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internal revenue service
Sharing of IRS Data With DHS for Trump's Mass Deportations Has Gone as Horribly as Expected
"Sharing this private taxpayer data creates chaos, and as we’ve seen this past year, if federal agents use this private information to track down individuals, it can endanger lives.”
Feb 11, 2026
Privacy officials at the Internal Revenue Service were sidelined in discussions last year about the Department of Homeland Security's demand for taxpayer data about people the Trump administration believed were not authorized to be in the US, and a court filing by the IRS Wednesday may have illustrated some of the officials' worst fears about the plan.
According to a sworn declaration by Dottie Romo, the chief risk and control officer at the IRS, the agency improperly shared private taxpayer data on thousands of people with immigration enforcement officers.
The data was shared, the Washington Post reported, even in cases in which DHS officials could not provide data needed to positively identify a specific individual.
Two federal courts have preliminarily found that the IRS and DHS acted unlawfully when they moved forward with the plan to share taxpayer addresses and have blocked the agencies from continuing the arrangement. A third case filed by Public Citizen Litigation Group, Alan Morrison, and Raise the Floor Alliance is on appeal in the DC Circuit.
But before the agreement was enjoined by the courts, DHS requested the addresses of 1.2 million people from the IRS, and the tax agency sent data on 47,000 people in response.
Thousands of people's confidential data was erroneously included in the release, sources who were familiar with the matter told the Post.
Despite Romo's sworm statement saying an error had been made by the agencies, a DHS spokesperson continued to defend the data sharing agreement, telling the Post that “the government is finally doing what it should have all along.”
“Information sharing across agencies is essential to identify who is in our country, including violent criminals, determine what public safety and terror threats may exist so we can neutralize them, scrub these individuals from voter rolls, and identify what public benefits these aliens are using at taxpayer expense,” the spokesperson told the newspaper. “With the IRS information specifically, DHS plans to focus on enforcing long-neglected criminal laws that apply to illegal aliens."
Records have shown that a large majority of people who have been arrested by US Immigration and Customs Enforcement and other federal agents since President Donald Trump began his mass deportation and detention campaign have not had criminal records, despite the administration's persistent claims that officers are arresting "the worst of the worst" violent criminals.
Undocumented immigrants are also statistically less likely than citizens to commit crimes, and have not been found to attempt to participate in US elections illegally.
When DHS initially asked for taxpayer data last year, IRS employees denounced the request as "Nixonian" and warned that a data sharing arrangement would be illegal. Providing taxpayer information to third parties is punishable by civil and criminal penalties, and an IRS contractor, Charles Littlejohn, was sentenced to five years in prison after pleading guilty in 2023 to leaking the tax returns of Trump and other wealthy people.
Trump has sued the IRS for $10 billion in damages due to the leak.
Romo on Wednesday did not state whether the IRS would inform individuals whose confidential data was sent to immigration officials; they could be entitled to financial compensation.
Dean Baker, senior economist at the Center for Economic and Policy Research, noted that judging from Trump's lawsuit against the IRS, "thousands of trillions of dollars" should be paid to those affected by the data breach.
Lisa Gilbert, co-president of Public Citizen, said the "breach of confidential information was part of the reason we filed our lawsuit in the first place."
"Sharing this private taxpayer data creates chaos," she said, "and as we’ve seen this past year, if federal agents use this private information to track down individuals, it can endanger lives.”
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Ex-Officials, Watchdogs Rip Trump Effort to 'Bully' IRS Into Giving Him $10 Billion in Taxpayer Dollars
"Our government should be accountable to the people, not the whims of a power-hungry executive," said one Common Cause campaigner.
Feb 05, 2026
Less than a week after a court filing revealed that President Donald Trump is suing his own Treasury Department and Internal Revenue Service for $10 billion over the leak of his tax returns during his first term, former federal officials and watchdog groups on Thursday called out his attempt to abuse "powerful tools for holding government accountable."
The legal group Democracy Forward filed a friend-of-the-court brief on behalf of Common Cause, the Project On Government Oversight, ex-IRS Commissioner John Koskinen, former National Taxpayer Advocate Nina Olson, and Kathryn Keneally and Gilbert Rothenberg, who both held leadership roles in the US Department of Justice's Tax Division.
"This case is extraordinary because the president controls both sides of the litigation, which raises the prospect of collusive litigation tactics," states the amicus brief. "Collusive litigation threatens the integrity of the judicial process by risking the court's entanglement in an illegitimate proceeding. And although the complaint has significant defects—it was filed too late, against the wrong party, and for an unsupported and excessive sum of damages—the conflicts of interest make it uncertain whether the Department of Justice will zealously defend the public fisc in the same way that it has against other plaintiffs claiming damages for related events."
"To maintain the integrity of the judicial process in the face of these highly irregular circumstances, the court should consider exercising its inherent judicial authority to proactively manage this case from the outset," argued the former officials and groups, known as amici. Specifically, they said:
- First, the court should consider issuing an order for the parties: to show cause why this court has jurisdiction over this case, to explain how they will address the fundamental conflict-of-interest problems with this case, to show why this case should not be stayed until after President Trump leaves office, and to show why the unjustified $10 billion damage figure should not be stricken from the pleadings;
- Second, the court should consider appointing amici who have expertise on issues of tax law and separation-of-powers issues to present fulsome legal arguments on all future issues that arise in this case; and
- Third, the court should consider allowing participation of those amici in hearings.
"To treat this case like business as usual," the coalition declared, "would threaten the integrity of the justice system and the important taxpayer and privacy protections at the heart of this case."
