How do I Report Tax Fraud to the IRS
Identity theft is an increasing problem in the US, especially around tax time. If a hacker has stolen your social security number, they may seek to file fraudulent tax returns in your name with the goal of stealing your tax refund.
If you’ve installed a personal cybersecurity app that keeps your credit activity monitored 24/7, you’ll be notified of fraud attempts immediately as they happen. If you haven’t, you may not uncover suspected tax fraud until it’s time to file your tax return.
If you ever suspect you’ve been the victim of tax fraud, here’s what to do.
What to do if you’ve been the victim of tax fraud
If you have evidence that someone is committing tax fraud in your name, you should move quickly to alert the authorities. Here are the three steps you should quickly take as soon as you become aware of tax fraud.
Step 1: File a police report
Tax fraud is a crime, and needs to be reported. Contacting your local police department and filing a report will accomplish three things:
- It will create a record of the crime occurring
- It was establish the date of discovery on your part
- It will provide an official document from a legal authority that will help you in further stages of the process
File a police report immediately in order to help you in later stages of the process.
Step 2: Contact the IRS
After filing a police report, contact the IRS with details of your identity theft and tax fraud attack. Visit the Identity Theft Support Page on the IRS website and follow the steps indicated.
One of the most important things you can do is submit IRS Form 14039, Identity Theft Affidavit, which will inform the IRS of the reason for your duplicate or rejected tax return. You will not be punished, and will likely still receive your refund as the IRS will not blame you for criminal activity fraudulently taken in your name.
Step 3: Contact all three Credit Bureaus
Even after submitting police and IRS reports, the fact of the matter is that hackers now have access to your social security number, and can do irreparable harm to your credit and financial accounts.
You’ll have to contact all three credit repositories—TransUnion, Experian, and Equifax—and report theft of your identity. Contact all three bureaus to request a credit freeze and place a fraud alert on your credit.
If you have a personal credit monitoring service such as the one offered by Cyrus, it’s as simple as alerting Cyrus and all of this work can be done for you at the click of a button.
How do you speak to a live person at the IRS?
To reach the IRS and speak to a live person, call: 1-800-829-1040. Prepare to wait though, as the IRS often has a significant queue of people waiting, especially around tax time.
Be sure to pay close attention to the prompts, as if you press ‘9’ to hear options more than once, you may be disconnected.
Tax Fraud Examples
The first time you find out you may have been a victim of tax fraud is often when you electronically submit your tax returns to the IRS and are denied. Here are some potentially fraud-related reasons your return may have been rejected:
Multiple income taxes returns were filed
If a hacker or fraudster has filed a return in your name or social security number already, you will be rejected on the grounds of multiple filings.
Unexpected W-2s or 1099s were filed
Sometimes a thief may use a stolen SSN to establish an identity for employment purposes. If so, you may receive W-2s or 1099s in your name for an employer you’ve never worked for. This could result in your actual return being rejected.
Discrepancies in the amount of tax owed on one or both returns
If your actual tax return suggests you owe money but then have a discrepancy in your returns, you may have been the victim of fraud that results in a greater tax liability than what you actually owe.
Enhance your personal security
With Cyrus you get:
- 3 bureaus credit monitoring and scores
- 24/7 Response Center
- Identity theft insurance up to $1M
- Online account threat protection
Cyrus can help
The best way to stay ahead of tax fraud and stolen identities is to install a personal cybersecurity and credit monitoring app like Cyrus.
Not only will Cyrus alert you if any of your passwords appear in a cyberattack, but it will also monitor your credit 24/7 in the background to keep you fully aware of any potential threats to your identity, credit, or other financial accounts.
Cyrus is a personal cybersecurity app trusted by American Express to keep their employees safe. Now you can experience the same piece of mind by keeping your most sensitive and personal accounts safe and protected from hackers and thieves, even while you sleep.
F&Qs
How do I report fraud to the IRS?
Visit the Identity Theft Information Support Page on the IRS’s website and follow the instructions. Make sure to file a police report beforehand, as it will help create a legal record of the event occurring and your discovery of the crime.
How do you speak to a live person at the IRS?
To reach the IRS and speak to a live person, call: 1-800-829-1040. Prepare to wait though, as the IRS often has a significant queue of people waiting, especially around tax time.
Can someone hack my phone from my phone number?
No, but you may receive spam calls or text messages which can include requests or malicious links that could hack your phone or other accounts. Do not click links you don’t recognize.
How can I block hackers from my phone?
The best way to block hackers from accessing your phone is to install a personal cybersecurity app like Cyrus. With your personal accounts, passwords, and credit monitored by Cyrus 24/7, you’ll rest easy knowing your most sensitive information is protected across the entire internet.
