Ask a CPA

If your tax records are not currently affected by identity theft, but you believe you may be at risk due to a lost or stolen purse or wallet, questionable credit card activity or credit report, contact the IRS Identity Protection Specialized Unit at 800-908-4490, extension 245 (Mon. - Fri., 7 a.m. - 7 p.m. local time; Alaska & Hawaii follow Pacific Time).

Don’t carry your Social Security card or any documents with your SSN or Individual Taxpayer Identification Number (ITIN) on it.
Don’t give a business your SSN or ITIN just because they ask. Give it only when required.
Protect your financial information. Check your credit report every 12 months.
Secure personal information in your home.
Protect your personal computers by using firewalls, anti-spam/virus software, update security patches and change passwords for Internet accounts.
Don’t give personal information over the phone, through the mail or on the Internet unless you have initiated the contact or you are sure you know who you are dealing with.

For victims of identity theft who have previously been in contact with the IRS and have not achieved a resolution to their case, they can contact the Taxpayer Advocate Service toll-free at 877-777-4778.

For victims of identity theft who have previously been in contact with the IRS and have not achieved a resolution to their case, they can contact the IRS Identity Protection Specialized Unit, toll-free, at 800-908-4490.
If victims can’t get their issue resolved and are experiencing financial difficulties, contact the Taxpayer Advocate Service toll-free at 877-777-4778.

In addition to contacting the IRS, you should take additional steps with agencies outside the IRS:
Report incidents of identity theft to the Federal Trade Commission at www.consumer.ftc.gov or the FTC Identity Theft hotline at 877-438-4338 or TTY 866-653-4261.
File a report with the local police.
Contact the fraud departments of the three major credit bureaus:Equifax – www.equifax.com, 800-525-6285, Experian – www.experian.com, 888-397-3742, TransUnion – www.transunion.com, 800-680-7289Br> •Close any accounts that have been tampered with or opened fraudulently.

If you receive a notice from IRS and you suspect your identity has been used fraudulently, respond immediately by calling the number on the notice.
If you did not receive a notice but believe you’ve been the victim of identity theft, contact the IRS Identity Protection Specialized Unit at 800-908-4490, extension 245 right away so we can take steps to secure your tax account and match your SSN or ITIN.
Also, fill out the IRS Identity Theft Affidavit, Form 14039. Please write legibly and follow the directions on the back of the form that relate to your specific circumstances.

Taxpayers can find more information on claiming EITC on irs.gov/eitc. The EITC Assistant available on irs.gov/eitc or the Instructions for Form 1040, 1040A and 1040EZ can help individuals determine their eligibility.
The instructions contain a worksheet and the earned income credit table to help determine the amount of the credit.

Special Rule for Combat Pay. Combat pay received by members of the military serving in Afghanistan, Iraq and other combat zone localities is usually exempt from tax.
But under a special rule, the taxpayer can choose to count all of this as taxable income when figuring the EITC. In many cases, making this choice enables the person to claim the credit, or if already eligible, claim a larger credit.

Special Rule for Combat Pay. Combat pay received by members of the military serving in Afghanistan, Iraq and other combat zone localities is usually exempt from tax.
But under a special rule, the taxpayer can choose to count all of this as taxable income when figuring the EITC. In many cases, making this choice enables the person to claim the credit, or if already eligible, claim a larger credit.

Taxpayers without a qualifying child must meet three additional tests.
Lived in the U.S. for more than half of 2016, at the end of 2016, was at least age 25, but under age 65, cannot qualify as the dependent of another person.