IRS Identity Verification: Best Practices to Prevent Delays

Quick overview

IRS identity verification is the set of checks and requests the Internal Revenue Service uses when a return or account shows signs of potential identity theft or mismatch. The IRS may prompt you to verify your identity online, by phone, or by mail (for example, Letter 5071C). Completing verification quickly and correctly prevents refund delays and reduces follow-up notices. (See IRS Identity Theft Central: https://www.irs.gov/identity-theft-central)

Why the IRS asks for identity verification

The IRS balances two priorities: paying correct refunds promptly and preventing fraudulent refunds. Identity verification is triggered when an electronic return, online account access, or refund looks unusual. Common triggers include:

• Mismatched personal data (name, Social Security number, or address) compared with IRS records.
• Filing as a first-time filer or after a long gap in filing.
• Claiming refundable credits that historically attract fraud (e.g., certain refundable credits).
• Suspicious filing patterns flagged by IRS screening algorithms.
• Prior identity-theft reports tied to your SSN.

These checks are intended to stop criminals from filing returns in someone else’s name and to protect both the taxpayer and the tax system. (IRS Identity Theft Central: https://www.irs.gov/identity-theft-central)

How the IRS verifies identity (the typical paths)

The IRS uses several methods. Knowing these ahead of time helps you prepare and avoid delays.

1. Online identity verification tools

• The IRS may invite you to use their Identity Verification Service or an online sign-in process to confirm personal data and view a verification code. Use only official IRS pages (look for irs.gov URLs) to avoid scams. (IRS Get Transcript & Identity pages: https://www.irs.gov/individuals/get-transcript)

1. IRS letters (mail)

• The IRS commonly sends letters like Letter 5071C asking taxpayers to verify identity before processing a return or releasing a refund. Follow the letter’s instructions carefully and use the exact verification options listed. (FinHelp guide on responding to Letter 5071C: https://finhelp.io/glossary/how-to-respond-to-an-irs-identity-verification-letter-letter-5071c/)

1. Request for transcripts or documentation

• The IRS may ask you to provide a tax return transcript, copies of W-2s, a Social Security card, or Form 4506-T (Request for Transcript) to confirm income and identity. You can request transcripts from the IRS transcript portal. (IRS: Get Transcript at https://www.irs.gov/individuals/get-transcript; Form 4506-T info: https://www.irs.gov/forms-pubs/about-form-4506-t)

1. Identity Protection PIN (IP PIN)

• If you’re a confirmed victim of identity theft, the IRS may issue an IP PIN that must be included on future returns to prevent fraudulent filings. Apply or learn more via IRS Identity Theft Central.

Practical checklist to prevent verification delays

Use this checklist before you file to reduce the chance you’ll be asked to verify your identity and to speed resolution if asked:

• Verify personal data matches IRS records

• Confirm your name, Social Security number (SSN/ITIN), and current address exactly match your Social Security Administration and prior tax returns. Even small differences (e.g., a middle initial) can trigger a match failure.

• Keep prior-year tax records handy

• Have last year’s return, W-2s, 1099s, and any state tax returns available. These items are often used to confirm identity during online verification or when the IRS requests documentation.

• Use accurate direct deposit information

• If you provide bank info for a refund, ensure the account-owner name matches IRS records or that you’re an authorized signatory.

• Enroll in secure tools wisely

• If you use the IRS online account or identity-service, follow the IRS instructions and only use official links. Beware of phishing; the IRS will not demand passwords by phone or email.

• Consider an IP PIN if eligible

• If you’ve been a victim of tax-related identity theft or want to proactively protect your account in some cases, request an IP PIN through the IRS (where available).

• Monitor your credit and tax accounts

• Check for unrecognized activity on credit reports and review IRS transcripts if something seems off.

What to do when the IRS asks you to verify identity

Follow these steps to minimize delay and avoid additional contact:

1. Read the notice/correspondence carefully

• Note the deadline and approved verification channels. Many IRS letters provide a secure online link, a phone option, and postal instructions.

1. Use secure online options first (if available)

• The online Identity Verification Service or IRS account portal can be the fastest route. Have your prior-year tax information and a current form of ID ready.

