A warning has been sounded by the US Internal Revenue Service to let people who live outside the US, but have income from an American source, that they could be targeted by fraudsters.

Last week the US tax agency, issued a Press release saying it had become aware of those behind fraudulent schemes targeting non-resident aliens, and that there were signs that the scheme was “spreading in the Caribbean area”.

Bermuda was not named specifically but it is understood that there are those in Bermuda who have received false requests from information from those purporting to be the IRS.

The Agency warned that the fraudulent scheme uses fictitious IRS correspondence and an altered IRS form in an attempt to trick foreign persons into disclosing personal and financial data, a practice called “phishing”.

It is known that Island residents have been targeted by those illegitimately seeking financial information under the false guise of saying they were associated with one of the Island's banks as well as letters from those falsely claiming to be seeking information as the IRS.

Handing over this information can prove disastrous as it may pave the way for the scam artists to steal one's identity and financial assets.

Those who feel they hay have received a fraudulent request for information should contact the Treasury Inspector General for Tax Administration by calling the fraud referral hotline ( 1 (800/880) 366 4484.