Call was supposed to be from IRS, and said I owed 3900.00 dollars.

received a call claiming to be the IRS. Wanted $4500.00 first then $5400

Officer Sara Jones with and Indian accent from the IRS called and said I was going to be arrested if I didn't transfer $3500.00 immediately ! I had to stay on the phone with her but I could make the transfer at any Walmart and pay my taxes.

There is a widespread IRS (or CRA) or "tax scam" being  practiced by scammers on both USA and Canadian residents.

USA tax payers should read this:
http://www.irs.gov/uac/Newsroom/Phone-Scams-C ... 5-Filing-Season

Canadian tax payers should read this:
http://www.cra-arc.gc.ca/nwsrm/lrts/2013/l131210-eng.html

Short answer:
The IRS never initiates a contact via phone.
They always send a snailmail first.

Educational post:
This scam is also described as scam #11, here:
http://phonehelp.2truth.com/facts.html

If you were contacted by an IRS impostor, you may file a report, after clicking on this link:
http://www.treasury.gov/tigta/contact_report_scam.shtml

UPDATES:
Recent news story:
http://www.wltx.com/story/money/2015/03/12/fa ... -scam/70202814/

Congressional hearing:
http://www.nbcnews.com/business/taxes/tax-imp ... hearing-n341906

These people called my elderly family member yesterday and scared the hell out of her.  They kept her on the phone for 2 hours saying the IRS was trying her case right now and she owed $1500.  They wanted money wired immediately.  They were threatening and intimidating.

NEVER wire money to strangers on the phone EVER!

They had Indian accents and were difficult to understand.  It sounded like they were calling from a call center. They wanted all her personal information (SS#, Address, email, drivers license #, etc)

There have been 3 new calls placed today.  No message.  The name that appears with the number is Roy Killer.

There have also been several "Private Caller" phone calls….maybe no connection.

Read this:
http://www.irs.gov/uac/Newsroom/Phone-Scams-C ... 5-Filing-Season

Don't engage these people they are criminals who prey on elders.