This month the IRS testified before the Senate Finance Committee that its Free Application for Federal Student Aid (FAFSA) tool had been compromised by hackers. The IRS stated that hackers posed as students and used this tool to access tax returns from 100,000 tax payers. Data gained from these returns was then used to file for tax refunds. The IRS is notifying taxpayers whose tax records were compromised and assisting them with identity theft protection.
As we all know, a tax return is full of personally identifiable information, making any victim vulnerable to identity theft. If you receive notification that your tax records were a target of this breach, here are steps to take right away to help safeguard your identity.
Source: The New York Times
For more information on this data breach, check out Up to 100,000 Taxpayers Compromised in FAFSA Tool Breach, I.R.S. Says or Hackers Use FAFSA Application to Steal Tax Info.