A proposed bill in the Senate would require that the IRS notify taxpayers if they have reason to believe that they were the victim of identity theft. The bill, called the Social Security Identity Defense Act of 2015, is sponsored by Senators Ron Johnson (R-Wis.), Mark Warner (D-Va.) and Kelly Ayotte (R-N.H.). Basically, the bill would require the IRS to notify an individual if the agency has reason to believe the individual’s Social Security number has been fraudulently used. It also requires that the IRS notify law enforcement and that the Social Security Administration notify employers who submit fraudulently used Social Security numbers. Finally, it adds civil penalties and extends jail time for those who fraudulently use an individual’s Social Security number.

Sen. Johnson, who initiated the proposal, said “the IRS and Social Security Administration are in unique positions to detect and prevent identity theft through the fraudulent use of Social Security numbers. However, the IRS has a history of remaining silent when this fraud is apparent in tax filings."