If you fail IRS identity verification, your tax return processing will stop, and your refund will be delayed, potentially being marked as fraudulent. You may be required to schedule an in-person appointment at a Taxpayer Assistance Center with photo identification and tax documents.
The return will be rejected and investigated as identity theft/tax fraud if: verification fails to confirm your identity or that you filed the return. if the verification process is not completed, or can't be completed.
The identity verification process from the IRS can be triggered on a random basis, or it could be due to suspicion that a tax return with your name on it is potentially the result of identity theft.
Your refund
It may take up to 9 weeks to process your return after you verify it.
Overview. Letters 5071C, Potential Identity Theft During Original Processing with Online Option, is mailed to taxpayers to notify them that the IRS received an income tax return using your name, Social Security number (SSN) or individual taxpayer identification number (ITIN).
The IRS may send these identify fraud letters to taxpayers:
Letter 5071C, Potential Identity Theft with Online Option: This tells the taxpayer to use an online tool to verify their identity and tax return information. If the taxpayer didn't file, they can let the IRS know with the online tool.
Once we verify your identity and confirm you submitted the tax return, we'll continue processing your return. It may take up to 9 weeks to process.
The IRS does sometimes send letters requesting identity verification. If your return triggered certain fraud filters, they might pause processing until they confirm you are the actual, real person who filed. This doesn't mean you did anything wrong. In fact, it's a protective measure.
Accessing IRS tools
To verify their identity with ID.me, taxpayers need to provide a photo of an identity document such as a driver's license, state ID or passport.
Code 570 is temporary, not a denial. Most people receive their full refund without needing to contact the IRS. Once the review is complete, your refund will be released, unless the IRS identifies an error that requires adjustment.
Request an expedited refund by calling the IRS at 800-829-1040 (TTY/TDD 800-829-4059). Request a manual refund expedited to you.
If you've seen Code 571, your next question is likely: “When will I get my refund?” Most taxpayers receive their refund within 1–2 weeks after Code 571.
Self–Service: The fastest method to verify; usually takes 5-10 minutes. For step-by-step instructions, visit Verifying your identity with ID.me Self-Service. Video call: You will upload your document, then join a quick video call.
If you can't verify online
Call us at the phone number on your notice. The number is for identity and tax return verification only. Other tax information, such as refund status, is not available.
If the IRS decides that your return merits a second glance, you'll be issued a CP05 Notice 1 . This notice lets you know that your return is being reviewed to verify any or all of the following: Your income. Your tax withholding.
The IRS doesn't have a strict maximum time limit for issuing refunds, but generally processes e-filed returns with direct deposit within 21 days, while paper returns take 6 weeks or more, with longer waits for those claiming certain credits (EITC/ACTC) or if errors occur. If the IRS holds your refund for more than 45 days past the tax deadline (or filing date if late), they owe you interest, but significant delays (months) can happen for complex issues or extra reviews, sometimes requiring a mailed notice.
To avoid the 22% tax bracket (or any higher bracket), focus on reducing your taxable income through strategies like maxing out 401(k)s and HSAs, deferring bonuses, tax-loss harvesting, smart charitable giving, and strategic asset location, understanding that higher rates only apply to income within that bracket, not your entire income.
Who must file. Generally, any person in a trade or business who receives more than $10,000 in cash in a single transaction or in related transactions must file a Form 8300. By law, a "person" is an individual, company, corporation, partnership, association, trust or estate.
Use Where's My Refund, call us at 800-829-1954 (toll-free) and use the automated system, or speak with a representative by calling 800-829-1040 (see telephone assistance for hours of operation). If you filed a married filing jointly return, you can't initiate a trace using the automated systems.
The CP05 notice doesn't say this in plain language, so people often don't know what is going on. They just know that the IRS said it would be 60 days, but usually, it has been much longer with no answer from the IRS about what the problem is or why the IRS isn't giving the person their refund.