DOGE access to Social Security, IRS data could create privacy and security risks, experts say | The Record from Recorded Future News

Concerns about DOGE’s activities at the IRS are being amplified by the lack of transparency about what exactly is being accessed and why, especially since the executive order creating DOGE indicated the group would be attempting to modernize IT and software at federal agencies, which does not comport with its demands to access personal tax return data. The Department of Government Efficiency (DOGE) may already have access to sensitive tax and medical data stored at the IRS and Social Security Administration (SSA), which jointly retain disability diagnoses, child adoption information, exceptionally detailed financial data and individuals’ immigration status, experts say. “The problem with DOGE’s current access is that there is no transparency about why they need this information, what they intend to do with it and whether they can assure the American taxpayer that their private tax data will be kept confidential, said Scott Michel, a tax lawyer at Caplin and Drysdale. Charles Rettig — who Trump appointed as IRS commissioner in his first administration — told Recorded Future News that while he did not have access to IRDS data as commissioner, more than 1,000 employees and outside contractors did in order to perform their jobs. The lack of transparency into DOGE’s activities is made worse by the possibility that Musk could access the tax records of business competitors as well as information on potential IRS investigations of his and his competitors’ companies, according to the lawsuit, which was brought by unions and taxpayer advocacy organizations. “This is extremely significant — the grand total of data that DOGE is accessing represents the ability to target individuals, target governmental employees and shut down programs that people depend on,” said Cody Venzke, senior policy counsel at the ACLU. While the Internal Revenue Code, a provision within the Tax Reform Act, allows government employees and contractors to access IRS data to do their jobs, there are harsh penalties for improper use and public disclosures of that data. DOGE is seeking access to that repository, the Integrated Data Retrieval System (IDRS), Miller told Fox News. A lawsuit filed against the IRS and DOGE on Monday seeks a restraining order to stop the Elon Musk-led team from accessing IRS data and to force them to delete data they have already obtained. The data could easily be leaked in a breach, experts and civil liberties advocates say, and public perceptions that tax return information is no longer private could lead to fewer people filing taxes. On Sunday, SSA Acting Commissioner Michelle King left her position after refusing to provide DOGE access to data repositories at the agency. Tax data housed at the IRS includes details about charitable donations and dependents; whether an individual’s tax return has or is being investigated; businesses’ profit and loss statements and payroll; and individuals’ incomes, assets and liabilities, according to the lawsuit. “Even IRS commissioners do not typically have access to all taxpayer data systems,” the lawsuit says. “Based on numerous online comments, it seems most individuals have little to no privacy concern about DOGE having visual access to the IRS IDRS systems and are more concerned about situations involving waste and improper payments by the federal government,” he said. Commissioners may not access the data, but many IRS employees routinely work with it, a former IRS commissioner said. “No other business owner on the planet has access to this kind of information on his competitors, and for good reason,” the lawsuit says. Tax data is uniquely protected under a federal law implemented after President Richard Nixon attempted to misuse tax information to punish enemies during the Watergate era. There is also a possibility that the data will be weaponized against perceived political enemies, advocates say, pointing to public comments from the Trump administration. SSA stores data showing specific health diagnoses, incarceration history and citizenship status for about 70 million people, experts say. The lawsuit filed Monday cites tax experts saying it is “highly unusual and perhaps unprecedented” for political appointees to obtain access to the IDRS. The population the center assists is frightened by DOGE’s activities, does not want to be outed as undocumented or low income and in some cases will likely no longer file tax returns as a result of what’s happening, the lawsuit says.

This Cyber News was published on therecord.media. Publication date: Thu, 20 Feb 2025 15:25:06 +0000


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