IRS INTRODUCES NEW TRANSCRIPT
Another Positive Step to Combat ID Theft
Effective September 23, the IRS will begin to use a new transcript format that will redact personally identifiable information from its Form 1040 transcripts. The new format will be used when a person requests a transcript via Get Transcript Online, Get Transcript by Mail, and the Transcript Delivery System used by tax professionals. The new format will continue to show the financial information that taxpayers and third parties are currently receiving for tax preparation or loan income verification purposes.
Another significant change is that the IRS has created a 10-digit Customer File Number (CFN) field that lenders, colleges and other third parties that order transcripts for non-tax purposes can use as an identifiable number instead of using SSNs. For example, a lender could use its loan application number as the CFN so that it can easily match the transcripts to the loan application.
The IRS had identified transcripts as a desired document that criminals thought due to the personal information on the current transcripts. To minimize the ability of criminals to gain this personal information, the new transcript format will show the only the last 4 digits of SSNs and telephone numbers. The new format will only show the first 4 characters of the taxpayer’s surname and first six characters of the street address, including the house number and any spaces.
If you would like to discuss your business or personal tax planning, tax preparation and other financial concerns with an experienced tax professional, we invite you to call 610-594-2601 today to make an appointment at our Exton PA CPA office to discuss your situation. You can also schedule a consultation at Click Here.
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About F. Bryan Haarlander, EA, CTRS:
Bryan Haarlander is an IRS licensed Enrolled Agent and who owns and operates a specialized tax services firm serving clients in the western suburbs of Philadelphia, PA, which includes the cities of Chester Springs, Coatesville, Collegeville, Devon, Downingtown, Exton, Frazer, King of Prussia, Paoli, Philadelphia, Phoenixville, Pottstown, Radnor, Reading, Wayne, West Chester in Berks, Chester, Delaware, Montgomery and Philadelphia Counties, as well as clients in Delaware, New Jersey, New York and throughout the continental USA.
A Certified Tax Resolution Specialist, Bryan is well-known for his IRS tax resolution expertise and his book How to Resolve Your IRS Tax Debt Problems.
