Doug Francis | Realtor

  • About Doug
  • Services
  • Sell Your Home
  • Case Studies
  • Get Started

Mortgage Tip | Stolen Identity Tax Refund Fraud

November 7, 2015 By Doug Francis

Form 4506-T Stolen Identity Tax Refund FraudLast June a buyer client called me in a total panic…

“Doug, Bank of America just called demanding written copies of our tax returns from the IRS!”

“Okay, did they say why?” I asked.

“No, and I have been on hold with the IRS for three hours already. It had to do with fake tax returns that someone submitted last year to scam our refund.”

This conversation took place only a few days before the scheduled closing on a home in Vienna. My clients were totally upset, confused, and exasperated by this last minute crisis, especially since they had been told two weeks earlier that everything was “good-to-go” by their loan officer.


If you are planning to get a mortgage to buy a home, and you have received a letter from the IRS that someone had submitted a tax return in your name to get a refund, then you need to do some extra work that your loan officer may not know about.

The main issue on any loan is getting final “Underwriter Approval” so that your loan can close.

The problem is that most mortgages really aren’t reviewed by The Underwriter until a few days before closing.

And, the problem with the stolen identity tax refund fraud is that you will need to show The Underwriter written copies of your tax returns furnished by the IRS. And, you will need to submit Form 4506-T to the IRS.

Here’s the real complication: The old Internet system of ordering your past 1040’s was disabled after the IRS discovered that the Internet page was NOT SECURE and anyone could hack the database. When you submit Form 4506-T, getting them back from the IRS may take three weeks.

Yikes!

My tip is to get on this issue quickly so you won’t cause a delay in closing your home sale.


How to request returns from the IRS

  • To get written copies of your tax returns, you will need to submit Form 4506-T to the IRS.
  • My sources tell me to expect it to take three weeks to get the written transcripts to the lender.

Stolen Identity Tax Refund Fraud

In 2015, three clients told me that the were victims of this fraud.

One is a Surgeon, one is an Attorney, and one is a Judge.

The IRS has been notifying suspected victims in writing by mail.

Here are some excellent resources to help you understand what you can do:

  • United States Department of Justice
  • IRS
  • Security Intelligence
  • TurboTax
  • New York Times
  • The Washington Post

If you are planning to buy a home and get a mortgage, and you know you have been a victim of this scam, then I highly recommend that you inform your Loan Officer so that Form 4506-T can be correctly ordered immediately. Remember, it takes three weeks.

DISCLOSURE: I am a real estate agent and not a CPA. This isn’t tax advice so consult with your tax advisor.

Share this with a friend...Share on FacebookTweet about this on TwitterShare on LinkedInPin on PinterestEmail this to someone

Filed Under: Blog, Home Buyer Tips Tagged With: Home Buyer Tips, mortgage

About Doug Francis

A Realtor specializing in unique and new homes around Vienna, Virginia, Doug started writing a first-hand blog about his everyday real estate experiences a decade ago. In-depth, helpful and fun has always been the objective. Outside real estate, he was profiled in a commercial for Verisign's "Where the World Clicks" global ad campaign, and was quoted in Money Magazine's Best Places to Live article on Vienna (#3!). He's a Boston University graduate who feels morning coffee is non-negotiable.

Vienna real estate agent Doug Francis

Everyone has a different reason for moving. Helping people focus and put a life plan together isn’t what most people think of when they hear “Realtor”.

Where you are in life today will be our starting point, from first home, marriage, kids, cross-country relocation, retirement, divorce, to estates. Yes, I’ve helped people navigate happy and difficult times.

All conversations are confidential, and helping my clients achieve their unique goals is my mission.

My background… I’ve been an active licensed agent in Virginia for 25 years, work at TTR Sotheby’s International Realty in McLean, and sell homes in all price ranges. I donate to the Town of Vienna tree replacement fund, participate in a neighborhood citizens association, and try my best to stay in shape.

Let me help you: Email doug@dougfrancis.com or call me at (703) 304-6827 to discuss your plans. Cheers!

Filmed in Vienna and McLean

https://youtu.be/ClqEIV1zoQg

Planning to sell your home?

Case Studies

Listing Case Studies Continue Reading

Thinking of Moving?

If you want to talk about your house and getting it ready for the market then let's set up a time to talk. Even if it's a second opinion, it's okay. Start here.
  • This field is for validation purposes and should be left unchanged.

Have a question?

Homeowners: Add a level of privacy

name withheld by request

Privacy: Remove your name

Looking for testimonials?

Read through a collection of client comments originally posted on Zillow, Google and Trulia. See what my clients say...

Looking for a Custom Home?

Insights into New Homes in Vienna VA

Real Estate Offers | What’s In and What’s Out

Changes in Latitudes Attitudes This story may sound slightly made up, but the 2022 real estate market across Northern Virginia was full of fast-paced drama which is still kind of hard to picture. The brakes weren’t just tapped… they were slammed! Or to create a picture for you, we went from a wild Category 5 […]

“Doug nailed it! Within days, we had three offers, one of which not only met, but far exceeded all of our goals.”
– R. Pollard

“He truly was a partner integrating us unto the community and made it easy for us to take advantage of all Vienna has to offer.”
– A. D’Eredita

“We are so thankful we found Doug to guide us through the complex home selling and buying processes!”
– Scott and Jennie

About Doug Francis

I am a Realtor with TTR Sotheby's International Realty® just outside Washington D.C. in Northern Virginia. I have been a full-time Realtor licensed in Virginia since 1991, and cover a big territory specializing in the Vienna real estate market and custom homes for sale.

I have unique knowledge of digital real estate marketing, and my marketing starts here. My clients have been attracted to my results-oriented strategy for years, and I am accepting new clients for 2023 right now.

Thanks for reading, and feel free to contact me at 703-304-6827 or email me at doug@dougfrancis.com anytime!

Search for a subject

Contact

Doug: (703) 304-6827

TTR Sotheby's International Realty
6723 Whittier Avenue McLean, VA 22101

Office: 703-319-3344
Why do people hire me?

Search for homes in Vienna

Vienna Real Estate Guide

Doug Francis Vienna Real Estate 2021
This material can only be used with written permission.

Equal Housing Opportunity

 

Copyright © 2023 Doug Francis · Minimum Pro Theme on Genesis Framework · WordPress · Log in