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FAQ5 min readMar 17, 2026

How the IRS Handles Identity Theft

Tax-related identity theft is one of the fastest-growing crimes. Here's how to recognize it, what to do if it happens to you, and how to prevent it.

IRS Identity Theft

What Is Tax-Related Identity Theft?

When someone uses your Social Security number to file a fraudulent tax return and claim your refund.

Signs of Tax Identity Theft

  • The IRS rejects your e-filed return because one was already filed with your SSN
  • You receive an IRS notice about income you didn't earn
  • You receive a W-2 or 1099 from an employer you never worked for
  • IRS records show wages from unknown employers

What to Do If You're a Victim

  1. File Form 14039 (Identity Theft Affidavit) with the IRS
  2. File your legitimate return by mail
  3. Notify your state tax agency
  4. File a police report
  5. Report to FTC at IdentityTheft.gov
  6. Check your credit reports

IRS Identity Protection PIN (IP PIN)

  • A 6-digit number that prevents others from filing a return with your SSN
  • Anyone can now opt into the IP PIN program at IRS.gov
  • Highly recommended — you must include your IP PIN when filing

IRS Resolution Process

Resolving identity theft with the IRS can take:

  • 6–120 days to resolve depending on complexity
  • The IRS Identity Protection Specialized Unit handles cases

Prevention Tips

  • Don't share your SSN unnecessarily
  • Use strong, unique passwords for tax software accounts
  • File your return early (before a thief can file first)
  • Opt into the IRS IP PIN program

Identity theft victim or concerned about protection? K2 Tax Solutions can help you navigate the IRS resolution process.

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