Protect your Identity

One form of tax identity theft involves someone stealing your social security number and filing a false return in order to get your tax refund. The problem is huge and growing worse each year. According to the annual report issued by the National Taxpayer Advocate in January, the IRS received approximately 730,000 cases of identity theft in 2014.

How can you protect yourself?

* Shred extraneous or no-longer-needed documents that show your personal financial information.

* Monitor credit activity by requesting a free report from the three main credit agencies for everyone in your household, including your children. Even if your kids are too young to access credit, they're required to have a social security number for tax purposes. You want to keep that number safe.

* Protect copies of prior year tax returns. Use passwords for electronic files and secure locked cabinets for hard copy paper forms.

* Do not respond to texts, e-mails, or social media contacts purporting to come from the IRS. If there's a problem with your return, the IRS will first contact you via postal mail. Bring any correspondence to our attention so we can help you respond appropriately.

* Be aware of the "dirty dozen" list of common scams. An example is the IRS-impersonation telephone scam, where con artists pretending to be IRS agents call and threaten you with arrest unless you make immediate payment of (non-existent) past-due taxes.

The IRS offers more tips and information on the irs.gov website, including the one-page Publication 5027, which lists the steps to take if you are a victim of tax identity theft. Give us a call if you have any concerns about keeping your financial information safe. We're always here to help.