Ask The California Employment Tax And Payroll Tax Attorney – Tax Practitioners – Help Your Clients By Protecting Them From Tax-related Identity Theft

By Robert S. Schriebman

2022

Introduction

The IRS and its Security Summit partners are strongly recommending that you help your clients secure a personal PIN (IP PIN). In a report to Congress, the IRS stated, “This tool is the key to making it more difficult for criminals to file false tax returns in the name of the taxpayer. In our view, the benefits of increased IP PIN use are many.”

As a tax professional, you cannot obtain an IP PIN on your client’s behalf. Only the taxpayer can do this.

Tax professionals who experience a data theft can assist clients by urging them to obtain the IP PIN without delay. Even if a crook has already filed a fraudulent return, the IP PIN will offer protection for later years and prevent your client from being a repeat victim of tax-related identity theft.

Things to Know About the IP PIN

In the IRS’ latest Press Release, IR-2022-140, the IRS sets forth the following information relating to the IP PIN:

• • The IP PIN is a 6-digit number known only to your client and the IRS.
  • The opt-in program is voluntary
  • The IP PIN should be entered onto the electronic tax return when prompted by the software product or onto a paper return next to the signature block.
  • The IP PIN must be renewed annually. It is only good for one calendar year.
  • Only taxpayers who can verify their identities may obtain an IP PIN.
  • Do not share this number with anyone, except the IRS and a trusted tax professional.
  • The IRS will never all the taxpayer or send an email or text requesting the IP PIN.

Conclusion

To obtain an IP PIN go to the IRS website. Taxpayers must validate their identities through the IRS’ Secure Access authentication process.

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Robert Schriebman has a successful practice in the Rolling Hills Estates area of Los Angeles County serving clients throughout California and the United States. He has successfully dedicated more than 50 years to helping individual taxpayers, business owners, CPAs, Enrolled Agents, and tax attorneys navigate the complicated tax systems of the federal and state governments. Mr. Schriebman is in private practice. He is not affiliated in any way with the EDD, and he is not employed by the EDD or any other agency of the State of California.

Robert Schriebman has written the only 2 books ever published dealing with how California Employment Development Department (EDD) operates. See “California Tax Collection Practice and Procedures” and “California Taxation Practice and Procedure,” both published by Commerce Clearing House.

Robert Schriebman has written over 20 books including the major manual used nationally by practitioners and the IRS, “IRS Tax Collection Procedures – A Manual for Practitioners” published by Commerce Clearing House.

Robert Schriebman has written over 20 books including the major manual used nationally by practitioners and the IRS, “IRS Tax Collection Procedures – A Manual for Practitioners” published by Commerce Clearing House in addition to the only 2 books ever published dealing with how California Employment Development Department (EDD) operates. See “California Tax Collection Practice and Procedures” and “California Taxation Practice and Procedure,” both published by Commerce Clearing House.

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