The IRS has announced starting in January 2021, the Identity Protection (IP) PIN opt-in program will be expanded to all taxpayers who can properly verify their identities. The IP PIN is a six-digit number assigned to eligible taxpayers to help prevent the misuse of their Social Security number on fraudulent federal income tax returns.

The fastest way to get an IP PIN is through the IRS’s “Get An IP PIN” tool. The tool, which will be available in mid-January, uses Secure Access authentication, which verifies your identity through several different methods.

Once received, an IP PIN is valid for one year. This number must be provided to your tax preparer to allow electronic filing of your tax return. Each January, you must obtain a newly generated IP PIN. The IRS plans to offer an opt-out feature to the IP PIN program in 2022 if you find it is not right for you.

Please reach out to your Somerset Advisor at 317.472.2200 or  with any questions.