Go to Kentucky.gov home page
Kentucky Department of Revenue Kentucky Department of Revenue Kentucky Department of Revenue Kentucky Department of Revenue

Special Investigations

Frequently Asked Questions

Here are some frequently asked questions about Special Investigations.

General Questions

Do you have a number for the IRS?

You may contact the IRS at the following numbers:
For general tax assistance: 1-800-829-1040
Concerning a bill or assessment: 1-800-829-8815
To check the status of a refund: 1-800-829-4477
To call the IRS Fraud Hotline: 1-800-829-0433
To Report Identity Theft: 1-800-908-4490


Do you offer rewards for information given?

No, we do not offer any reward for information provided to us, however in certain instances the Internal Revenue Service does offer a reward for information that leads to a criminal conviction. Contact the IRS Fraud program.


Are you the IRS?

No. The IRS is the Federal Agency responsible for the enforcement of the Federal tax laws as prescribed by Congress. We are the Kentucky Department of Revenue, the agency responsible for the enforcement of the Commonwealth of Kentucky’s tax laws as prescribed by the Kentucky General Assembly.


Do you make arrests?

Our agents are not commissioned peace officers; therefore we do not have the authority to make arrests.

Do you investigate businesses for not withholding taxes from employees' salaries?

We perform a cursory review of all information that is submitted to us to determine if a criminal, rather than a civil, investigation is warranted. In many cases in which employers are not properly withholding taxes from their employees' salaries, we refer the matter to our civil audit staff, the Labor Cabinet and to the Internal Revenue Service for their consideration. Often at times it is a matter of making the employer aware of what his withholding responsibilities are, rather than an intentional violation of our tax law. However, in cases where an employer is withholding from his employees' salaries, but not remitting those withholdings to the Department of Revenue, we will strongly consider conducting a criminal investigation of the employer. Violations of this type can be considered theft by failure to make required disposition of property, which is a felony in Kentucky.

How will I know if you have investigated my complaint?

Because of the provisions contained in our confidentiality laws, we are not allowed to divulge any information regarding our investigations to our
informants or anyone else not authorized to receive the information. We can assure you, however, that we will review the information you provide and proceed with whatever action is warranted, either by pursuing a criminal investigation into the matter or by referring it to one of our civil divisions for consideration and possible audit.

When can I call you back to see how the investigation is going?

We appreciate the information that is provided to us by our outside informants. However, due to the restrictions contained in our confidentiality laws, we will not be able to divulge any information to you regarding the status of our investigation.

Can you find out who used my child's Social Security Number?

At this time, the Kentucky Department of Revenue does not request or catalog the Social Security Number of a dependent, so we do not have that information at our disposal. In addition, we would not be able to divulge that information to you due to the restrictions contained in our confidentiality laws. The IRS, however, does catalog and crosscheck the Social Security numbers of dependents claimed on Federal tax returns, so we recommend that you contact them if you suspect that someone is illegally claiming your child as their dependent. The IRS number to call is 1-800-829-1040. If you suspect that someone claimed your child illegally in order to obtain money provided through the Earned Income Credit provision on his or her Federal return, you should contact the IRS Fraud Hotline at 1-800-829-0433.

What do you do about someone who has falsely claimed someone else as a dependent on an income tax return?

Since the Kentucky Individual Income Tax Return is based on ("piggybacks") the Federal tax return, we usually forward any reports concerning questionable claiming of dependents to the Internal Revenue Service for their consideration. Based on a formal exchange agreement between the IRS and the Kentucky Department of Revenue, the IRS, after conducting any return examinations necessary, will provide us with a copy of its audit report(s). This will then enable us to make the corresponding adjustments to the state income tax returns that are affected.

Who do I talk to about someone who hasn't filed taxes in several years?

You can contact us, the Division of Special Investigations, Kentucky Department of Revenue. An online reporting site can be found at:  http://revenue.ky.gov/inv/rtf.htm

You may also contact us via telephone at (502) 564-7118 or via postal mail at Division of Special Investigations, Kentucky Department of Revenue, 501 High Street, Station 18, Frankfort, KY 40601. We also recommend that you contact the IRS Fraud Hotline at 1-800-829-1040.

Do you read people their constitutional rights?

Reading someone their constitutional rights, normally referred to as providing the Miranda warning, is generally not required unless the subject of a criminal
investigation is being arrested or taken into custody by a law enforcement officer. Because our interviews of the subject of a criminal investigation are done in a non-custodial setting, we are not required to read the subject his or her constitutional rights. However, in an effort to protect the individual's Fifth Amendment rights, as well as to safeguard the admissibility of any information we obtain during the interview for use in a later court proceeding, we will generally make the subject aware that he is free to leave the interview at any time, is not required to provide us with any information if he feels that it might incriminate him, and that he has the right to consult with his attorney before proceeding, if he chooses.


How long will it take to do an investigation?

Our investigations consume varying amounts of time, depending on such factors as availability of resources within the Department, as well as the availability of information being gathered from sources outside of the Department of Revenue. Within the constraints of these many varying factors, we always strive to conclude our investigations as efficiently and expeditiously as possible.


Do you take reports concerning identity theft?

Because identity theft is a crime that has implications far beyond taxation, we suggest that you first visit the Federal Trade Commission website (http://www.consumer.ftc.gov/features/feature-0014-identity-theft) to learn all the steps you need to take to undo the damage the thief has done. Only if you believe the thief has filed a Kentucky Individual Income Tax Return under your name and Social Security Number, take the following steps: Report the theft to your local police department. Draft a statement saying why you believe the return is fraudulent (for instance, if you have never lived or worked in Kentucky). Send your police report, your statement, and a copy of your driver’s license to Kentucky Department of Revenue, Division of Special Investigations, Station 18, 501 High Street, Frankfort, KY, 40601.

Where can I report that a business defrauded me?

While businesses that operate fraudulently may also not be paying their taxes, various types of consumer fraud are not cases the Department of Revenue would investigate civilly or criminally. If you wish to report that a business has overcharged you, took money for services it did not provide, is holding itself out to be a charity when it is not, etc., we recommend that you contact the Attorney General’s Office’s Office of Consumer Protection at 1-888-432-9257.

 

Last Updated 4/1/2014
Contact Us | Taxpayer Bill of Rights
Privacy | Security | Disclaimer | Accessibility Statement