Identity theft is a killer that can cause you to lose thousands of dollars. These thieves can steal your information. When they have your information, they can take the money in your bank account, use all the credit on your credit cards, apply for accounts, and get medical treatment on your health insurance. Identity theft can cost a business up to billions of dollars. In order to reduce the chance of identity thief, the IRS is concealing business tax transcripts.
A business tax transcript is “a summary of a tax return” (IRS). A tax return includes financial and personal information, like identification numbers, bank account numbers, and social security numbers. Now, the IRS is making some changes and adding some additional concealment features for the business tax transcript. The last four digits are all you should see on the new transcripts for employer identification numbers, social security numbers, individual tax identification numbers, account numbers, and phone numbers. The new business tax transcript will go into effect on December 13.
All businesses should be aware of the new transcript. If you want more information about the IRS concealed business tax transcript, please contact Lakeesha Browne, CPA. This information was brought to you by IRS Tax Tip 2020-164, which was posted on December 2, 2020.
“IRS will soon conceal sensitive date on business tax transcripts.” IRS, 2 Dec. 2020, www.irs.gov/newsroom/irs-will-soon-conceal-sensitive-data-on-business-tax-transcripts. Accessed 5 Dec. 2020.