1099-NEC from Walmart I never worked for - identity theft?

Thanks for the quick advice. Should I be worried about getting audited if I just file my taxes normally without reporting this fake income? And do you think I should also check my credit report to see if there's any other weird activity?

Yes, you should definitely be concerned about a potential audit if you don't address this. The IRS will be expecting to see that $4,800 reported on your tax return since Walmart has already submitted the 1099-NEC with your information on it. If you don't report it, their systems will flag the discrepancy. Absolutely check your credit reports from all three major bureaus (Equifax, Experian, and TransUnion). You can get free weekly reports at AnnualCreditReport.com. Look for any accounts or inquiries you don't recognize. You might also want to consider placing a credit freeze to prevent anyone from opening new accounts in your name.

How exactly does taxr.ai work? Do I need to upload my sensitive docs to their site? Seems risky to share more personal info when I'm already worried about identity theft.

I'm curious - did you end up having to file an amended return later or did you get everything sorted out before filing? I got a random 1099 from Uber last year and it was a total nightmare trying to fix.

The service uses secure document processing - they have bank-level encryption for all uploads. You just take photos of the incorrect 1099-NEC and any correspondence with Walmart, then their system analyzes everything and provides specific guidance. Their privacy policy is really strict and they don't store your documents after analysis. I was able to get everything sorted before filing my taxes. Their system helped me draft a dispute letter to DoorDash, contact the right department at the IRS, and document everything properly. I filed my taxes normally without the incorrect income and included the documentation they helped me prepare to explain the situation. No amended return was needed and I never heard anything from the IRS about it.

How does that actually work though? Doesn't the IRS need to verify your identity before talking to you about your tax stuff? How can some random service patch you through?

Sorry but this sounds totally fake. The IRS won't talk to anyone but you about your tax issues. They're strict about identity verification before discussing anything. I doubt this service actually works.

They don't talk to the IRS about your tax issues at all. The service just navigates the IRS phone tree and waits on hold for you. When an actual IRS agent comes on the line, you get a call and are connected directly to that agent. It's just like if you had called yourself, except you didn't waste hours listening to hold music. Once you're connected, you handle all the identity verification yourself directly with the IRS agent. Claimyr is just the hold service - they're never part of your actual conversation with the IRS. It's completely legitimate and actually recommended by tax professionals who know how hard it is to reach the IRS by phone.

That's a good point, but I live alone and I'm 100% certain I've never signed up. I don't even have a car! The weird thing is the 1099 has my correct address, which makes me think someone might have access to my personal info. I checked my credit report like someone suggested above and thankfully don't see anything suspicious yet.

Oh yeah, that definitely sounds like identity theft then! At least you checked your credit report quickly - that's smart. Make sure you're documenting everything, including when you received the 1099-NEC and all your communications with Walmart and the IRS. Taking screenshots of any online communications helps too. One other thing - check with your state tax agency as well. Sometimes people forget that fraudulent income can impact both federal and state taxes. Better to notify everyone early rather than dealing with multiple notices later.

This happened to me too! My brother used my SSN for his DoorDash gig because he had "tax problems" (aka hadn't filed in years). I only found out when I got a weird 1099. Be prepared for some awkward family conversations before filing police reports.

This is really comprehensive advice, thank you! I'm curious about step 4 though - when you say "attach a statement" to your tax return, do you mean just a written letter explaining the situation? And did you have any issues with the IRS questioning why you didn't report the income? I'm worried they might audit me even with documentation.

This is excellent advice about the wage and income transcript! I had no idea you could check what other forms might have been filed under your SSN. That's actually kind of scary to think about - if someone got my info once, they could have used it for multiple gig work platforms. The Identity Protection PIN sounds really important too. How long does it usually take to get one after filing Form 14039? I want to make sure I can file my taxes on time but also protect myself going forward. Also, when you say "tax attorney" - is that something most people need for identity theft cases, or were there complications in your situation that required legal help? I'm trying to figure out if I should handle this myself or get professional help.

Great point about the wage and income transcript! I didn't know about that either. Just checked mine and fortunately only found the fraudulent Walmart 1099-NEC, but it's definitely smart to verify there aren't other surprises lurking. For anyone else dealing with this - I called Walmart's payroll department this morning using the number on the 1099-NEC form. They were actually pretty helpful and said they're seeing more of these cases lately. They're opening an investigation and said they'll send me documentation showing I never submitted a W-9 or worked for them, which should help with my IRS filing. @Ella Russell - Did you end up needing professional help with your PayPal case, or were you able to resolve everything yourself? The tax attorney route sounds expensive but might be worth it if this gets complicated.

