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Level 5
June 14, 2021
Solved

5071C Letters

  • June 14, 2021
  • 6 replies
  • 21 views

are many of your clients receiving 5071C letters requesting Identity Verification thus delaying their refunds up to 9 weeks?

This topic has been closed for replies.
Best answer by Just-Lisa-Now-

The Turbotax breach was announced a few days ago, its current, not from last year. ProSeries isnt an online DIY program it can't be "breached" like Turbotax.  TurboTax has had similar issues in prior years as well though.

6 replies

PATAX
Level 12
June 14, 2021

@Summit1 I haven't received one and I do not know of any local tax preparers that have received one...

Summit1Author
Level 5
June 14, 2021

I had the client scan and email the letter and it appears to be authentic. It is from the IRS is Austin, TX and references the Integrity & Verification Operations Division. You are encouraged to chose the online option. The IRS provides additional information as to what information you should have when you logon. It seems to me that they are trying to look for identity theft. 

The alarming part is that this is going to hold up the clients refund for another 9 weeks. 

sjrcpa
Level 15
June 14, 2021

I've had a couple of clients get them.

The more I know the more I don’t know.
Summit1Author
Level 5
June 14, 2021

Thank you

PATAX
Level 12
June 14, 2021

@Summit1 make sure it is a legitimate letter... I haven't received one in years but I think it came from Austin Texas.  

Just-Lisa-Now-
Intuit Community Champion
June 14, 2021

Seen a few from the state of CA, I dont think anyone has called with a federal one yet though.    

♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪
Summit1Author
Level 5
June 14, 2021

Thank you!

Just-Lisa-Now-
Intuit Community Champion
June 14, 2021

TurboTax did have a security breach, maybe some phony returns got filed

https://www.bleepingcomputer.com/news/security/intuit-notifies-customers-of-compromised-turbotax-accounts/

♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪
Summit1Author
Level 5
June 14, 2021

 Thank you!

dascpa
Level 11
June 15, 2021

At least 25 this year.  More than ever before.

Summit1Author
Level 5
June 15, 2021

It appears that the IRS is experiencing an increase in people filing fraudulent returns. My client is going to try and resolve this online this evening. I will be available to the client if they don't know exactly where to find the information the IRS is requesting to confirm their identity. Based on the letter they received the IRS has received a return using this clients name but the return filed does not appear to contain the same type of information that this client usually reports.

If the client is successful, I  will update my post and provide additional information.

I did see a reply to my post indicating that Turbotax experienced a data breach last year. Does anyone know if ProSeries experienced a databreach?

Just-Lisa-Now-
Intuit Community Champion
June 15, 2021

The Turbotax breach was announced a few days ago, its current, not from last year. ProSeries isnt an online DIY program it can't be "breached" like Turbotax.  TurboTax has had similar issues in prior years as well though.

♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