The IRS is working with state revenue officials, tax software providers and tax preparers to continue their effort in fighting identity theft and fraudulent tax return filings. In a report issued by the Government Accountability Office, the IRS estimates it prevented $24.2 billion in fraudulent identity theft refunds in 2013 alone. However, the IRS still paid out $5.8 billion in refunds that they didn't discover were fraudulent until afterwards.

 

By taking a few simple steps there are ways you can better protect your personal financial data online and at home to decrease your chances of having an identity theft.

 

 

 

If you discover you are a victim of identity theft, notify your bank and any other entities in which you have accounts. Contact one of the three major credit bureaus to request a credit report and inform them of your fraud alert. In addition, you can contact your local police department to get help in how to report the cyber-crime.

 

For more information regarding identity theft relating to fraudulent refunds with the IRS     Click Here