An ongoing smishing campaign is targeting New Yorkers with text messages posing as the Department of Taxation and Finance, claiming to offer “inflation refunds” in an effort to steal victims’ personal and financial data.
Inflation Refunds are a New York State initiative that automatically sends refund checks to eligible residents to help offset the effects of inflation.
Those who qualify include taxpayers who have filed a return, meet certain income limits, and are not claimed as a dependent by another filer. New Yorkers do not need to apply, sign up, or provide any personal information to receive their checks, as they are automatically mailed to eligible taxpayers.
In a new smashing attack spotted by BleepingComputer, text messages claiming to be part of the state’s “inflation refund initiative” urge recipients to click on a link to provide information to process a refund.
The phishing text reads, “Your refund request has been processed and approved. Please provide accurate payment information by September 29, 2025. The funds will be deposited into your bank account or sent to you via paper check within 1-2 business days.”
“Failure to submit the required payment information by September 29, 2025 will result in permanent forfeiture of this refund under New York Revised Statutes §5747.11.”
Source: BleepingComputer
Clicking the link takes you to a page impersonating the New York Department of Taxation and Finance, which prompts the visitor to check their refund status by clicking the “Check Refund” button.
Doing so will open a page asking the person to submit their personal information, including their name, address, email address, phone number, and social security number.
Source: BleepingComputer
Fraudsters can use this submitted information to commit identity theft and financial fraud.
On September 28, the Office of Governor Kathy Hochul issued a warning about the scam, stating that scammers are sending text messages, emails, and direct mail to trick people into providing sensitive payment information.
“New Yorkers do not need to do anything to receive an inflation refund check other than meeting eligibility requirements,” Governor Hochul said.
“With scams targeting the state’s inflation refund initiative, let me be clear: the Tax Department and the IRS do not call or text individuals for personal information. My administration urges New Yorkers to remain vigilant and report these scams to the Tax Department to protect themselves from falling victim to them.”
The New York Department of Taxation and Finance also issued a warning, stating that the agency should never contact taxpayers via text, phone or email regarding inflation refund checks.
Recipients can protect themselves by avoiding websites that come through unexpected emails or texts, hanging up on tax-related calls, and not agreeing to meet with anyone in person to hand over tax payments.
People who believe they have encountered or been the victim of one of these scams should report it to the IRS.
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