Notification of Fraudulent Tax Filing

Tax Fraud Notification Form: Reporting Identity Theft to the IRS

If you suspect your personal information has been used to file a fraudulent tax return or commit other tax-related fraud, prompt action is essential. A Tax Fraud Notification Form serves as a formal report to the Internal Revenue Service (IRS), detailing the suspected crime. This structured document helps you provide the necessary details to initiate an investigation and protect your financial identity.

What is a Tax Fraud Notification Form?

A Tax Fraud Notification Form is a formal statement submitted to the IRS. It alerts the agency when your Social Security Number or other taxpayer identification information has been used without your consent for activities like filing a tax return or claiming a refund. Filing this document is a critical step in resolving identity theft issues and preventing further fraudulent activity.

Who Should Use This Form?

You should complete and submit a tax fraud notification if you have experienced any of the following:

• Received an IRS notice about a suspicious tax return filed using your Social Security Number.
• Your attempt to file your tax return electronically was rejected because a return was already filed under your SSN.
• You have reason to believe your personal information was stolen or compromised and may be used for tax fraud.
• Received tax documents, like a W-2 or 1099, from an employer you did not work for.

If you are uncertain whether to file, it is generally advisable to submit the notification to ensure your protection. The IRS has established processes to handle identity theft cases.

Key Information Required for the Form

To complete the notification effectively, gather the following information:

• Your full name, current address, and Social Security Number (SSN).
• Your date of birth.
• Your tax filing status.
• Details about the suspected fraudulent activity, including the tax year involved.
• Information about any IRS notices received (notice number and date).
• A copy of your government-issued photo ID.
• A copy of a utility bill or other document proving your current address.

How to Fill Out the Tax Fraud Notification Form

Accurate completion is essential for a timely IRS response. Follow these steps:

1. Obtain the Official Form: Download the current version of IRS Form 14039, Identity Theft Affidavit, from the official IRS website.
2. Complete Personal Information: Provide your name, SSN, address, and date of birth accurately, ensuring it matches your identification.
3. Detail the Fraud: Clearly describe the identity theft. Indicate the nature of the fraud, such as an e-filed return rejection, and provide relevant tax years or notice numbers.
4. Sign and Date: Your signature certifies the accuracy of the information provided, subject to penalties of perjury.
5. Attach Required Documentation: Include legible copies of your proof of identity and proof of address.

Specific Clauses and Situations Covered

The official IRS form addresses common identity theft scenarios, including:

• Unauthorized Return Filing: For fraudulent tax returns filed in your name.
• Rejected E-File: For situations where your legitimate return is blocked.
• Employment Fraud: For cases where your SSN was used to gain employment, potentially leading to incorrect income reporting.
• Combined Fraud: Allows reporting of multiple types of tax-related identity theft.
• Victim Statement: A section for your personal account of the events, which supports the investigation.

Understanding IRS Form 14039 (Identity Theft Affidavit)

IRS Form 14039 is the official document for reporting tax-related identity theft. While a general template can aid in organizing information, submitting the official IRS form is the required action. This affidavit alerts the IRS to place an identity theft indicator on your account, helping to prevent future fraudulent filings and initiating the resolution of any incorrect tax records.

How to Report Fraudulent Tax Filing Online

The IRS provides online resources to assist with reporting fraudulent tax filing. While Form 14039 itself is typically mailed, the IRS website offers guidance:

1. IRS Identity Theft Central: This is the primary resource for information and instructions.
2. If Your E-File is Rejected: You may be directed to specific IRS identity verification services or instructed to mail your paper return with Form 14039.
3. For Other Suspected Fraud: If you haven't attempted to file but suspect fraud, you will likely need to print, complete, and mail Form 14039, along with copies of your ID, to the IRS.

Always refer to the official IRS website for the most current reporting instructions.

Steps to Take After Filing a Tax Fraud Notification

After submitting the notification, take these additional protective measures:

• File Your Legitimate Tax Return: If you are a victim and still need to file your return, you may need to do so by mail, including a copy of Form 14039.
• Place a Fraud Alert: Contact one of the three major credit bureaus to place a fraud alert on your credit reports.
• Review Your Credit Reports: Obtain free reports from the major bureaus and check for any unauthorized accounts or inquiries.
• Report to Other Agencies: File a report with the Federal Trade Commission (FTC) at IdentityTheft.gov. Consider filing a local police report.
• Maintain Records: Keep copies of all submitted forms, correspondence, and notes from communications with the IRS and other agencies.

Consequences of Tax Fraud

Tax fraud and identity theft carry significant consequences. For victims, it can lead to delayed refunds and complex tax issues. For perpetrators, penalties can include substantial fines and imprisonment, and the IRS actively investigates and prosecutes such crimes.

Frequently Asked Questions About Reporting Tax Fraud

What happens after you report someone for tax fraud?

Following submission of your tax fraud notification, the IRS will acknowledge receipt and initiate an internal review. An identity protection indicator may be placed on your account. The IRS generally does not provide ongoing updates on investigation status due to privacy regulations.

What evidence do you need to report fraud?

Essential evidence includes copies of any IRS notices received, your government-issued photo ID, proof of your current address, and any other supporting documents, such as a police report or FTC affidavit.

How to inform tax fraud?

To inform the IRS of tax fraud, complete and submit IRS Form 14039, Identity Theft Affidavit, following the instructions provided on the IRS website.

How to report identity theft to the IRS?

To report identity theft to the IRS, visit the IRS Identity Theft Central webpage, identify your specific situation, and follow the instructions for submitting Form 14039.

Should I file form 14039 if someone used my tax info?

Yes, if you have confirmation or a strong suspicion that your tax information was used fraudulently, you should file Form 14039 to alert the IRS and begin the resolution process.

How to properly report identity theft?

To properly report identity theft, take a comprehensive approach: 1) Submit an IRS identity theft notification using Form 14039. 2) Report the theft to the FTC. 3) Contact credit bureaus. 4) Monitor your financial accounts. Using a structured format can help ensure complete information is provided to each entity.

What is the penalty for filing a fraudulent tax return?

Penalties for filing a fraudulent tax return can include payment of the correct tax, plus significant penalties and interest. Criminal prosecution for willful fraud may result in fines and imprisonment.

Download your free Tax Fraud Notification Form now and protect yourself from identity theft. A guided template can help ensure you provide all critical details to the IRS efficiently, offering a clearer path to resolving the fraud and securing your tax account.