How Do I Add or Remove My IDPIN on Tax Returns?

Tax-related identity theft is a growing concern, prompting the IRS to introduce Identity Protection Personal Identification Numbers (IDPINs) as a safeguard. These six-digit numbers provide an additional layer of security for taxpayers when filing returns, ensuring that only authorized individuals can access and submit sensitive financial information.

Eligibility Criteria

The IRS issues IDPINs to confirmed victims of identity theft after resolving their cases. These individuals are automatically enrolled and receive their IDPIN annually. Additionally, any taxpayer can voluntarily opt in for an IDPIN for added security against identity theft.

To obtain an IDPIN voluntarily, taxpayers must have a valid Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN) and verify their identity through the IRS’s secure online portal. This process includes answering questions about financial history, such as details from past tax returns or credit reports. In some cases, the IRS may request additional documentation to confirm identity.

Obtaining or Retrieving

To secure an IDPIN, taxpayers must access the IRS’s online portal and complete the identity verification process, which includes answering financial history questions. Once verified, the IRS generates the IDPIN and communicates it to the taxpayer. This number should be stored securely for future tax filings. If misplaced, taxpayers can retrieve it through the same portal.

For those experiencing issues, the IRS helpline is available for assistance with technical problems or verification failures. Taxpayers are encouraged to use this resource to resolve difficulties in obtaining or retrieving their IDPIN.

Adding or Removing on Returns

When filing a tax return, the IDPIN must be entered in the designated area of the form. For electronic filings, tax software prompts users to input the IDPIN at the appropriate stage. Returns submitted without the correct IDPIN are rejected by the IRS, preventing fraudulent filings.

If a taxpayer decides to discontinue using an IDPIN, they should carefully weigh the security benefits against potential risks. Removal might be considered if identity theft concerns are no longer relevant. To remove an IDPIN, contact the IRS directly and follow the required procedures.

Mistakes That Can Delay Filing

Errors in reporting income can lead to delays in processing tax returns. Discrepancies between W-2s, 1099s, and other income statements often trigger IRS reviews. Ensuring all reported figures match employer and financial institution records is crucial.

Mistakes in applying tax credits and deductions are another common issue. Taxpayers may overlook eligibility requirements or miscalculate amounts, such as with the Earned Income Tax Credit (EITC), which has specific income thresholds and dependent qualifications. Using IRS tools or consulting tax professionals can help avoid these errors and ensure accurate filings.