The February Tax Trap: Why This Month is Peak Season for Identity Thieves
As the calendar turns to February, most of us are checking our mailboxes and inboxes for the Big Three: W-2s, 1099s, and 1098s. It’s the official kickoff of tax season, but while you’re gathering documents to file your return, identity thieves are working overtime to file one in your name first.
In the world of cybersecurity, February is often referred to as Peak Season. Here is why you’re at risk right now and the one simple, six-digit tool that can stop a tax scammer in their tracks.
The Anatomy of a February Tax Scam
Why is February so dangerous? It’s the sweet spot for fraudsters. Most employers have mailed out W-2s by January 31st, meaning millions of Social Security numbers and income details are currently in transit.
Identity thieves aim to file a fraudulent return as early as possible. Their goal is to claim a refund using your information before you even sit down with your accountant. If they win the race to file, the IRS will reject your real return, leading to months (or years) of bureaucratic headaches to clear your name and receive your rightful refund.
Your Secret Weapon: The IRS IP PIN
There is one proactive step that provides more protection than any credit freeze or complex password: The IRS Identity Protection PIN (IP PIN).
What is it?
An IP PIN is a unique, six-digit number assigned to eligible taxpayers. Think of it as Two-Factor Authentication (2FA) for your tax return. Even if a criminal has your Social Security number, your date of birth, and your address, they cannot file a federal tax return without this specific code.
How it Works:
Once you opt-in, the IRS will provide you with a new PIN every year.
You (or your tax preparer) must enter this PIN on your electronic or paper return.
If a return is filed with your SSN but is missing the PIN (or has the wrong one), the IRS computer system automatically rejects it.
How to Get Your IP PIN Today
Historically, the IP PIN was only available to confirmed victims of identity theft. However, the IRS has since opened the “Get an IP PIN" program to any taxpayer who can verify their identity.
The Process:
Visit IRS.gov: Navigate to the "Get An IP PIN" tool.
Verify Your Identity: You will need to go through the IRS’s identity verification process (ID.me), which may require a photo ID and a smartphone.
Receive Your Code: Once verified, your six-digit PIN will be revealed. Keep this code in a secure place—treat it like your most sensitive password.
Beyond the PIN: Staying Vigilant
While the IP PIN is your strongest defense, remember these Golden Rules for February:
The IRS will not call or text you to ask for your IP PIN. If someone contacts you claiming to be from the IRS asking for that number, it is a scam.
Secure your mail. If you have an unsecured mailbox, try to collect your mail as soon as it arrives to prevent W-2 theft.
File as early as possible. The sooner you file your legitimate return, the smaller the window of opportunity for a thief.
The Bottom Line
Identity theft is an exhausting, emotional, and time-consuming ordeal. By taking ten minutes this week to request an IP PIN, you aren't just protecting your refund; you're protecting your peace of mind for the rest of the year.
