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Recent Tax Updates

Encourage Taxpayers to Obtain an Identity Protection PIN (IP PIN) For Extra Protection

The IRS is reminding tax preparers to recommend their tax clients to sign up to get an IP PIN. Beginning last year, the IRS made this program available to all taxpayers who can verify their identity. By obtaining an IP PIN, a taxpayer can get extra protection when filing their 2023 federal tax return.

The Identity Protection PIN (IP PIN) is a six-digit code known only to the taxpayer and to the IRS. It helps prevent identity thieves from filing fraudulent tax returns using a taxpayers’ personally identifiable information. The IP PIN allows the IRS to verify that the federal return that is being filed is truly that individual’s federal return.

Here are a few key things to know about the IP PIN Opt-In program:

  • It is voluntary.
  • Individuals must pass an identity verification process.
    • If an individual was previously rejected during the identity verification process, the IRS encourages them to try applying again as the process continues to be refined
  • Once an individual receives an IP PIN, they must enter it on their federal return to avoid rejections and delays in the processing of the return.
  • An IP PIN is valid for one calendar year, which means every individual will receive a new one each year.
  • Once an individual receives an IP PIN, they can view what their IP PIN is by logging back into the Get an IP PIN application.

Any individual who has an SSN or ITIN is eligible to get an IP PIN – including a spouse or dependent of the taxpayer. Most individuals will be able to obtain an IP PIN using the Get an IP PIN tool on the IRS website. However, individuals whose adjusted gross income is above $79,000 ($158,000 for MFJ) that wish to get an IP PIN will need to complete Form 15227 or make an appointment at an IRS Taxpayer Assistance Center to verify their identity before they will be issued an IP PIN. For more details see the “Alternatives to the Online Tool” section of the Get an Identity Protection PIN page on the IRS website.

For more information on the IP PIN program see the following on the IRS website:

CrossLink Professional Tax Solutions

CrossLink is the industry’s leading professional tax software solution for high-volume tax businesses. Built based on the needs of busy tax offices and mobile tax preparers that specialize in providing their taxpayer clients with fast and accurate tax returns, CrossLink has been a trusted software solution since 1989. CrossLink’s in-depth tax calculations, advanced technological features, and paperless solutions allow you to prepare the most complicated tax returns with confidence and ease while providing your customers with an unparalleled experience.

Mark Castro, CPA

Mark Castro, CPA

Mark has been with CrossLink Professional Tax Solutions (CPTS) since 2008, but has been in the tax industry since 1990. As the government/tax industry liaison for CPTS, Mark has been very active in working with the IRS, States, and other tax industry members to help improve communications, promote standardization, and simplification of eFile systems. Mark has also been active with industry associations as a board member of the National Association of Computerized Processors (NACTP) and the Council of Electronic Revenue Communication Advancement (CERCA) for many years. These two associations work with the IRS and States to help solve key eFile and electronic tax system issues and work to improve the operations of the State and IRS eFile systems.
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