A group of US senators have raised alarms over reports that the Department of Homeland Security (DHS) and the Department of Government Efficiency (DOGE) are seeking unprecedented access to sensitive taxpayer data from the Internal Revenue Service (IRS).
Senators Alex Padilla, Catherine Cortez Masto and Ron Wyden have released a joint statement: “This weekend, it became clear that the Trump Administration is finalizing plans to target and penalize people who are following federal law and contributing to our economy. This agreement between the IRS and DHS — if finalized — will have long-lasting and devastating implications on our economy, taxpayer privacy, immigrant communities, and the rule of law.”
They have called upon the Trump Administration to make their plans public. The IRS and DHS must disclose the extent of this agreement and brief Congress immediately, they stated.
Earlier, they, along with more than a dozen senators, had written to high-ranking officials in the DHS and IRS demanding transparency regarding any ongoing or planned data-sharing agreements.
The senators pointed out that providing DHS with taxpayer addresses, phone numbers, and email addresses—particularly of undocumented immigrants using Individual Taxpayer Identification Numbers (ITINs)—could lead to the weaponization of the tax system against vulnerable communities. The lawmakers also condemned reports that DHS and DOGE officials sought to cross-reference IRS data with federal benefits databases, calling such efforts a blatant violation of Section 6103 of the Internal Revenue Code, which strictly protects taxpayer confidentiality.
“Taxpayer data is subject to some of the strongest privacy protections under federal law. These safeguards were put in place after President Nixon used the IRS to target political enemies,” the letter stated. “If taxpayers believe their private financial information could be used against them, they will be less likely to comply with tax laws.”
The letter also referenced concerns about the recent abrupt removal of William Paul as Acting IRS Chief Counsel. News reports suggest Paul was reassigned due to his resistance to breaking privacy laws.
Lastly, the senators stated that granting DHS and DOGE access to taxpayer information could not only erode trust in the IRS but also negatively impact tax enforcement. They noted that IRS auditors are already stretched thin, and diverting them to investigate small businesses suspected of employing undocumented workers would take resources away from pursuing large-scale tax fraud and corporate evasion.