Identity theft occurs when someone uses your Social Security number or your tax ID number without your permission. This fraud is a growing concern in America and can cause countless amounts of stress and financial loss.
You may not even be aware that this has even happened until you discover that two tax returns have been filed using the same SS or tax ID number. Last tax season, IRS reported $20 billion dollars of fraudulent tax refunds. They currently are investigating over 200,000 cases.
If you receive notice from IRS, respond immediately. You may be required to fill out identity theft affidavit form 14039.
The following useful tips will ensure that you are not subject to identity theft.
- Avoid carrying your Social Security card in your wallet
- Don’t give a business your Social Security number
- Protect your financial information
- Check your credit report for surprises
- Protect your computer with a firewall and anti-spam virus protection
- Don’t give financial information over the phone.
Identity theft is a real threat to today’s business owners. Keeping this advice in mind can help will help thwart would-be 21st century thieves.