Home builder falls victim to identity theft after IRS, local tax authority notices on fraudulent tax filings

When Raymond Sylvia of Oak Bluffs received a notice from Massachusetts Department of Revenue (DOR) in February about his 2013 taxes, he was puzzled why he was being investigated and audited for tax filings that he have yet to file.

The home builder told The Times, "I called the number in the letter and asked them how I could be audited when I hadn't filed my taxes yet for 2013. I was asked a few personal questions and she said, ‘obviously you are who you are. We've got to find out what's going on here.'"

Martha's Vineyard Times said Sylvia received a call from the DOR three weeks after the notice and was told that the 2013 claim was fraudulent. The claimant under Sylvia's name had requested a refund from the tax authority of $4,000.

Sylvia said, "Someone lifted my name and social security number and used them to file a return in my name. That's more than twice as much as I have ever paid in state taxes. It is rare for me to get anything back from the state."

It was not the only letter he received from a tax authority. The Internal Revenue Service also informed him that a claim under his name is also requesting a large refund. In both cases, the tax authorities have provided him personal identification numbers (PINs) and told him to file his taxes on paper as oppose to doing it only.

MV Times said Sylvia's case is not the only one. According to a recent audit by the Treasury Department Inspector General, 1.6 million taxpayers were affected by identity theft in the first half of 2013. A Congressional Research Service report also revealed that around 12.6 million Americans had fallen victim to identity fraud in 2012, and it cost a mean of $365 to be an identity theft victim.

Although it is encouraged to take steps and get informed on ways to protect personal information from identity fraud, law enforcement and tax authorities have urged taxpayers to at least file a report to aid in the investigative process. Tisbury police lieutenant Eric Meisner told MV Times, "Sometimes a police report can help during the investigative process by an agency like the IRS. We don't investigate Internet fraud ourselves."

Tags

Massachusetts Department of Revenue, Internal Revenue Service, Treasury Department Inspector General

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