Tax records could soon play a role in identifying illegal immigrants who have been ordered to leave the U.S., as the IRS and ICE move closer to a limited agreement allowing address confirmations using taxpayer information.
Many illegal immigrants submit tax returns using an IRS-issued identification number. These forms include key personal information such as where the person lives, their job and how much they earn. Until now, that data has been off-limits to immigration enforcement. A potential new policy may change that.
The Internal Revenue Service (IRS) raked in a record $4.9 trillion in taxes from Americans in the last fiscal year, per the Treasury Inspector General for Tax Administration.
— unusual_whales (@unusual_whales) January 8, 2024
The agreement being discussed would not provide ICE with full access to IRS databases. Instead, if DHS already has a suspected address for someone with a final removal order, the IRS would confirm whether that location appears in the individual’s tax file. Requests could only be made by Homeland Security Secretary Kristi Noem or Acting ICE Director Todd Lyons.
🚨🇺🇸 IRS NEARING DEAL TO SHARE TAX DATA WITH ICE FOR IMMIGRATION ENFORCEMENT
The IRS is close to finalizing a data-sharing agreement with U.S. Immigration and Customs Enforcement (ICE), allowing immigration agents access to confidential taxpayer records to aid Trump’s… https://t.co/IUo23cMDvv pic.twitter.com/9siwDZeUNX
— Mario Nawfal (@MarioNawfal) March 23, 2025
The IRS has been under pressure to cooperate with immigration enforcement before. Previous attempts under the Trump administration were blocked by officials who cited laws protecting taxpayer privacy. That opposition began to shift when Acting Commissioner Doug O’Donnell refused a large request from DHS, then retired the following day. His replacement, Melanie Krause, is reportedly more supportive of the administration’s enforcement goals.
The draft agreement also specifies that the IRS would only verify information for individuals already under criminal investigation for violating immigration law, according to documents reviewed by The Washington Post.
IRS officials who have worked under past administrations have expressed concern that this would undermine long-standing promises that tax filings would not be used for enforcement. They say it could weaken cooperation from illegal immigrants who were previously encouraged to file tax returns.
The agency’s top attorney was also replaced after pushing back against previous requests to share taxpayer data. The leadership change cleared the path for renewed talks on the deal.
The Department of Homeland Security has also redirected internal resources to focus more heavily on tracking down individuals with outstanding deportation orders.
