By now, most of you have heard the news about the Equifax data breach that may have affected 145 million people. The bad news is that the effects of the data breach are not going away anytime soon. Most likely, the next wave of concern will come around tax time.
Why You Should File Your 2017 Income Taxes Early
Tax identity theft happens when someone takes your personal information and files a fraudulent tax return in your name and receives a refund. With a data breach of this scale, the name of the game is to file your tax return before a scammer can.
The IRS now requires you to produce your adjusted gross income from the previous year to file electronically. It has also offered personal identification numbers (PINs) to victims of identity theft and a limited number of other taxpayers. Unfortunately, these measures will not keep someone from filing a fraudulent paper return in your name. Filing early is the best defense.
More information about protecting yourself from taxpayer identity theft and what to do if a fraudulent return is filed in your name can be found through the following link. Click here.