Yesterday’s entry focused on the signs of tax return identity theft and course of action to be taken once you realize you’ve been victimized. Identity theft has morphed over the years from a single person breaking into databases to sophisticated overseas identity theft syndicates. There are many warnings against identity theft, but they bear repeating.
Identity theft has far-reaching consequences beyond a bogus tax return filed under your name and SSN. Your good credit rating and financial standing can be ruined and you are faced with the task of untangling the mess with the IRS, credit reporting agencies and your bank. By taking a proactive approach to protecting your sensitive personal and financial information, you can reduce your risk of identity theft.