2018 TAXES: How the Equifax data breach could impact your return
The Equifax data breach could impact your taxes when you go to file this year. The breach is said to have exposed hundreds of millions of Americans personal information.
The Equifax data breach could impact your taxes when you go to file this year.
The breach is said to have exposed hundreds of millions of Americans' personal information- including social security numbers.
More than 3 million Tennesseans had their information stolen, according to the state's attorney general last summer.
The new tax bill won't affect you just yet, but Andrew Poulos, with Poulos Accounting and Consulting, said you should start planning for it when you file your taxes this year.
"Everyone's going to be impacted in some shape or form, and it's all case by case,” Poulos explained. “So we can't just say everyone is going to be impacted in one way or another."
His biggest piece of advice is to talk with an expert and file early because what could impact your return this year is the Equifax data breach.
“This year obviously is unprecedented and different than past years," Poulos said.
He said millions of people could be impacted and not even know it until they file their tax return.
"You might found out if you wait to file later in the year that your social security number has been filed or claimed as a dependent on another return,” Poulos explained. “Therefore, you're going to have problems filing your return and getting any potential return that you may be due."
If someone did use your social security number, your return will get rejected by the IRS. That means you can't get a refund until the IRS investigates and clears the case. Poulos said the investigation could take upwards of 15 to 18 months.
“I foresee this year, more so than in the past, that there's going to be challenges with the Equifax data breach,” he urged. “So potentially the IRS may be inundated with identity theft cases."
Poulos urges people to make sure they file as soon as possible so they can deal with any issues right away.
Also, new this year, Poulos said tax debt could impact your passport. If a person has more than $50,000 in tax debt, their passport can be revoked or denied if they are applying for a passport.