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Mike DiSabatino CPA

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Identity Theft and Form 5071C - What you need to know

Identity Theft and Form 5071C - What you need to know
Identity Theft and Form 5071C
What you need to know 

You’ve been patiently waiting for your tax refund to show up and instead of a refund check you receive IRS Form 5071C in the mail. This is often the first indication you will receive from the IRS that you may be the victim of identity theft. Here is what you need to know. 

Something triggered the notice. If you received this notice, the IRS has found something filed under your Social Security Number that causes them pause. Until you verify your identity and clarify the information in question, the IRS will not process your tax return and any related refund.

Follow the instructions. The IRS now has an online means of responding to their request for identity verification. The form 5071C will provide you information on what to do to respond to the IRS verification request. This can be done online at the web site on the notice. You can also respond via telephone. Remember to cross-check any written notice received from the IRS with information that can be found on the IRS web site at www.irs.gov. The IRS verification web tool is: idverify.irs.gov. This site is only used for responding to 5071C information. You will need this year's and last year's tax return information to respond to their request.

What to expect. Remember, your tax return processing is now on hold. The extra step to verify information is being done to protect your identity. It will now take longer to process your tax return so plan accordingly.

Good luck identifying what they have. One of the biggest complaints of IRS identity theft victims is the unwillingness of the IRS to tell you what they have in your tax file that created the need to hold up your tax return processing. A few taxpayers have challenged this, but to date have been unsuccessful in determining what exactly was stolen and by whom. Don’t expect this to change in the near future.

Take necessary steps to monitor your identity. If the IRS thinks your account has been compromised, take the necessary steps to protect your identity. This includes, but is not limited to, contacting the proper authorities, contacting the major credit bureaus, and placing additional protection on your sensitive accounts. Here is a link to walk you through the steps to take should you believe your identity is stolen:

Identitytheft.gov

Should you receive a Form 5071C, please call us and ask for help. This is something that requires your immediate attention.

DiSabatino CPA

Michael DiSabatino
651 Via Alondra Suite 715
Camarillo, CA 93012
Phone: 805-389-7300
ww.sharpcpa.com

This publication provides summary information regarding the subject matter at time of publishing. Please call with any questions on how this information may impact your situation. This material may not be published, rewritten or redistributed without permission, except as noted here. All rights reserved.

 

 

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