What should I do if I receive a tax refund for a return I didn't file?

If an individual receives a tax refund for a return they did not file, it is crucial to take immediate action to address the situation. First, the individual should review their records to confirm that they did not file any tax return for the year in question. If it is confirmed that they did not file, the next step is to secure any personal information that could have been compromised. This could include changing passwords for online accounts, monitoring bank statements, and placing fraud alerts on credit reports. The next important step is to report the situation to the Internal Revenue Service, as they are responsible for investigating potential tax fraud and identity theft. Individuals should prepare to provide any relevant documentation that demonstrates the refund was erroneously issued. The IRS may request a detailed statement explaining the circumstances and could ask for identification that confirms identity. While navigating this situation, it is also advisable to be vigilant about any subsequent communications from the IRS, as they may initiate an investigation and request additional information. Furthermore, individuals may find it prudent to consult with a tax professional or legal advisor who specializes in tax fraud and identity theft issues. By seeking expert guidance, individuals can better understand their rights and responsibilities and take appropriate action to protect themselves from further fraudulent activity. Overall, it is important to act quickly and remain proactive to protect personal financial information and identity. For more information on the appropriate steps to take, individuals should refer to the IRS website, where they can find relevant resources and contact details.