If you know that you have been scammed and that your personal information has been compromised, first file a complaint with the local police, fraud division and then tell the IRS. You will need to file Form 14039: Identity Theft Affidavit. You can find this form on the IRS website: www.irs.gov.
This will mark your return as “suspect”. Sometimes others will use your ID to file a false return in your name and try to capture your refund!!!
You will need to obtain an Identity Protection Personal Identification Number (PIN), a six-digit number that you will use instead of your Social Security number on future returns.
You must obtain a PIN if:
!. You lost an IRS notice sent to you with an IP Pin
- You had an IP Pin before but didn’t receive a new one
- Your e-filed return was rejected because your IP Pin was missing or incorrect
You can obtain one on line but must go through an authentication process called “Secure Access Steps”. They are explained at the IRS Secure Access page at Http://www.irs.gov/individuals/secure-access-how-to-register-for-certain-online-self-help-tools.
It is a complicated pain in the neck, but the IRS is trying to protect you and your refund. If your identity is stolen and someone files in your name to get your refund it could take months for the IRS to send you what you truly deserve. This process speeds things up.
Once you file your return and ask for a direct deposit of your refund to your checking account, be sure not to close or otherwise alter that bank account until the refund is deposited. Even if you decide to change banks, keep that account open until the refund is deposited. Otherwise, if the IRS or state go to make the deposit and find the account closed, they will flag it as fraud and your refund will be held at the government. This will end up making it difficult to claim your refund and fixing it will cause a great deal of stress and time.