Due to increased frequency of identity theft and fraud with both state and federal taxes, the Internal Revenue Service and Colorado Department of Revenue have implemented new processes to protect taxpayers and to increase diligence within the department. This year, we have had several clients receive letters requesting additional information and documentation from the CDOR to validate individual income tax returns.
If you receive a letter with “Request for Additional Information to Process a Refund” from the Department printed on State of Colorado official letterhead with the following address: 1375 Sherman Street, Denver, CO 80261, consider it an official document.
The letter, which requests multiple documents including prior year W-2(s), 1099(s), military LES, K-1(s), copies of identifying documents, etc., is simply a verification process that the CDOR is implementing to help prevent fraudulent income tax returns. Compliance with their request will only speed up the refund process and help to keep your identity safe.
In some cases, refunds are also being converted from direct deposit to paper check to maintain security and confidential information. If you receive a paper check and have not yet filed your individual income tax return, do not cash the check. It is important to report the information to the CDOR Fraud Hotline by calling 303-205-8338. Please also note that the IRS and the CDOR will not initiate contact with individuals through electronic communication (i.e. email, txt, or social media) to request any personal or financial data.
If you have questions or need assistance with a difficult tax-related issue, BiggsKofford is here to help. Call us at 719-579-9090 or send us an email to firstname.lastname@example.org.