1. If online verification fails, gather documentation

• Typical documents the IRS accepts include a copy of your tax return, W-2s, a copy of a government-issued ID, Social Security card, or a completed Form 4506-T requesting a transcript.

1. Mail or fax documents per IRS instructions

• Follow the address and documentation checklist in the letter. Keep a copy of everything you send and use tracked mail where possible.

1. Keep a record of calls and confirmations

• If you call the IRS, note the agent’s name, badge number, date/time, and any case number provided.

1. Follow up if needed

• If you’ve submitted documents and don’t hear back within the timeframe listed, contact the IRS using the number on the original notice or check the status through your online account.

If verification fails repeatedly or you suspect identity theft, escalate to the IRS Identity Protection Specialized Unit and consider filing an Identity Theft Affidavit (Form 14039) per IRS guidance. (IRS Identity Theft Central: https://www.irs.gov/identity-theft-central)

Common mistakes that cause delays (and how to avoid them)

• Entering the wrong prior-year AGI or birth year when using online verification — double-check values from last year’s return.
• Using an old address — update the SSA and the IRS with current address information before filing if possible.
• Sending incomplete documentation — follow the letter’s checklist exactly.
• Falling for phishing — the IRS will not initiate identity verification via email asking for passwords or full SSNs.

Real-world examples (short)

• Case 1: Address mismatch — A first-time filer used a new mailing address but had not updated the SSA. The IRS flagged the return; the taxpayer used the online verification tool after correcting SSA records and the refund was issued within two weeks.

• Case 2: Failed online steps — A taxpayer entered the wrong prior-year AGI while trying to verify online and received repeated failures. A copy of the prior-year return and a completed Form 4506-T resolved the issue after a single documented submission.

These scenarios reflect frequent problems I’ve seen in practice: small data mismatches cause the vast majority of preventable delays.

Documentation checklist (what to have ready)

• Previous year’s tax return (Form 1040)
• W-2s, 1099s, and other income documents
• Social Security card or IRS letter showing the SSN
• Government-issued photo ID (driver’s license or passport)
• Bank statement or a cancelled check for direct deposit verification
• Form 4506-T or tax transcript (if requested). See how to get a transcript: https://finhelp.io/glossary/how-to-get-your-tax-transcript-from-the-irs/

When to get professional help

If you: (a) receive repeated notices and can’t resolve verification, (b) are a confirmed identity-theft victim, or (c) have a complex tax history or joint-filing disputes, hiring a CPA or tax pro can reduce errors and speed resolution. If you suspect identity theft led to fraudulent returns under your SSN, review FinHelp’s guide on handling identity-theft-related tax returns: https://finhelp.io/glossary/handling-identity-theft-related-tax-returns-steps-to-recover-your-refund/

Quick FAQ

• How long does verification take? It varies — online verification can be immediate; mailed documentation may take several weeks. Be proactive to shorten delays.
• Can I file while verifying? You can file, but the IRS may hold processing or the refund until verification is complete.
• What if I never get a letter? If you think your return was flagged and you received no mail, check your IRS online account or call the number on IRS.gov. Never respond to unsolicited emails claiming to be the IRS.

Final tips

Treat identity verification as part of tax filing hygiene: keep records, check that your personal data matches official records, and respond promptly to IRS notices. Doing so reduces stress and helps ensure timely refunds.

Sources and further reading

• IRS Identity Theft Central: https://www.irs.gov/identity-theft-central
• IRS Get Transcript and Form 4506-T information: https://www.irs.gov/individuals/get-transcript and https://www.irs.gov/forms-pubs/about-form-4506-t
• FinHelp article: How to Respond to an IRS Identity Verification Letter (Letter 5071C): https://finhelp.io/glossary/how-to-respond-to-an-irs-identity-verification-letter-letter-5071c/
• FinHelp article: Handling Identity Theft-Related Tax Returns: Steps to Recover Your Refund: https://finhelp.io/glossary/handling-identity-theft-related-tax-returns-steps-to-recover-your-refund/

Professional disclaimer: This article is educational and does not replace personalized tax advice. For decisions about your specific tax situation, consult a qualified tax professional or the IRS.