IRS Letter 5071C - Identity Verification

[dkh]

I have a client that received 5071C.  According to IRS website, client must first create an ID.me account before being able to go to www.idverify.irs.gov.        Is this correct?  Has it always been this way?

[PATAX]

Dkh yeah I think that's correct... a client took care of this on her own a few months ago. She said she had to jump through a lot of Hoops with codes, etc and had to use her smartphone as well as her computer. She had to send them a picture of her driver's license and then a picture of herself and they verified that that was her. I don't think they asked her too much of what was on the return, I think just her filing status and maybe one or two other things. Thanks to Bob's help,  it sounded like she was chosen because her husband died in 2021, and I made her the taxpayer and her deceased husband the spouse, since this is the way we have to do it for Pennsylvania. Maybe this is what happened to your client? Hope this helps

[Just-Lisa-Now-]

ID verify hasnt been around too long, only the past few years I think. I just finally did my own ID.Me account the other day, they wouldn't let me upload 8821s without it!

[dkh]

The 5071C letter doesn't state anything about setting up the ID.me account. 

It says to have 1) the letter 2) the form 1040 for tax year shown on letter    

Client (Amish) came to my office to use my computer since he doesn't have one, thinking it would be just going to the www.idverify....   and to answer some questions...  HA !   Needless to say it was a waste of his and my time.  He doesn't have a computer or an email address or a cellphone.

[dkh]

Did you get the account setup with the face recognition?   I tried to setup an account several months ago.... I wasn't successful doing it the "fast" method.  I need to do the annoying video call.

[PATAX]

My client did exactly what that letter said to do, but she did have to get her daughter to help her. Don't know what you're going to do though with your situation, since they don't have anything like you said. Amish do have  very well-mannered Children and Families, very well-mannered ..... client did receive the refund though the next day or so, so some of us here were thinking that she was going to receive it anyways. Maybe you might want to wait a little bit to see what happens. Just my opinion.

[IRonMaN]

If it the refund isn't big enough to be life changing, I would do as the dog says and give it a little time to see what shakes out.

[PATAX]

@IRonMaN it's Heidi's birthday today. She is 8 years old. I bought her a little squeaky ball for her birthday,  and the German Shepherd is like a little puppy dog, carrying that thing around like it's the most prized possession in the world....🐕☝

[IRonMaN]

Squeaky toys are a dog’s best friend ——— next to their human friends anyway.   Tell her happy birthday from me🥳

[PATAX]

👍

[Just-Lisa-Now-]

Yes, it had to send a link to my cell phone to take this weird kind of selfie.

The weirder part is, it says if you dont have a smart phone then you need to do a video conference, but if you dont have a smartphone, whats the chance that you have a webcam to do it on your computer (I dont have any camera on my PC), so if I didnt have smartphone, I guess Im screwed?

[dkh]

It is a substantial refund, which is probably why the identity verification letter was issued. However, it's not an extreme difference from 2020 refund. 

Over 60 days since accepted.  Letter issued just days after 60 day mark.  

[qbteachmt]

There was significant coverage back in Feb about the facial recognition failures and breaches. I found you this:

https://www.cnet.com/personal-finance/taxes/irs-to-back-off-third-party-facial-recognition-what-happ...

[dkh]

Thanks for the link.      My frustration is the need to set up an ID.me account to do the identity verification.  The 5071C letter does not state it is necessary.  

[PATAX]

Yeah it could be because of substantial refund. I had that happen years ago even though the refund was applied to the next year,  I guess it doesn't matter whether it's applied or refunded. At a seminar around that time, the instructor asked how many tax preparers' clients have received identity verification letters. I think just about everyone raised their hands.

[dkh]

If the clients have not changed - address, filing status, direct deposit accounts - in the last 5+years, why in the world does IRS need to do an identity verification.....smh

[PATAX]

Yeah right. Maybe it could be just random or maybe they are testing out that new system? Who knows

[IRonMaN]

"why in the world does IRS need to do an identity verification.....smh"

Because they don't want to pay out the refund any sooner than they have to.  They need the money to pay for training for all of their new hires.  You know, the ones that will be answering the phones next year giving wrong answers to every question asked 😉

[taxes96786]

IRS does not like it when you change the primary taxpayer. You should have left him as primary then put in his DOD. When spouse starts filing single returns is the time to make her the primary.