Fraudulent Tax Returns Using Stolen Identities is a Crime on the Rise
02 Februar 2015 - 1:00PM
Business Wire
LifeLock provides tips to help protect you this
tax season
The 2015 tax season just began and, if current trends stay true,
millions of Americans may come to find out someone has fraudulently
filed a tax return under their name. While not much can be done as
an individual to prevent tax fraud, LifeLock, an industry leader in
proactive identity theft protection, wants to help Americans by
providing up-to-date information and tips that can help protect
consumers’ identities.
In the past couple years, an increasing number of taxpayers were
affected, with 1.2 million affected in 2012 and an additional 1.6
million affected in 20131. The IRS reported that it paid an
estimated $5.2 billion in fraudulent identity theft tax refunds in
2013, but prevented $24.2 billion within the same year.2 Identity
theft is the No. 2 fear according to a study by Chapman
University3. If your personal information, including Social
Security number, was potentially stolen in the past year through
one of 783 known data breaches in 2014,4 extra attention should be
paid this tax season.
While the IRS is working to help protect Americans, criminals
currently need only two pieces of information to file a fake tax
return – a Social Security number and date of birth. In fact, a
criminal does not even need to file under the correct name. To
further avoid detection, thieves purchase prepaid credit cards and
the fraudulent refund is transferred to the card, which can then be
used at an ATM to convert to cash.
Keep Information Protected During the 2015 Tax Season
To help protect against tax fraud, LifeLock recommends taking
these steps:
1. If you are concerned, phone the
IRS Identity Protection Specialized Unit at 800-908-4490. Since the
first day to file your 2014 return is Tuesday, Jan. 20, 2015,
before many taxpayers get W-2 forms, it is a good preemptive
step.
2. File your tax return early to get
ahead of identity thieves. If you owe taxes, you can still file the
return early and then wait to send your payment until the deadline
on April 15.
3. If filing electronically, use a
secure Internet connection. Do not use unsecure, publicly available
Wi-Fi hotspots.
4. If you mail your return, take it
directly to the post office. Do not leave your return in the
mailbox for your mail carrier to pick up during the day, or in your
office’s open mail drop.
5. Shred copies of your tax return,
drafts or calculation sheets you no longer need.
6. If hiring someone to help with
your taxes, get recommendations and research a tax preparer
thoroughly before handing over personal information.
7. Do not fall for scams. The IRS
will never contact you by email, text or social media. If the IRS
needs information, it will contact you by mail.
8. You cannot prevent data breaches
or tax fraud, but you can make your personal information less
accessible. LifeLock Privacy Monitor is a free and easy-to-use tool
to help regain some privacy and make it harder for others to access
personal information.
LifeLock offers more information about tax fraud and other forms
of identity theft at
http://www.lifelock.com/education/identity-theft-news/.
About LifeLock
LifeLock, Inc. (NYSE:LOCK) is a leading provider of proactive
identity theft protection services for consumers and fraud and risk
management solutions for enterprises. LifeLock’s threat detection,
proactive identity alerts, and comprehensive remediation services
help provide peace of mind for consumers amid the growing threat of
identity theft. Leveraging unique data, science and patented
technology from ID Analytics, Inc., a wholly-owned subsidiary,
LifeLock offers identity theft protection that goes beyond credit
monitoring. As part of its commitment to help fight identity theft,
LifeLock works to train law enforcement and partners with a variety
of non-profit organizations to help consumers establish positive
habits to combat this threat.
1 Treasury Inspector General for Tax Administration, “TIGTA
Report: The IRS Needs to Improve Customer Service for Identity
Theft Victims,” Nov. 7, 2013
2 United States Government Accountability Office, “Identity
Theft: Additional Actions Could Help the IRS Combat the Large,
Evolving Threat of Refund Fraud,” Aug. 2014
3 Chapman University, “What Americans Fear the Most,” Oct. 20,
2014
4 Identity Theft Resource Center, “Data Breach Reports,” page
29, Dec. 31, 2014
LifeLock, Inc.Becca Youngs, 415-767-7752media@LifeLock.com
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