The Alabama Department of Revenue has flagged 16,000 income tax returns after officials discovered attempts to file fraudulent returns, according to a statement on Thursday. The fraudulent filings reportedly originated from data compromised through third-party tax preparation procedures and were noticed through fraud detection systems. State Revenue Commissioner Julie Magee said state systems have not been compromised and officials will notify individual taxpayers if inconsistencies are identified.
Alabama taxpayers who electronically filed state income tax returns before 2014 through third-party vendors are potentially affected, according to the statement. 16,000 returns that were suspected of fraud from the third-party commercial tax preparation software have been flagged. Department of Revenue officials will send identification verification questionnaires to individual taxpayers if inconsistencies are identified. Magee said taxpayers who have concerns about their security of their personal information should contact that provider.