Tax season often brings excitement as people look forward to their tax refunds. But this time of year is also notorious for stolen tax refund checks. 

Most people don’t realize they’re victims until their legitimate tax returns are rejected because someone has already filed and received a refund in their name. 

Scammers use stolen personal information, such as your name, email address, Social Security number (SSN), and address, to fraudulently claim your tax refund.

If you’ve had your tax refund check stolen and cashed, this article explains the next steps and offers a solution for safeguarding your funds.

What Happens if Someone Steals My Tax Refund Check?

When someone cashes your Internal Revenue Service (IRS) stolen check, you don’t receive your expected refund. You might notice it’s missing when you check your bank account or receive a notice from the IRS that your refund has been issued—but you never got it.

In many cases, stealing a tax refund check also involves identity theft. The thief may use your personal information to acquire credit cards or loans in your name, which damages your credit score.

If someone steals your tax refund check and cashes it, take the following steps (explained below):

1. Confirm that the tax refund check was stolen
2. Monitor the credit report
3. File a complaint with the Federal Trade Commission (FTC)
4. Complete IRS Form 14039
5. Request a refund trace from the IRS
6. Analyze the Bureau of the Fiscal Service (BFS) response

1. Confirm That the Tax Refund Check Was Stolen

The first step is to confirm your tax refund has been stolen and cashed. Go to the IRS website and use the “Where’s My Refund” tool to check your refund status. You can access it 24 hours after the IRS receives your e-filed return or four weeks after mailing your paper return.

The status checker will show one of the three stages: 

1. Received—The IRS has received your return but hasn’t processed it yet
2. Adjusted—The IRS is still reviewing or processing your return 
3. Completed—Your refund is on its way, either by direct deposit or paper check

Direct deposit should hit your bank account within 21 days after the IRS accepts your return, while paper check arrives within six weeks. 

If your refund doesn’t arrive within the expected time frame, the IRS advises waiting an additional five days before reporting it as lost or stolen.

2. Monitor the Credit Report

Keeping a close eye on your credit report is important after discovering your check has been stolen. You can get a free credit report from each of the three major credit bureaus—Experian, Equifax, and TransUnion—once a year.

Check your credit reports for: 

• Any new accounts or credit inquiries that you don’t recognize
• Any charges or transactions that you didn’t make
• Altered personal information, such as your name, address, and SSN 

If you suspect your identity has been compromised with a stolen IRS refund check, consider placing a credit freeze on your accounts. Contact each of the three major credit bureaus to request this.

Find their contact information in the table below: 

Online Form	Contact Number	Mailing Address
Equifax Credit Report	1-800-685-1111	Equifax Information Services LLC—P.O. Box 105788, Atlanta, GA 30348-5788
Experian Freeze Center	1-888-397-3742	Experian Security Freeze—P.O. Box 9554, Allen, TX 75013
TransUnion Credit Freeze	1-888-909-8872	TransUnion LLC—P.O. Box 2000, Chester, PA 19016

3. File a Complaint With the FTC

When someone steals and cashes your tax refund check, your personal information may be compromised.

To report this, visit IdentityTheft.gov, the FTC’s official website for reporting identity theft. The website has an easy-to-use online wizard that guides you through the process of reporting identity theft. 

Once you complete the reporting process, you’ll receive an official FTC Identity Theft Report and a personalized recovery plan. 

Keep copies of your FTC report, recovery plan, and any communication with businesses or financial institutions safe.

4. Complete IRS Form 14039

The next thing you want to do is to inform the IRS about your stolen refund check. 

Call the IRS Identity Protection Specialized Unit at 1-800-908-4490 to report the theft of your tax refund check. They can help you understand what happened and guide you on the steps to take with your tax information.

The IRS may require you to file Form 14039, the Identity Theft Affidavit, to officially report tax-related identity theft. You can download a PDF version of Form 14039 directly from the IRS website.

If you prefer a physical copy, ask the IRS representative to mail you a copy of Form 14039 during your call.

The form contains the following sections:

Section	Information Needed	Details
A	Reason for submitting	Check the box for identity theft affecting federal tax records
B	Taxpayer name	Full name as it appears on your tax return
	Social Security number	Your SSN or ITIN
	Current address	Your current mailing address
	Previous address	Your previous address, if you’ve moved
	Contact information	Phone number and email address
C	Tax year affected	The tax year the theft occurred
	Explanation of the theft	Brief description of the situation
D	Supporting documents	Copies of documents verifying your identity (e.g., Social Security card, driver’s license, or passport)

5. Request a Refund Trace From the IRS

The steps to request a stolen IRS check refund trace depend on your filing status:

Single, Married Filing Separate, or Head of Household Filing Status

Call the IRS Refund Hotline by dialing 1-800-829-1954. Use the automated system or speak to follow the prompts for a refund trace. This system provides guidance on initiating the process and may offer immediate information about your refund status.

