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6h ago

Democrats Demand Palantir Explain Role in Proposed IRS Mega-Database

Democrats warn the initiative may violate the Privacy Act by enabling other agencies to inspect tax return data without authorization.

FILE Ñ Alex Karp, right, the chief executive of Palantir, speaks at a conference in Washington on April 30, 2025. Palantir is a data analysis and technology firm that has received more than $113 million in federal government spending since President Donald Trump took office in Jan.. (Caroline Gutman/The New York Times)
A view of the headquarters of Palantir, in Palo Alto, Calif., on Aug. 25, 2016. (Photo via Smith Collection/Gado/Getty Images).
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Overview

  • Ten Democratic lawmakers sent a June 17 letter to CEO Alex Karp seeking details on Palantir’s government contracts, the software it has sold to the IRS and Social Security Administration, and its compliance with federal privacy laws.
  • Senate Finance Committee Chairman Ron Wyden and Rep. Alexandria Ocasio-Cortez led the coalition in warning that a centralised IRS database built on Palantir’s Foundry platform could breach the Privacy Act and Internal Revenue Code.
  • Palantir responded on its X account that it is not constructing a master database or enabling mass surveillance and stressed its commitment to legal and ethical boundaries.
  • The Treasury Department’s and IRS Office of Inspector General are probing a Department of Government Efficiency hackathon that involved Palantir and produced a ‘mega API’ for agency payment systems.
  • Palantir has received over $113 million in federal funding under President Trump and its Foundry technology is deployed at DHS, HHS, FDA, CDC and NIH, intensifying scrutiny of its expanding federal footprint.