This is really helpful advice about checking for early fraudulent returns! I hadn't thought about that possibility but it makes total sense - if someone has enough info to get hired somewhere using my identity, they probably have enough to file a tax return too. I'm definitely going to create a documentation spreadsheet like you suggested. Even just from this thread, I can see I'm going to be dealing with multiple agencies and companies, so staying organized will be crucial. One question - when you mention the I-9 form, would Walmart actually provide that to me? I thought employment verification documents were usually kept confidential by employers. Or is this something they're required to share when there's suspected identity theft involved? Thanks for all the practical advice - it's reassuring to know this is resolvable with proper documentation!

Great question about the I-9 form! You're right that employers typically keep these confidential, but identity theft cases are different. When you file a formal identity theft complaint with Walmart and provide them with your police report number, they're usually required to cooperate with the investigation. You might not get the actual I-9 form itself, but they should be able to provide documentation showing what information was submitted during the hiring process - things like what ID documents were claimed to be used, when the person was hired, etc. This helps establish that someone fraudulently represented themselves as you. The key is being persistent and escalating if the first person you talk to says they "can't help." Ask to speak with their fraud/security department specifically, not just general HR or payroll. Companies deal with this more than you'd think and usually have established procedures. Also, I'd recommend calling them back in a few days to follow up if you don't hear anything. Sometimes the squeaky wheel gets the grease, especially when dealing with large corporations like Walmart. Keep us posted on how it goes! This thread could be really helpful for others dealing with similar situations.

This is such a comprehensive overview of all the steps needed - thank you for putting it all together in one place! I'm definitely feeling more confident about handling this now that I have a clear action plan. One thing I'm wondering about - when you mention attaching a statement to my tax return explaining the fraudulent 1099-NEC, should this be a formal letter or is there a specific IRS form for this? I want to make sure I'm communicating with them in the right way so there's no confusion about why I'm not reporting that income. Also, I'm curious about timing - should I wait to file my taxes until after I've gotten some response from Walmart and the IRS about the identity theft investigation, or is it better to file on time with the documentation I have and sort it out from there? I don't want to delay filing but I also want to handle this properly from the start. Thanks again for all the helpful advice everyone has shared in this thread! It's really reassuring to know I'm not the first person to deal with this kind of situation.

Great question about the statement format! You don't need a specific IRS form - just write a clear, concise letter explaining the situation. Something like: "The 1099-NEC from Walmart showing $4,800 in income is fraudulent. I have never worked for Walmart or as a Spark driver. I have filed identity theft reports with [police department] (report #XXX) and contacted Walmart to dispute this form. Supporting documentation is attached." Regarding timing - I'd recommend filing on time (by the deadline) rather than waiting. The IRS prefers you file timely with proper documentation rather than filing late. You can always amend later if needed, but it's much easier to handle this upfront with your original return. The key is having that police report number and some documentation from Walmart (even if it's just a case number from when you contacted them) to include with your filing. This shows the IRS you're actively addressing the identity theft rather than just ignoring income that was reported under your SSN. You've got this! The most important thing is that you caught it and are taking action quickly.

This is such great additional advice about notifying your bank and financial institutions! I hadn't thought about the potential for other types of fraud down the line, but you're absolutely right - if someone has enough of your personal information to get hired somewhere, they probably have enough to try other scams too. The point about getting documentation from your bank for the identity theft file is really smart. I'm already creating a comprehensive paper trail with police reports, Walmart correspondence, and IRS forms, so having bank security documentation to add to that folder makes total sense. I'm definitely going to look into credit monitoring services for identity theft victims. Do you have any recommendations for which services are most helpful? I've heard some are better than others at actually catching suspicious activity quickly. Thanks for mentioning that the IRS has established procedures for these cases - that's really reassuring to hear from someone who's been through this before. I was worried they might be skeptical or difficult to work with, but it sounds like they're used to handling identity theft situations. I feel much more confident about tackling this now thanks to all the advice everyone has shared in this thread. It's amazing how helpful this community is!