If you need more detailed assistance, choose the option to speak with an IRS employee. You can also visit the IRS website and navigate to the “Where’s My Refund?” tool. Enter your details to check the status of your refund and start a refund trace if necessary. This tool will show whether your refund is still being processed or has been completed.

Alternatively, download and install the IRS2Go app on your smartphone. Use the app to check the status of your refund and follow the prompts to request a refund trace if you haven’t received it yet.

Married Filing Jointly

If filing jointly, you’ll need to download IRS Form 3911, Taxpayer Statement Regarding Refund, from the IRS website. If you prefer, you can request a paper form by calling the IRS.

Provide the necessary information on the form, including:

• Tax year
• Your and your spouse’s names
• SSNs
• Address
• Information about the stolen refund, such as the amount and the expected date of receipt

Send the completed Form 3911 to the IRS address where you normally file your paper tax returns. This address can be found in the form instructions or on the IRS website.

6. Analyze the BFS Response

After you’ve requested a refund trace from the IRS, the next steps depend on how you received your original refund—whether by direct deposit or paper check.

Direct Deposit Refunds

If your refund was directly deposited into your bank account, the BFS will send a letter to your financial institution. This letter usually arrives within six weeks. 

The purpose of the letter is to confirm where the deposit went. Your bank will need to provide this information to help resolve the issue.

Paper Check Refunds

If it’s determined that your stolen IRS refund check was cashed, the BFS will send you a claim package within six weeks. 

You’ll need to complete and return this package to the BFS so they can process your claim. 

If the BFS finds the check was washed or forged, they’ll issue a replacement check and inform the IRS of their findings.

Note: If the BFS denies your claim, they’ll send you a denial letter. This letter will include instructions on how to appeal the decision via Taxpayer Advocate Service. 

How Can Someone Steal My Tax Refund Check?

There are multiple techniques criminals use to steal an IRS tax refund check, including:

1. Phishing 
2. Data breach
3. Mail theft
4. Malware and spyware

Phishing

Phishing is a social engineering scam that involves criminals sending fake emails, text messages, or phone calls that seem to be from the IRS or other trusted sources. 

They try to trick you into giving out your personal information, such as your SSN, bank account details, or passwords. 

Once they have this information, they can file a tax return in your name and claim your refund. 

Data Breach

Data breaches happen when hackers break into a company’s database and steal personal information. They usually target:

• Banks
• Tax preparation sites 
• Credit bureaus

A successful data breach allows criminals to obtain sensitive details like your SSN, bank account information, and income data to file a fake tax return.

Mail Theft

Criminals target mailboxes to intercept your mail for valuable items such as tax refund checks, credit cards, and bank statements.

They can alter the name on stolen IRS refund checks and cash them at a bank or a check-cashing service. 

This kind of theft is hard to detect immediately since the check takes several weeks to arrive, and the thief may have already cashed it by the time you realize it’s missing.

Malware and Spyware

Cybercriminals use malicious software programs that can reach your device if you:

1. Click on a suspicious link
2. Download an infected file
3. Visit a compromised website

Once installed, malware and spyware monitor your online activity, capture keystrokes, and steal sensitive information.

When tax season arrives, criminals can use this information to file a fake tax return in your name and claim your refund. 

What Are the Signs I May Be a Victim of a Stolen Tax Refund Check Scam?

Signs that you had your IRS refund check stolen and cashed include:

• A letter from the IRS about a tax return you didn’t file
• The IRS claiming you worked for a company you’ve never heard of
• A tax document from the IRS that you didn’t ask for
• The IRS informing you someone opened an online account in your name
• The IRS stating you have a business ID number (EIN) that you never applied for
• Someone else having already filed a tax return using your SSN
• Your existing IRS online account having been accessed or blocked without you doing anything

If you notice any of these signs, immediately freeze your credit, report identity theft to the FTC, and contact the IRS to prevent any impending scam.

Since you’re now on the hackers’ radar, there’s a high chance they’ll try to steal your information again. To prevent this, consider moving all or some of your cash reserves to FortKnox by Austin Capital Bank, a banking platform solely focusing on fraud protection.