Everyone should beware of tax identity theft

    Yes, it is alarming — the Equifax data breach may have exposed more than half the adults in this country to identity theft and financial fraud. Names, social security numbers, birthdates and other information including some credit card numbers were stolen from their data system. During the first half of 2017, there were 791 separate data breaches, and the Identity Theft Resource Center estimated there would be over 1,500 total by the end of the year. Everyone should be on high alert!
    Credit alerts and freezes will not deter noncredit frauds such as tax refund theft. The Federal Trade Commission has dedicated the week of Jan. 29-Feb. 2 as Tax Identity Theft Awareness Week.
    Fraudsters in possession of a valid name and Social Security number frequently create phony W-2s and related forms in search of a quick refund. In 2015, the Internal Revenue Service reported there were over 1.5 million bogus tax returns filed claiming over $5 billion in refunds. However, some do go through each year undetected.
    Tax identity theft happens when someone uses another person’s Social Security number to get a tax refund or a job.
    The best way to prevent tax fraud is to file federal and state income tax returns as early as possible.
    Residents should contact the IRS immediately at irs.gov/identitytheft or by phone at 800-908-4490 if the IRS has sent a notice saying their records show the individual was paid by an employer they don’t know or more than one tax return was filed using the individual’s Social Security number.

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