MOUNT VERNON – Joanne Snow was baffled when she received a 1099 tax form from the Ohio Department of Jobs and Family Services (ODJFS) for $374 in unemployment benefits she had allegedly received in 2020.
Snow is retired.
“I ignored it,” she said. “Then my husband got one as well for close to $1,000.” He had also never received unemployment benefits.
Then Snow, a retired school teacher, went to lunch with six friends.
“One friend said she got one too and she hasn’t worked either,” Snow said. “She said, ‘I think you get taxed on that.’”
Out of seven friends at the lunch, more than half had received the 1099s for unemployment benefits they never applied for or received.
That group is not alone. ODJFS has received at least 80,000 similar complaints, agency spokesman Tom Betti told the Mount Vernon News.
“Unfortunately, it sounds like they might be victims of identity theft,” Betti said of the Snows. “We need your help to get the word out to your readers. If they did not apply for unemployment last year and received a 1099 from ODJFS, they are a victim of identity theft and need to follow the three steps on our website.”
The best way to begin the process is to go to unemployment.ohio.gov, click on the red button that says “Report Identity Theft,” and then click “ID Theft: What To Do – Individuals.”
“Unfortunately, identity theft is a widespread national challenge,” a message on the website states.” Many Ohioans have become victims, and their identities used to file fraudulent unemployment claims in both the traditional unemployment and Pandemic Unemployment Assistance programs.”
You can also call a hotline at (833) 658-0394 from 8 a.m. to 5 p.m. Monday through Friday.
“Calls outside those hours may be answered by other agents in the contact center,” the website message said.
The first step is to report the alleged identify theft, which can be completed online.
“The agency will process the reports, conduct investigations and, if necessary, issue corrections to the Internal Revenue Service (IRS) on 1099s issued to victims,” the ODJFS said.
One question Snow has about the apparent theft is, “Where did they send the money?” Neither she nor her husband received the benefits on the 1099s.
The U.S. Internal Revenue Service noted that unemployment benefits are taxable.
“However, scammers also took advantage of the pandemic by filing fraudulent claims for unemployment compensation using stolen personal information of individuals who had not filed claims,” the IRS said. “Payments made as a result of these fraudulent claims went to the identity thieves, and the individuals whose names and personal information were taken did not receive any of the payments.”
Victims should contact their state agencies to obtain a “corrected Form 1099-G showing zero unemployment benefits,” the IRS advised.
Snow and her husband went to the website and took the steps recommended.
“We hope we are OK,” she said. “I guess we’ll find out later if we’re not.”
