What the Heck’s an IP Pin?

An IP Pin can keep your taxes secure

• An Identity Protection (IP) Pin is given to victims of identity theft.

• It comes with a CP01A Notice - give that to your tax preparer!

It’s sad but true; identity theft is on the rise. In 2018, there were 3 million identity theft and fraud reports, according to the FTC. Consumers lost about $1.48 billion dollars from fraud and identity theft, a rise from 2017’s amount of $406 million. 

Of the top five types of identity theft in 2018, tax fraud was number three. It’s shockingly common for a criminal to steal someone’s identity, including their social security number, and use it to file a tax return in their place.

In response to this, the IRS has developed the Identity Protection Pin (IP PIN). An IP PIN is a six-digit number that helps the IRS verify a taxpayer’s identity when they file a return. If you have been a confirmed victim of identity theft, and the issues related to the theft have been resolved before filing for 2019 starts, you will get a CP01A Notice.

The notice will give you a unique IP PIN that must be entered in when filing your tax return- so it’s important that, if you receive a CP01A notice, you give it to your tax preparer! This will allow them to efile on your behalf!

The IP PIN is a tool to help confirm your identity and keep your information safe; and keeping your identifying information safe will help you have a Good Day.