In a statement about the new filing in the Southern District of Florida, Abigail Bellows, Common Cause's senior policy director for anti-corruption and accountability, stressed that "we are watching a president attempt to bully the IRS into giving him billions of our taxpayer dollars."
"Our government should be accountable to the people, not the whims of a power-hungry executive," Bellows said. "We urge the court to take steps to promote judicial integrity and protect the public interest."
President Trump has made $4 billion since his second inauguration. And now, he's suing the Treasury Department and IRS for $10 billion more in "damages."So we're filing a brief urging the court to reject President Trump’s scheme and protect taxpayers.
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— Democracy Forward (@democracyforward.org) February 5, 2026 at 5:37 PM
In addition to representing the amici in this case, Democracy Forward has launched various other lawsuits against Trump and his administration, which have faced sweeping allegations of corruption since the president returned to power a year ago.
According to an analysis published by the New York Times editorial board last month, on the one-year anniversary of his second inauguration, Trump and his family enriched themselves to the tune of at least $1.4 billion during the first year of his second term—largely through investment in cryptocurrencies, though he's also secured settlements from tech and media companies.
Various other members of the second Trump administration have also been accused of corruption and conflicts of interest, and as the Times separately revealed in December, many rich and powerful contributors to Trump's post-election fundraising haul have received corporate-friendly regulatory changes, dropped enforcement cases, government contracts, and even pardons.
"The president's corruption continues, this time in an attempt to take $10 billion dollars of the taxpayers' money, which threatens to make a mockery out of our justice system," said Democracy Forward president and CEO Skye Perryman. "Not only does the president's baseless case have significant legal defects, but there are colossal conflicts of interest at play."
"We thank these experts for raising these serious concerns about how President Trump is seeking to further illegally line his own pockets at the public’s expense and our brief urges the court to exercise its power to ensure the matter is not one-sided."
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'Disgusting Act of Corruption': Trump Sues IRS, Treasury for $10 Billion Over Tax Return Leak
"While Trump is weaponizing taxpayer privacy laws for his own benefit, his Treasury Department is flouting those exact same laws to send tens of thousands of individual tax records to his anti-immigrant henchmen at ICE."
Jan 30, 2026
President Donald Trump has sued the US Treasury Department and Internal Revenue Service for $10 billion over the leak of his tax returns during his first term in the White House, when the president broke with decades of tradition by refusing to voluntarily divulge the records.
The lawsuit—joined by Trump's two eldest sons and his family business, the Trump Organization—was revealed Thursday in a filing with the Miami division of the US District Court for the Southern District of Florida. The suit alleges that the IRS and Treasury Department "caused Plaintiffs reputational and financial harm, public embarrassment, unfairly tarnished their business reputations, portrayed them in a false light, and negatively affected President Donald Trump and the other Plaintiffs' public standing."
Charles Littlejohn, a former IRS contractor who was employed by Booz Allen Hamilton, pleaded guilty in late 2023 to one count of unauthorized disclosure of tax return information and was later sentenced to up to five years in prison.
The US Treasury Department, led by Scott Bessent, announced earlier this week that it was canceling all of its contracts with Booz Allen Hamilton, accusing the company of failing to "implement adequate safeguards to protect sensitive data, including the confidential taxpayer information it had access to through its contracts with the Internal Revenue Service."
The leak included the tax records of Trump and other mega-rich Americans, including Amazon founder Jeff Bezos and Tesla CEO Elon Musk. The New York Times, which obtained the records along with ProPublica, reported in 2018 that the returns showed Trump engaged in "outright fraud" and other "dubious" schemes to avoid taxation.
Trump, according to the Times investigation, "paid $750 in federal income taxes in 2016, the year he was elected president, and... he had not paid any income taxes in 10 of the previous 15 years."
US Sen. Ron Wyden (D-Ore.), the top Democrat on the Senate Finance Committee, said in response to the president's lawsuit that “Donald Trump is a cheat and a grifter to his core, and for him to abuse his office in an attempt to steal $10 billion from the American taxpayer is a shameless, disgusting act of corruption."
"While Trump is weaponizing taxpayer privacy laws for his own benefit, his Treasury Department is flouting those exact same laws to send tens of thousands of individual tax records to his anti-immigrant henchmen at ICE," Wyden continued. "It is the height of hypocrisy for Trump to pretend he cares one bit about taxpayer privacy."
Journalist Tim O'Brien, who has covered Trump for decades, called the lawsuit "a flagrant and obvious conflict of interest."
"Trump oversees the IRS. He wants the IRS to pay him a big chunk of change," O'Brien wrote on social media. "He is, and always has been, in it for the money."
The lawsuit isn't the first time Trump has sought a large sum of taxpayer money from a federal agency during his second term in office. Last year, Trump demanded via an administrative claims process that the US Justice Department pay him roughly $230 million in compensation for federal investigations he has faced.
Trump launched his attempt to wring $10 billion in taxpayer money out of the Treasury Department and IRS as he and his allies worked to gut the tax agency, leaving it with inadequate staff and resources to audit wealthy individuals and large corporations. The IRS is currently headed by Frank Bisignano, who was named "chief executive officer" of the agency late last year.
In a letter to Bessent and Bisignano earlier this week, Wyden and a group of fellow Senate Democrats warned that "the administration’s plans for the IRS"—including painful budget cuts—"will shift the burden of audits more heavily onto working Americans while giving rich scofflaws and big businesses a green light to cheat on their taxes."
"The administration has failed to detail any serious plan to avoid that unfair outcome," the senators warned.
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