Overview

• The IRS and DHS have signed a memorandum of understanding enabling ICE to cross-check taxpayer data to verify the identities and addresses of undocumented immigrants with final deportation orders.
• This agreement, effective immediately, represents a major shift in longstanding IRS policies that have historically protected taxpayer confidentiality, including for undocumented immigrants filing taxes under ITINs.
• The Trump administration has emphasized the agreement as a cornerstone of its immigration enforcement agenda, aiming to expedite deportations and improve inter-agency cooperation.
• Privacy advocates, IRS officials, and immigrant rights groups have criticized the move, warning it could deter undocumented immigrants from filing taxes and undermine federal trust in the IRS.
• Legal challenges have already been filed by advocacy groups, arguing that the agreement violates taxpayer privacy laws, with further court hearings scheduled in the coming weeks.