Starting in January 2021, the IRS will expand the IP PIN voluntary opt-in program nationwide. The six-digit IP PIN protects eligible taxpayers against tax-related identity theft. IP PINs help to prevent tax refund fraud on federal income tax returns by verifying a taxpayer’s identity. It can be used for Forms 1040, 1040PR and 1040SS. PINs will be not used for amended returns or for requests for extension.

IP PIN Details: 

  • Taxpayers may go to the Get an IP PIN tool on IRS.gov, starting in January 2021, pass Secure Access authentication and immediately access a six-digit IP PIN.
  • Taxpayers, or their tax preparers, when prompted by tax preparation products, must enter the IP PIN issued to the primary and/or secondary taxpayers or their dependents.
  • Electronic returns without correct IP PINs will be rejected; paper returns will be subject to greater scrutiny.
  • Taxpayers with either a Social Security number (SSN) or Individual Tax Identification Number (ITIN) who can verify their identities are eligible.
  • An IP PIN is valid for one calendar year. Taxpayers must obtain a new IP PIN each year at the start of the filing season by accessing the account they created at www.irs.gov/ippin.
  • There is no opt-out feature. The IRS is looking to add this feature later for taxpayers with online access.

IP PIN Options:

  • Taxpayers who cannot authenticate their identities online and who made $72,000 or less may file Form 15227 (available January 2021). An IRS assistor will call taxpayers to ask questions to verify their identities. An IP PIN will be issued at the start of the next calendar year.
  • Taxpayers who cannot authenticate online and who made more than $72,000 will have an option, still being vetted, to verify their identities in person at an IRS office. An IP PIN will be issued within 3 weeks if their identity is authenticated at a local office. 

Victims of tax-related identity theft:

  • Form 14039 needs to be filed for taxpayers whose e-filed returns are rejected because of a duplicate SSN filing; mail it with the taxpayer’s paper tax return.
  • The IRS will investigate the case and remove the fraudulent return.
  • Once the case is resolved, the taxpayer automatically will receive an IP PIN via postal mail at the start of the next calendar year.
  • Confirmed identity theft victims may not opt-out of the IP PIN program because of risks.

Additional changes are expected to the IP PIN program. The IRS will keep us abreast of any updates based on feedback from taxpayers and tax professionals. Questions? Please contact us at 401-831-0200.

*Information provided from the IRS Wage & Investment Division

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