Most people I talk to about their IRS problem have already built the worst-case scenario in their head. The reality is usually much more manageable. I'm Darrin Mish, and I've been representing taxpayers before the IRS for 32 years. Here's what actually tends to happen.
With the increase of identity theft, the IRS has taken steps to verify the identities of taxpayers when there is suspicion of fraud. Suppose a tax return is submitted to the IRS under your name and Social Security number that looks suspicious to the IRS. The IRS will then send you Letter 5071C Request for Identity Verification to get you to identify yourself. Click here to read or watch more IRS Help resources.
The way to verify your identity with the IRS is to visit the identity verification page at the IRS website at www.idverify.irs.gov. At this website, you will be asked a series of questions to ascertain your identity that only the real taxpayer with your Social Security number would be able to answer. So you should only visit www.idverify.irs.gov if you receive Letter 5071C.
Read more about how to verify your identity with the IRS.