Ever wonder why scammers are so diligent when it comes to stealing your personal information? Any idea how and why your personal data is so valuable to them? The Federal Trade Commission states that 18% of the 2 million consumer complaints filed in 2012 were identity theft complaints and 43.4% of those were related to taxes or wages. They have designated the week of January 13-17, 2014 as Tax Identity Theft Awareness Week and here are some facts consumers should know.
Warning signs that you may be a victim can include notification from the IRS that a duplicate tax return has been filed in your name, duplicate dependents have been claimed, or a notice of unreported income from an unknown employer can all raise red flags when it comes to your taxes. If you believe your Social Security number and information have been compromised, contact the IRS Identity Protection Specialized Unit at 1-800-908-4490 to report the problem.
Precautionary measures can include shredding copies of tax information you no longer need, researching any tax preparer you plan to use, and not responding to email or texts claiming to be from the IRS. The IRS uses the USPS for any communication needs. Use a secure network if filing electronically and store any copies in a secure location. Do not give out your Social Security number to any strangers and file early if possible to reduce the risk of unnecessary delays.
The Top 10 States for Tax ID Theft are:
1. Florida 6. Nevada
2. Georgia 7. Texas
3. California 8. Arizona
4. Michigan 9. Maryland
5. New York 10. Alabama
The Federal Trade Commission and IRS are working closely to help educate and assist consumers in their fight against Identity Theft. For more information visit www.irs.gov/identitytheft or www.ftc.gov/idtheft or call 1-800-877-ID-THEFT.
Wishing everyone a safe and scam-free New Year!