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IRS didn’t notify 458,658 identity theft victims

Accounting Today

The Internal Revenue Service failed to tell nearly half a million victims of identity theft last year their information was being used by others for employment purposes, according to a new report, which attributed the failure to a computer programming error.

The report, from the Treasury Inspector General for Tax Administration, found the programming glitch kept the IRS from notifying 458,658 victims of “employment identity theft.” The identity thieves used the victim’s identity to get jobs. Employment identity theft can be a big problem for legitimate taxpayers, as the IRS could incorrectly compute their taxes based on income that doesn’t belong to them.


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