Hi, my parents' federal tax return was rejected with the code IND-517-02, but I haven't filed my return yet. How could it happen?

[user17730827235]

My SS# is accurate on their returns as well. What can we do to fix this?

[CatinaT1]

Can you explain your situation in more detail? If your parents return was rejected saying you (their dependent) already filed, you could be a victim of identity theft.

[user17730827235]

Hi, thanks for the response. Since posting the questions, I've also tried to efile my return and got rejected as well, with the code IND-452 (The IRS has already accepted a tax return filed with your Social Security number for this year), so unfortunately it does seem that someone else has filed the return using my SS# and we'll have to file everything by mail.

However, due this issue, I'm not able to file electronically for NY state tax return, even though in the turbotax printout it states that "New York State requires this income tax return to be filed electronically" -- my efile has been rejected due to the IRS rejection. How can we efile NY state tax return in this case?

Thank you!

[CatinaT1]

Here is how you can handle this. 

You need to print and mail your federal return. Include IRS Form 14039 (Identity Theft Affidavit) to the front of your printed tax return. Also attach a copy of your government-issued ID (driver’s license or passport). You might want to mail your return using Certified Mail with Return Receipt so you have proof the IRS received your paper return.

For your New York return, you can try this work around:

• Go to the File section 
• Change your Federal filing method to "File by Mail".
• Once TurboTax thinks the federal return is "done" (even though you're mailing it), it may unblock the state e-file option.
• This doesn't always work, but see if you can transmit the NY return electronically. 

If that does not work, you will need to paper-file your NY return as well. Include a copy of your Federal 1040 with your New York return. You should also fill out Form DTF-275 (Identity Theft Declaration) for New York State and mail or fax it to their Identity Verification Unit to protect your state refund.

Identity theft cases take much longer to process. It can take 120 to 180 days (or more) for the IRS to clear the fraudulent return and process your real one. Once the IRS resolves your case, they will likely issue you a 6-digit IP PIN for next year. This PIN will be required to e-file in 2027 and will prevent anyone else from using your SSN again. You will get an updated IP Pin every year and need it to file your return every year.