Taxpayers often must provide IRS tax forms to lenders, colleges and other third parties for nontax purposes. To better protect taxpayer data, the IRS has announced a new format for online individual tax transcripts that will redact personally identifiable information from the Form 1040 series. The changes will begin on Sept. 23. Financial entries will remain visible, which will give taxpayers and third parties the data they need for tax preparation or income verification. A customer file number will be created instead of using a taxpayer’s Social Security number.
