Identity Theft Tax Attorney

Tax-related identity theft can freeze your refund, trigger unexpected IRS collection notices, or falsely implicate you in fraudulent tax filings.

Whether you are dealing with a rejected electronic tax return, fraudulent wage reporting, or aggressive phone and email scams, Todd S. Unger, Esq. provides attorney-led representation to protect your rights, clear your IRS record, and resolve complex tax disputes.

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IRS Criminal Enforcement & Legal Standards of Proof

The IRS Criminal Investigation Unit (CI) investigates alleged violations of the Internal Revenue Code and related financial crimes. Key focus areas include return preparer fraud, abusive tax schemes, employment tax evasion, offshore tax fraud, and stolen identity refund fraud. Because the IRS selectively targets cases with high evidentiary support, conviction rates in federal criminal tax prosecutions remain extremely high.

Criminal vs. Civil Standards of Proof: In a criminal prosecution, the government must prove guilt beyond a reasonable doubt. If the evidence does not meet this threshold, the case remains administrative, where substantial civil penalties may apply.

In cases involving an underpayment attributable to fraud, the IRS may assert a civil fraud penalty equal to 75% of the understated tax. For civil fraud penalties, the IRS must establish intent by clear and convincing evidence—a standard higher than a preponderance of the evidence but lower than beyond a reasonable doubt.

The Department of Justice (DOJ) Tax Division continues to prioritize identity refund fraud, including unauthorized use of Social Security Numbers (SSNs), Employer Identification Numbers (EINs), and Individual Taxpayer Identification Numbers (ITINs).

Tax attorney reviewing IRS identity theft affidavit and fraud resolution documents

Recognizing IRS Phishing Scams & Phone Fraud

Taxpayers frequently fall victim to fraudulent emails and phone calls from impostors claiming to represent the IRS or the Criminal Investigation Division. Understanding how the IRS communicates is your first line of defense:

Email Phishing Scams: The IRS does not initiate contact with taxpayers by email, text message, or social media to request personal or financial information. If you receive an unexpected email claiming to be from the IRS, do not click any links or reply with sensitive records.

Telephone Impostor Scams: Scammers often threaten immediate arrest, police action, or criminal prosecution unless a payment is made immediately via gift card or wire transfer. Official IRS personnel do not demand immediate payment over the phone without first mailing an official written notice.

Steps to Take If You Are a Victim of Tax Identity Theft

If you discover that an unauthorized tax return was filed using your Social Security Number, or if your electronic filing was rejected due to a duplicate filing, execute the following protocol immediately:

1. Notify Federal & State Authorities: Report the breach to the Federal Trade Commission (FTC), FBI, State Attorney General’s Office, and Social Security Administration.

2. File a Local Police Report: Secure an official police report documenting the identity theft to submit to financial institutions and taxing authorities.

3. Submit IRS Form 14039: Complete IRS Form 14039 (Identity Theft Affidavit), attach it to your paper return (if applicable), and review IRS Publication 4535.

4. Close Compromised Accounts: Contact banks, credit card companies, and financial institutions to lock or close unauthorized accounts.

5. Place Credit Fraud Alerts: Contact the three major credit reporting agencies—Equifax, Experian, and TransUnion—to place a credit freeze or fraud alert on your file.

6. Report Online Cybercrimes: File an internet crime report with the FBI’s Internet Crime Complaint Center (IC3).

7. Consult a Specialized Tax Attorney: Work with experienced legal counsel to ensure the IRS corrects your account records, removes wrongful assessments, and issues an Identity Protection PIN (IP PIN).

Need Legal Help Resolving an IRS Identity Theft Dispute?

As IRS investigations and fraudulent refund filings continue to rise, proactive legal defense is essential. Contact Todd S. Unger, Esq. for experienced legal guidance.

Schedule a Consultation

Call (877) 544-4743

Frequently Asked Questions

Answers to common questions regarding tax identity theft, IRS affidavits, and fraud defense.

How do I know if my tax return was affected by identity theft?

Common warning signs include e-filed returns rejected due to duplicate SSNs, unexpected IRS CP501 or 5071C identity verification notices, or IRS records reflecting unreported income from an unknown employer.

What is IRS Form 14039 and when should it be filed?

Form 14039 (Identity Theft Affidavit) alerts the IRS that your SSN has been compromised. It should be submitted when your e-filed return is rejected or when you receive written IRS notice indicating potential fraudulent activity.

What is the difference between civil tax fraud and criminal tax fraud?

Criminal tax fraud involves willful attempts to evade tax laws proven beyond a reasonable doubt, leading to potential prosecution. Civil tax fraud involves monetary penalties (such as a 75% assessment penalty) established by clear and convincing evidence without imprisonment.

Can a tax attorney help me secure an IRS Identity Protection PIN (IP PIN)?

Yes. A tax attorney can interface with the IRS Identity Verification unit to resolve underlying account freezes, correct misallocated wage reporting, and ensure an IP PIN is assigned to prevent future unauthorized filings.