A Message from the Indiana Department of Revenue

Revenue

Since its inception in 2014, the Identity Protection Program has stopped more than $100 million in fraudulent tax refund attempts. The goal of the program is to not only stop fraud, but to deter fraud in the state of Indiana.

Security Features

To prevent taxpayers’ refunds from being stolen, the department will use the automated identity verification services of LexisNexis to help confirm the identities of all Hoosier taxpayers due a refund in 2016.

Identity information from individual income tax returns is checked against the LexisNexis identity verification database. This database confirms that the person submitting the return is who they say they are. Approximately 95 percent of all taxpayer returns are confirmed and moved into processing at this step.

Identity Confirmation Quiz

Some taxpayers will receive a letter from the department asking them to take the Identity Confirmation Quiz. It is important that taxpayers who receive this letter confirm that the names(s) and address information at the top of this letter matches an Indiana income tax return they recently submitted. If the information is not correct or the taxpayer did not file a tax return for the indicated year, he or she should NOT complete the Identity Confirmation Quiz, but rather call the department at the number indicated on the letter.

Taxpayers whose information is correct must complete the Identity Confirmation Quiz. It contains three to four questions for which only the taxpayer would know the answer. Each taxpayer selected has two attempts to take the quiz via our secure website. After successful completion of the quiz, the taxpayer should receive his or her refund on time—within 14 days if electronically filed and within 12 weeks if filed by paper.

Those who do not pass the quiz in two online attempts will be asked to contact the department at a special number where they have an additional chance to take it via telephone.

Taxpayers are selected for the Identity Confirmation Quiz when there are irregularities in their information when screened through the LexisNexis identity verification database. Currently, only about 5 percent of taxpayers are selected to take the quiz.

Those selected to take the quiz are not suspected of committing identity theft. Irregularities that may trigger the requirement to take the quiz include the taxpayer having moved very recently and neither the department nor LexisNexis had the updated address; or, a taxpayer may have accidently transposed some numbers of his SSN or street address.

Resources

  1. A small handout about this program that you may provide to taxpayers can be found at www.in.gov/dor/5077.htm
  2. Indiana Department of Revenue’s Stop ID Theft website: www.in.gov/dor/4794.htm
  3. Indiana Attorney General’s ID Theft Prevention Toolkit: www.in.gov/attorneygeneral

-Click ID Theft Prevention Toolkit in the right navigation menu under Online Resources

  1. A copy of the letter is located here. Please note the Identity Confirmation Quiz letter and contact information are for your use only. Please do not distribute either to taxpayers.

These increased security features are designed to prevent identity theft and tax fraud, saving taxpayers and the state of Indiana millions of dollars.

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