- Allstate Id Safety survey finds almost two-thirds (64%) of People are involved scammers will steal their private data to file a tax return and pocket the refund.
- Allstate Id Safety ensures members’ tax refunds are protected against fraud.
NORTHBROOK, Unwell., March 20, 2025 – As tax season begins, new findings from Allstate Id Safety reveal rising considerations about identification theft – but many filers could also be overlooking protections that may safeguard their private data and refunds.
A brand new survey from Allstate Id Safety finds that 64% of People fear scammers will steal their private data, like their Social Safety quantity, to file a tax return and pocket their refund.[1]
The rise in tax-related identification theft is actual, with 40% of Allstate Id Safety’s identification restoration circumstances reported throughout tax season alone.[2]
“Tax season is prime time for identification theft, with refunds on the road which can be typically value 1000’s,” stated Caroline Slane, senior vice chairman of enterprise operations at Allstate Id Safety. “We assist individuals take management earlier than fraud occurs and get their life again on monitor when it does.”
An neglected profit that protects your tax refund
Many individuals flip to identification monitoring companies, however doable neglected advantages in a plan can provide one other robust security internet. In truth, two-thirds (66%) of People say they’d pay for a service like Allstate Id Safety that ensures their tax refund is protected against fraud with options that:
- Advance impacted members’ refunds, so that they don’t wait years to get their a reimbursement.
- Reimburse members’ identification theft-related prices as much as $1 million, together with authorized charges and misplaced wages.
New this 12 months: Allstate now affords an identification restoration plan with a devoted specialist to assist members get better stolen identities, restore credit score and safe accounts. Plans begin at simply $3/month.
How unhealthy is it? People say they’d quite…
With victims ready almost two years to get better stolen tax refunds, People say they’d quite take care of main monetary setbacks than fall sufferer to fraud:
- Lose their pockets with all of their bank cards (59%).
- Have their telephone hacked (58%).
- See their credit score rating drop 100 factors in a single day (58%).
- Lose their job unexpectedly (54%).
- Have their checking account drained (52%).
A rising concern, however few are taking motion
One in 5 People (20%) say they’re extra fearful about tax-related identification theft this 12 months, and 44% say their concern is simply as excessive as earlier years. People’ identification theft fears are primarily pushed by:
- Information about rising tax fraud (43%).
- IRS delays and staffing shortages (42%).
- Rise in AI-powered fraud (42%).
Regardless of these considerations, one in three People (33%) admit they’ve finished nothing to guard themselves from tax-related identification theft.
The way to forestall falling sufferer to tax fraud
Fraud isn’t only a tax-time difficulty—authorities and tax fraud rank amongst Allstate Id Safety’s high three identification theft circumstances for years.[3] Different frequent scams, like fraudulent bank card and mortgage functions, additionally price People thousands and thousands yearly.
“One of the best ways to remain protected is to file early, use an IRS Id Safety PIN and keep alert. Taking proactive steps now can safeguard your private data and guarantee your tax refund stays in the proper palms,” Slane stated.
When you suspect that you’re a sufferer of tax-related identification theft, it’s necessary to take motion instantly. When you be taught that somebody has filed taxes utilizing your identification, right here’s what to do subsequent:
- Bodily mail your paper return to the IRS.
- Full and ship an Id Theft Affidavit letting the IRS know you’re a tax identification theft sufferer, and that your paper return is the legitimate one.
For extra tips about defending private data this tax season, go to AllstateIdentityProtection.com.
About Allstate
The Allstate Company (NYSE: ALL) protects individuals from life’s uncertainties with a circle of safety together with automobiles, properties, digital gadgets, advantages and identification theft. Merchandise can be found by a broad distribution community together with Allstate brokers, impartial brokers, main retailers, on-line, and on the office. Allstate is legendary for the slogan You’re in Good Palms with Allstate®.
Methodology
[1] Survey carried out between Feb. 27-28, 2025 on behalf of Allstate Id Safety by Morning Seek the advice of, amongst a nationwide pattern of two,209 adults. The interviews have been carried out on-line, and the information was weighted to approximate a goal pattern of adults based mostly on age, academic attainment, gender, race, and area. Outcomes from the total survey have a margin of error of +/- 2%.
[2] Allstate Id Safety restoration circumstances reported Jan.-April, 2024.
[3] Primarily based on variety of Allstate Id Safety restoration circumstances Jan., 2022-Dec., 2024.
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