Tax-related identity theft occurs when someone uses your stolen Social Security number to file a tax return claiming a fraudulent refund.
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If your wallet or other personal information is stolen or you are a victim of a data breach, your personal information may be used to commit tax-related identity theft. Identity thieves can use your personal information to file a fraudulent tax return and steal your tax refund.
They can also use your Social Security Number (SSN) to get a job and report the income under your SSN. Employment-related tax identity theft may cause you to get a notice from the IRS stating that you didn’t report all of your income.
Contact the IRS as soon as you find out that your personal information is compromised. That way, the IRS can place an identity theft indicator on your account.
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