consult Trusted Tax Professionals

The IRS warns against a new scam involving clean energy tax credits under the Inflation Reduction Act (IRA). Unscrupulous tax preparers are misleading taxpayers into improperly claiming these credits, especially on Form 1040. Monarch urges taxpayers to consult with knowledgeable advisors when making tax credit investments.

Key Points:

• Scam targets individuals claiming clean energy credits they can’t benefit from.
• Taxpayers are urged to consult trusted tax professionals.
• Inappropriate claims can lead to future compliance actions, repayment, interest, and penalties.
• Stay informed and protect yourself. More details on the IRS website.

This is another example where scammers are trying to use the complexity of the tax law to entice people into claiming credits they’re not entitled to… we urge people to use a reputable tax professional before claiming complex credits like clean energy.

IRS Commissioner Danny Werfel

Read the entire alert