Released: April 04, 2006

States oppose IRS plan to loosen privacy

Source: ConsumerAffairs.com

Attorneys General from 46 states and Washington D.C have filed formal objections to proposed Internal Revenue Service (IRS) rules that would increase taxpayers’ exposure to identity theft by making it easier for businesses to share and use personal information included on tax returns.

“In the guise of increasing taxpayers’ control over their return information, the IRS wants to move in exactly the opposite direction,” said California Attorney General Bill Lockyer. “This proposal is more than misguided. It’s dangerous. By eroding the security of private information, the regulations would increase consumers’ exposure to identity theft and invasive, unlawful marketing practices.”

The objections were bipartisan, with Lockyer, a Democrat, and Washington Attorney General Rob McKenna, a Republican, the co-sponsors. 

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