As tax season sets in, we should be aware of identity theft and the increased risks associated with it. Here are some of the efforts underway to combat it.

The Internal Revenue Service is cautioning tax preparers that they are prime targets for identity thieves looking for data to use when filing fraudulent returns. In the Gramm‐Leach‐Bliley Act, the “safeguards rule” requires individuals involved in providing financial product or tax preparation services to ensure the security and confidentiality of customer records and information. The IRS is launching a first‐of‐its‐kind data sharing program with states and tax preparation software companies to more easily detect identity theft on online tax returns by reviewing personally identifiable information and metadata embedded in each submission.

It’s a crazy world that we live in. Aggressive and threatening phone calls by criminals impersonating IRS agents remain a major threat to taxpayers, headlining the annual “Dirty Dozen” list of tax scams for the 2016 filing season. Kids should be warned against sharing personal information on social media. Aging citizens are also prime targets.

Protect your passwords. Give personal information over encrypted websites only. If you are a victim of identity theft, the IRS will mark your account and issue an identifying number to be used when filing your return. You can elect to do this on your own by filing Form 14039, Identity Theft Affidavit. I have done this for a number of clients, and they really appreciate the added protection.

mlazzara@markspaneth.com