Here is some good news for any taxpayer concerned about having their identity stolen. Beginning in January, the IRS Identity Protection PIN Opt-In program will be expanding to all taxpayers who can properly verify their identity.
The PIN is a six-digit number assigned to eligible taxpayers created to help prevent their Social Security number from being used to file fraudulent federal income tax returns. The number allows the IRS to verify a taxpayer’s identity and accept their tax return.
Here are a few key items to know before applying:
- You will be able to apply online at Get An IP PIN in mid-January.
- Taxpayers with either a Social Security number or Individual Tax Identification number who can verify their identity are eligible for the program.
- The online tool will immediately reveal the PIN to the taxpayer.
- Taxpayers who chose to voluntarily op into the program do not need to file a Form 14039, Identity Theft Affidavit.
- The number is valid for one year and every January you must get a new one.
- Make sure to keep record of the number as it will have to be correctly entered on your electronic or paper tax return to avoid any rejections or delays of processing your tax return.
- The IRS plans to offer an opt out feature to the IP PIN program in 2022.
One item to keep in mind is no change has been made to the IP PIN Program for confirmed victims of tax-related identity theft. These taxpayers should still file Form 14039 if their e-filed tax return rejects because of duplicate SSN filing. It is extremely important if you are a taxpayer in the program to keep the PIN mailed annually in your records. And if you use a tax preparer, they absolutely must have this number every year!
If you have further questions, please reach out to your Henry + Horne tax professional.
Meghan Metzger, MSA