The Internal Revenue Service (IRS) may be entering into an agreement with federal immigration authorities that would allow them access to IRS data to verify the names and addresses of individuals suspected of being in the U.S. illegally. This move is in line with President Donald Trump’s policy agenda, which includes a focus on deporting immigrants without legal status, particularly those with criminal records. Concerns have been raised that nonviolent migrants could be affected by increased enforcement operations by Immigration and Customs Enforcement (ICE).
Under the proposed agreement, ICE would submit names and addresses of suspected undocumented immigrants to the IRS for verification. Typically, personal tax information, including name and address, is confidential and protected by the IRS. Unauthorized disclosure of tax data can lead to civil and criminal penalties. The IRS has encouraged undocumented immigrants to file taxes, which requires them to share information such as addresses, employers, and earnings. Immigrants contributed about $96.7 billion in taxes in 2022, according to the Institute on Taxation and Economic Policy.
Earlier this year, the Department of Homeland Security reportedly requested extensive information on suspected undocumented immigrants from the IRS, including the home addresses of hundreds of thousands of individuals who paid federal taxes using individual taxpayer identification numbers. Requests for information need to be submitted by top DHS officials and must include the taxpayers’ names, addresses, and dates of removal orders to allow the IRS to verify the information. There are ongoing discussions about information sharing between the IRS and Homeland Security, according to Justice Department lawyer Andrew Weisberg.
Democratic lawmakers have criticized the Trump administration for potentially sharing taxpayer data with ICE to target immigrants. They have expressed concerns about the impact on the economy, taxpayer privacy, immigrant communities, and the rule of law. Democrats are calling for transparency and immediate briefings for Congress on the extent of the agreement between the IRS and DHS. U.S. Representative Jimmy Gomez has stated that using taxpayer data to target immigrants may violate federal privacy laws and erode trust in the tax system. He emphasizes the importance of protecting confidential tax records.
If the agreement between the IRS and federal immigration authorities is finalized, it could represent a significant shift in how federal agencies collaborate to enforce immigration laws. The agreement would provide ICE with a broader dataset to identify and track undocumented immigrants who have complied with tax regulations. The potential impact of this partnership on immigrant communities, taxpayer privacy, and the economy remains a concern for many lawmakers and advocates. The future of this agreement and its implications for immigration enforcement in the U.S. will be closely monitored.
