BBB warns North Carolinians about tax identity theft scams during filing season

RALEIGH, NC (WWAY) —  The Better Business Bureau of Eastern Carolinas is warning consumers that scammers are active during tax season, using stolen personal information to file fraudulent tax returns and steal refunds.

The BBB said tax identity theft is often difficult to detect because many victims don’t realize their information has been used until they attempt to file their own return.

The organization reported that identity theft resulted in nearly $2,000 in consumer losses last year across its 48-county service area.

“If you have not filed a tax return yet, be aware that a scammer may try to file under your name,” said Mallory Wojciechowski, BBB president and CEO. “Protect your personal information whenever possible; shred sensitive documents and do your filing on a secure network.”

The BBB recommends filing taxes as early as possible to reduce the chance of someone filing first using stolen information.

Consumers are also encouraged to watch for warning signs, including IRS notices about duplicate returns, wages from an employer they never worked for, or collection actions for a year they did not file.

The BBB also urged taxpayers to take steps to secure personal information online by using strong passwords, enabling two-factor authentication and avoiding filing taxes over public Wi-Fi.

Other tips include protecting Social Security numbers, researching tax preparers before sharing sensitive information, and using an Identity Protection PIN through the IRS.

The BBB also recommends shredding old tax documents before discarding them to prevent thieves from accessing personal data.

Anyone who believes their identity has been used should report the theft to identitytheft.gov and contact the IRS and their state tax agency.