It can be time-consuming and difficult to recover from the theft of tax identity, and fraud is ongoing with the start of the 2024 income tax filing season. There are simple steps to keep in mind, such as filing your tax return early so that someone else can’t pretend to be you. Also beware of old scams that are already beginning to resurface in new ways, along with cybercriminals who claim to be from the IRS via email or text and offer refunds, credits and covid-related payments. .
With tax season officially underway, you will need to prepare to file your 2024 tax return and prepare for the already wandering scammers. Do not snag the food and snag it.
Many people are lax about protecting their personal information online. And there’s a reason to be more vigilant than ever, given the widespread hacks, including a massive data breaches of nationally public data from background check companies, which have released an estimated 2.9 billion records, including Social Security numbers.
Andy Phillips, vice president of H&R Block’s tax lab, says protecting yourself is important for many reasons, including how long and difficult it is to recover from tax theft. .
“Consumers need to be thinking about how to protect their personal and tax information online to avoid becoming a victim of tax-related identity theft,” he said. .
There is also always the risk that financial needs and stress will lead you to hurry and make decisions when things that are too good are not true. According to a recent Credit Karma survey, nearly 40% of taxpayers need a refund to meet their refund.
There are times when the basics of working with tax professionals, which are always the starting point, and sometimes not. According to the Internal Revenue Service, more than half of taxpayers rely on tax professionals to help file their tax returns. Choosing a reputable provider can help prevent financial harm. Taxpayers should avoid unethical “ghost” filers who do not sign or include, or do not sign, or include any valid creator tax identification numbers (PTINs) that they prepare. there is.
Taxpayers can also use the IRS directory of qualified federal tax return authors and select their eligibility to find reliable professionals. It is also recommended that you choose a provider affiliated with a recognized national tax association. The National Association of State Accounting Committees maintains a database to ensure that consumers are certified public accountants and are in good condition.
And there are more specific ways in which our tax life migration and daily life transitions can introduce additional risks online during the tax season. Below are some ways to help consumers keep their identity and personal information safe.
Make sure your provider uses a secure online process
Choosing a vetted tax professional is the first step, but when sending personal information over the Internet, make sure your provider provides a secure link. A spokeswoman for Turbotax.
If your tax professional is asking you to send personal information via email, it may be time to switch providers. “We don’t send important documents via email,” Greenlewis said.
File early or use IRS pins to reduce tax-related identity theft
A scammer may try to file a tax return using someone else’s Social Security number. To mitigate this possibility, Phillips said taxes will be filed as soon as possible. In many cases, Social Security numbers can only be used on electronically filed tax returns, so early application can reduce the chances of tax ID theft.
Of course, many people have already done this. Of course, many expect a refund. The IRS estimates that it will file more than 140 million personal tax returns for 2024 taxes ahead of its April 15th federal deadline.
Another option is for taxpayers to request identity protection pins from the IRS. This prevents someone else from filing a tax return using a Social Security number or an individual taxpayer’s identification number. This pin helps you verify the taxpayer’s identity when filing an electronic or paper tax return and add an additional layer of security. Many taxpayers are eligible to establish pins online. Otherwise, you have the option to fill out the PDF and send it to the IRS via postal mail or fax.
Beware of fake “IRS” emails or texts
According to the IRS, it’s important to know the warning signs as thousands of people lose their personal information against millions of dollars and tax fraud. The IRS usually contacts people for the first time through regular US mail delivered by the US postal service. To confirm that the IRS has sent you a letter or notification, you can search on IRS.Gov. Some letters are sent from private collection agencies.
The IRS will not begin contacting you via email, with a few exceptions, such as if you have an account and choose to do an email or criminal investigation. Similarly, the IRS will not text taxpayers without permission. The IRS may call to discuss your case, review information, or set up a meeting, but that is not unsolicited. In-person visits are also rare, and the IRS usually sends letters in advance.
Fraudulent communications that claim to be from the IRS or related individuals may have typos or other mistakes, but artificial intelligence will make these communications even more It is refined and can be difficult to spot scams. The best advice is not to click on any random links in emails or text, even from someone you think you are aware of. Emails and texts can be easily spoofed, and we’re sorry but it’s better to be safe.
Do not rush to charge refunds, credits, or payment offers
Scammers often try to mislead people about tax refunds, credits and payments. They put pressure on people for personal, financial, employment information or money. Warning signs of possible fraud include large payday promises, immediate payment requests, or threats if not.
Also, don’t fall into a scam where someone offers to seek benefits on your behalf for some of the refunds. “If someone is charging you a portion of your refund, it’s a red flag. You need to leave,” Phillips said. If they offer to help with credit but refuse to sign your tax return, it’s another red flag, he added.
Consumers can read the latest consumer alerts on tax fraud identified by the IRS on their website.
Please note that pandemic-related scams are still being used today
New and old scams with slightly different twists are constantly appearing.
In January, the Identity Theft Resource Center consumes criminals who cheated people in emails and texts to believe they are eligible for pandemic-related economic impact payments (EIPs) and claimed it was from the IRS. I warned the person. The scammers have ordered victims to respond or click on malicious links so that they can steal personal and financial information that can be used for multiple fraudulent purposes, according to the ITRC.
Consumers receiving this type of message should be forwarded to the IRS at Phishing@irs.gov.
“You’re always careful and thoughtful about where you’re providing your information and what you share,” Phillips said.
Source link
