The Internal Revenue Service (IRS) finalized a memorandum of understanding (MOU) with Immigration and Customs Enforcement (ICE) on April 7, 2025 to share sensitive taxpayer information to aid in deportation efforts. This unprecedented agreement represents a drastic shift away from the IRS’s longstanding commitment to taxpayer privacy. Taxpayer information is strictly confidential, with IRS privacy laws only permitting information-sharing with law enforcement authorities in very specific and narrow circumstances to help in certain criminal investigations. Acting IRS Commissioner Melanie Krause, who was appointed by President Trump earlier in 2025,resigned in protest over the signed agreement. Other top IRS officials, including chief privacy officer Kathleen Walters and chief privacy officer Teresa Hunter, also resigned over concerns the MOU likely violates taxpayer privacy law.
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