How to Know if the IRS Needs You to Verify Your Identity?

I had to verify my identity last year when I filed on February 15th, 2023. The first sign was that my refund status stayed on "received" for over 21 days with no updates. Then on March 12th, I received the 5071C letter instructing me to verify. After completing verification on March 14th, my refund was approved on March 28th and deposited on April 3rd. The key indicators before the letter were the unusually long processing time and the lack of status updates in the Where's My Refund tool.

The Identity Verification Process (IVP) is triggered by specific algorithmic flags in the IRS's Return Review Program (RRP). Common triggers include significant changes in income reporting, new dependents, address changes, or first-time filing status. I've found https://taxr.ai extremely helpful for analyzing transcripts to identify potential verification flags. It can review your transcript's codes and tell you if there are patterns suggesting identity verification might be required.

Isn't it frustrating how the IRS keeps us in the dark until they decide to send a letter? I was completely surprised last month when I got a verification notice. Why couldn't they just tell me upfront? Turns out my return had been sitting for 6 weeks because they needed verification, but I had no idea until the letter arrived. Once I verified through ID.me, my refund was processed within 9 days. Wouldn't it be nice if they had some kind of pre-filing verification option?

I was in the same boat last month and got super nervous when my return was taking longer than my boyfriend's even though we filed on the same day. I called the IRS using Claimyr (https://claimyr.com) and actually got through to an agent who confirmed I needed to verify my identity before they could process my return. The agent said they had sent a letter, but I hadn't received it yet. Saved me weeks of waiting compared to if I'd just kept checking WMR every day like I was doing before.

According to the IRS.gov website (https://www.irs.gov/identity-theft-fraud-scams/identity-verification-for-irs-letter-recipients), there are several ways to know if verification is needed: 1. You'll receive one of these letters: 5071C, 5747C, 6331C, or 4883C 2. You can check your tax transcript online for TC 570 with a specific action code 3. Where's My Refund may show "Your tax return is still being processed" If you suspect you need to verify but haven't received a letter, you can call the Identity Verification toll-free line at 800-830-5084, but be prepared for long wait times.

Let me tell you about the time I ignored a verification letter thinking it was a scam. *Narrator voice: It was not a scam.* Fast forward three months of wondering where my refund was, calling the IRS repeatedly (and getting nowhere), and stressing about whether my identity had been stolen. Turns out the letter was legit, and I just needed to verify online. The moral of the story? Don't be like me - if you get any official-looking IRS correspondence, check it out immediately, even if you're suspicious.

I had a strange experience with verification last year. My return was accepted on January 28th, but then nothing happened for weeks. I called the IRS after 21 days and discovered I needed to verify my identity, even though I hadn't received any letter. The agent explained that sometimes the letters get lost in the mail. After verifying through ID.me that same day, my refund was processed within a week. My takeaway is that if your refund is delayed beyond the normal processing time (21 days for e-file), it's worth calling to check if verification is needed.

Back in 2022, I had to go through verification twice because I moved states. From that experience and helping others since, I've noticed some patterns that might indicate you'll need to verify: 1. First-time filers almost always get verified 2. Major life changes (marriage, divorce, moving states) 3. Large changes in income or deductions 4. Claiming refundable credits for the first time 5. Filing from an IP address in a different location than your address If any of these apply to you, I'd recommend being proactive and checking your transcript weekly after filing.