ProPublica, The IRS Is Building a Vast System to Share Millions of Taxpayers’ Data With ICE:
The Internal Revenue Service is building a computer program that would give deportation officers unprecedented access to confidential tax data.
ProPublica has obtained a blueprint of the system, which would create an “on demand” process allowing Immigration and Customs Enforcement to obtain the home addresses of people it’s seeking to deport.
Last month, in a previously undisclosed dispute, the acting general counsel at the IRS, Andrew De Mello, refused to turn over the addresses of 7.3 million taxpayers sought by ICE. In an email obtained by ProPublica, De Mello said he had identified multiple legal “deficiencies” in the agency’s request.
Two days later, on June 27, De Mello was forced out of his job, people familiar with the dispute said. The addresses have not yet been released to ICE. De Mello did not respond to requests for comment, and the administration did not address questions sent by ProPublica about his departure.
The Department of Government Efficiency began pushing the IRS to provide taxpayer data to immigration agents soon after President Donald Trump took office. The tax agency’s acting general counsel refused and was replaced by De Mello, who Trump administration officials viewed as more willing to carry out the president’s agenda. Soon after, the Department of Homeland Security, ICE’s parent agency, and the IRS negotiated a “memorandum of understanding” that included specific legal guardrails to safeguard taxpayers’ private information.
In his email, De Mello said ICE’s request for millions of records did not meet those requirements, which include having a written assurance that each taxpayer whose address is being sought was under active criminal investigation.
“There’s just no way ICE has 7 million real criminal investigations, that’s a fantasy,” said a former senior IRS official who had been advising the agency on this issue. The demands from the DHS were “unprecedented,” the official added, saying the agency was pressing the IRS to do what amounted to “a big data dump.”
In the past, when law enforcement sought IRS data to support its investigations, agencies would give the IRS the full legal name of the target, an address on file and an explanation of why the information was relevant to a criminal inquiry. Such requests rarely involved more than a dozen people at a time, former IRS officials said.
Danny Werfel, IRS commissioner during the Biden administration, said the privacy laws allowing federal investigators to obtain taxpayer data have never “been read to open the door to the sharing of thousands, tens of thousands, or hundreds of thousands of tax records for a broad-based enforcement initiative.”
A spokesperson for the White House said the planned use of IRS data was legal and a means of fulfilling Trump’s campaign pledge to carry out mass deportations of “illegal criminal aliens.” …
The system that the IRS is now creating would give ICE automated access to home addresses en masse, limiting the ability of IRS officials to consider the legality of transfers. IRS insiders who reviewed a copy of the blueprint said it could result in immigration agents raiding wrong or outdated addresses.
“If this program is implemented in its current form, it’s extremely likely that incorrect addresses will be given to DHS and individuals will be wrongly targeted,” said an IRS engineer who examined the blueprints and who, like other officials, spoke on condition of anonymity for fear of retribution.
The dispute that ended in De Mello’s ouster was the culmination of months of pressure on the IRS to turn over massive amounts of data in ways that would redefine the relationship between the agency and law enforcement and reduce taxpayers’ privacy, records and interviews show.
In one meeting in late March between senior IRS and DHS officials, a top ICE official made a suggestion: Why doesn’t Homeland Security simply provide the name and state of its targets and have the IRS return the addresses of everyone who matches that criteria?
The IRS lawyers were stunned. They feared they could face criminal liability if they handed over the addresses of individuals who were not under a criminal investigation. The conversation and news of deeper collaboration with ICE so disturbed career staff that it led to a series of departures in late March and early April across the IRS’ legal, IT and privacy offices.
They were “pushing the boundaries of the law,” one official said. “Everyone at IRS felt the same way.”
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