identity theft - Linkenheimer LLP CPAs & Advisors

IRS Launches New Identity Theft Website

The IRS has launched “Identity Theft Central,” a new website devoted to identity theft and data security for taxpayers, tax professionals, and businesses. Available 24/7, the site provides resources on reporting identity theft and guarding against phishing, online scams, and more. Specifically, the site (1) lists steps to take if you become a victim of identity theft; (2) summarizes the responsibilities of tax professionals under the law; and (3) instructs businesses on how to recognize the signs of identity theft. Also, the page features videos on key topics that can be used by taxpayers or partner groups. The IRS encourages tax professionals to bookmark the site and periodically check the guidance for updates. Identity Theft Central can be accessed at www.irs.gov/identity-theft-central .

By Linkenheimer LLP|2020-09-03T20:03:19+00:00February 6th, 2020|irs|0 Comments

The IRS Releases its “Dirty Dozen” List of Top Tax Scams

The Internal Revenue Service wrapped up issuing its annual “Dirty Dozen” list of tax scams. We want to remind taxpayers to remain vigilant to these often aggressive and evolving schemes throughout the year.

This year’s “Dirty Dozen” list highlights a wide variety of schemes that taxpayers may encounter at any time, although many may peak during tax-filing season. The schemes run the gamut from simple refund inflation scams, fake IRS collection calls to complex tax shelter deals. A common theme throughout all: These scams put all taxpayers at risk.

Here’s the Recap of This Year’s “Dirty Dozen” Scams:

Phishing: Taxpayers should be alert to potential fake emails or websites looking to steal personal information. The IRS will never initiate contact with taxpayers via email about a bill or tax refund. Don’t click on one claiming to be from the IRS. Be wary of emails and websites that may be nothing more than scams to steal personal information. (IR-2019-26)

Phone Scams: Phone calls from criminals impersonating IRS agents remain an ongoing threat to taxpayers. […]

By Linkenheimer LLP|2020-09-03T20:04:11+00:00March 20th, 2019|tax, taxpayer|0 Comments

Why You Shouldn’t Wait to File Your 2018 Income Tax Return

The IRS opened the 2018 income tax return filing season on January 28. Even if you typically don’t file until much closer to the April 15 deadline, this year consider filing as soon as you can. Why? You can potentially protect yourself from tax identity theft — and reap other benefits, too.

What is tax identity theft?

In a tax identity theft scheme, a thief uses your personal information to file a fraudulent tax return early in the filing season and claim a bogus refund.

You discover the fraud when you file your return and are informed by the IRS that the return has been rejected because one with your Social Security number has already been filed for the same tax year. While you should ultimately be able to prove that your return is the legitimate one, tax identity theft can cause major headaches to straighten out and significantly delay your refund.

Filing early may be […]

By Linkenheimer LLP|2020-09-03T20:04:18+00:00February 6th, 2019|fraud, New Tax Laws, taxes, w2|0 Comments

Reminder IP PINs Are Required for Identity Theft Victims’ 2015 Returns

In mid December, the IRS issued CP01A notices containing a 6-digit Identity Protection Personal Identification Number (IP PIN) for taxpayers who are victims of tax-related identity theft. This notice is sent to taxpayers who: (1) reported to the IRS they are a victim of identity theft; (2) have been identified by the IRS as a victim of identity theft; (3) received an IP PIN last year, or (4) participated in the 2015 IP PIN pilot for residents of FL, GA, or DC. Beginning 1/1/16, taxpayers who are assigned an IP PIN must use it (regardless of whether the SSN is entered for a primary, spouse, or dependent/qualifying individual) on the following returns: Form 1040 series, Form 2441 (Child and Dependent Care Expenses), and Schedule EIC (Earned Income Credit). If the IP PIN is not included in any of the required fields, the return will be rejected. See www.irs.gov/Individuals/IPPIN-Rule .

By Linkenheimer LLP|2020-09-03T20:05:17+00:00January 7th, 2016|irs|0 Comments

IRS Sending out ID Verification Letters

IRS Is Sending out Identity Verification Letters to Possible Identity Theft Victims: In its efforts to combat identity theft, the IRS is stopping suspicious tax returns that have indications of being identity theft, but contain a real taxpayer’s name and/or social security number and sending out (by US Postal Service) Letter 5071C to request that the taxpayer verify his or her identity. (The IRS will not email or telephone the taxpayer directly to request this information so please be cautious of anyone calling or emailing claiming to be from the IRS.) Taxpayers may use the idverify.irs.gov site or call a toll-free number on the letter to confirm their identity, but the IRS is encouraging the use of idverify.irs.gov as the safest, fastest option. Once their identity is verified, the taxpayers can confirm whether or not they filed the return in question. If so, it will take approximately six weeks to process it and issue a refund. If not, the IRS can take steps at that time to assist them. If you have any questions, please contact your Linkenheimer CPA.

By Linkenheimer LLP|2020-09-03T20:05:30+00:00March 24th, 2015|irs|0 Comments