Are you having a good day?
Imagine how you would feel if found out your identity was stolen. A criminal had used your social security number and other personal information to file a false tax return in your name and your refund was going to be held up for at least a few months? Could you protect yourself with an ounce of protection and an IRS Identity Protection PIN? These stories are all to common and the results sometimes much worse, a couple of real life stories are linked at the bottom of this post.
Prevention – Protect Your Data and Identity
1) Remember the basics
Keep your computer and mobile devices on the current operating system version (ex. windows, macOS, iOS, andriod) and make sure it updates automatically.
2) Use strong, unique passwords
Consider a password manager like LastPass or Dashlane. If you rely on your memory alone there is a good chance you will recycle passwords.
3) Use multi-factor authentication when it’s offered.
To make this easier we like the authentication app Authy which is compatible with all google authenticator systems and it removes many of the pain points when switching phones. Also check out Google Authenticator and Microsoft Authenticator.
4) IRS Identity Protection PIN.
If a fraudulent tax return was filed under your Social Security Number in a prior year the IRS may issue you an IP PIN via US mail. The IP PIN is like a password to file your tax return. If a PIN is issued to you then a PIN will be required for you or your paid preparer to file your return with the IRS. A return filed under your Social Security Number without this PIN will be rejected protecting you from fraudsters. For this tax season residents of twenty states including Florida, New York, and California are eligible to opt-in to the Identity Protection PIN program. Want to learn more? Click here and then register for the opt-in program if you think it makes sense for you.
Curious about how this has unfolded in the past? Read a couple of real life stories about IRS identity theft here example 1 and example 2.
At AccountFWD we take security seriously. We are accounting technologists, LastPass power users, and fans of multi-factor authentication. We have supported many clients through the IRS identity theft affidavit process and returned their accounts to good standing. IRS Identity Protection PINs are now in place for their accounts.
Want to learn more about how to protect your identity or have tip to share with us? Send a note, schedule a time to connect, or give us a call 954-686-8687.
