We hear of identity theft throughout the year. Someone stole credit or debit card information from a card reader or store databases are hacked for login credential, personal information and more. The credit bureaus, banks, businesses, credit card companies and individuals are learning their lessons on how to better safeguard private information. As reported in the Wall Street Journal, the latest identity theft scare is coming from online tax filing companies.
The FBI has begun investigating a string of reported events associated with TurboTax Software Company. The IRS has reported a string of bogus tax filings this year that all have the exact information as the 2013 entries. TurboTax has not been able to determine where the breach occurred, but has not seen any reason to believe that it came from within their system. Nevertheless, this new fraud activity is alarming the IRS and FBI.
Identity theft is a real issue and the IRS is taking it seriously. Stolen-identity tax fraud is not new, but the wave of problems already early on this tax season has the FBI eager to find the source of fraudulent information.
Broyles & Company wants to help educate people about tax fraud and what to do if identity tax fraud. This CPA team has created a page, “Taxpayer guide to Identity Theft”, devoted to helping readers understand tax identity theft and the warning signs and how to get help.
State returns will be processed slower this year. Refunds will get delayed in order to make sure the money goes to the correct person. Some state tax authorities will send physical verification letters to recipients when they believe there is something inconsistent with other tax years. Authorities are paying a close eye on returns that are filed at a different tax time than previous years, has a change of address or bank account for automatic deposit.
If you haven’t already filed and received your tax return, you will want to read through the Broyles and Company informative page to help you understand signs to watch out for. If you have unfortunately been a victim to tax identity theft, this page will also give you a step-by-step process of what to do.
“Taxpayer guide to Identity Theft” will help you solve problems that include:
- Contacting the major credit bureaus to protect against further fraudulent activity
- Handling a compromised Social Security Number
- Safeguarding your personal information at home and on your computer
- What to expect from IRS communications
If you have any questions or concerns that you would like answered from an experienced CPA, please call Broyles and Company CPA’s of Middleton, WI. They understand the threat of identity tax fraud and want to help you safeguard your financials.