How to File IRS Form 14039-B for Business Identity Theft

IRS Form 14039-B, the Business Identity Theft Affidavit, is a specific tool for business entities that suspect their identity has been compromised for tax purposes. This includes corporations, partnerships, estates, and trusts whose Employer Identification Number (EIN) may have been stolen and used fraudulently. It is important to distinguish this from the more common Form 14039, which is designated for individual taxpayers. This affidavit initiates an investigation by the Internal Revenue Service (IRS) to protect the business’s account from further harm.

Identifying When to File Form 14039-B

A business should file Form 14039-B upon discovering specific signs that its identity has been compromised for tax administration purposes. One of the most common triggers is an e-file rejection notice for the business’s tax return, indicating that a return with the same EIN has already been filed for that tax period. This is a direct signal that another party has fraudulently used the business’s identification number to submit a tax return.

Another clear indicator is the receipt of unexpected IRS notices. These could include notifications about fictitious employees being reported under the company’s EIN, notices regarding wages paid that do not align with its records, or a tax transcript that it did not request. Unrecognized activity on a business’s online IRS account can also point to identity theft.

Required Information and Documentation for Filing

To file Form 14039-B, obtain the latest version of the form from the IRS website. The business information section requires the full legal name of the entity, its EIN, and the current business address. You will also need to provide the approximate date the entity was established.

A part of the form is designating an authorized contact person. This individual must have the legal authority to act on behalf of the business and will need to provide their name, title, and phone number for the IRS to contact. This person could be a corporate officer, a partner, or a designated representative.

Describing the incident is a component of the affidavit. You must explain how the business discovered the identity theft, which specific tax forms were affected (e.g., Form 1120, Form 1065, Form 941), and the tax years or quarters involved.

Submitting specific supporting documentation is mandatory to verify the identity of the business entity and the authorized person. The required documents vary based on the type of business. For example, a sole proprietor must provide a photocopy of a government-issued photo ID and a document verifying their Social Security Number. While a copy of a police report can be included, it is not a substitute for the required identification documents.

How to Submit the Form and What to Expect

Once Form 14039-B is completed and all supporting documents are gathered, it must be submitted to the IRS, as it cannot be filed electronically. If you received an IRS notice about the identity theft issue, you must send the form to the address or fax number provided on that notice. If you did not receive a notice, mail the form to the Internal Revenue Service, Ogden, UT 84201. You can also submit the form in person by scheduling an appointment at an IRS Taxpayer Assistance Center.

After the IRS receives the affidavit, it will begin an investigation into the claim. The agency will place a special indicator on the business’s tax account to flag it for identity theft, which helps prevent further fraudulent filings. The business should expect to receive a confirmation letter from the IRS acknowledging receipt of the form. The resolution process can be lengthy, often taking several months to complete.