Can the IRS share your Tax information with ICE?
For immigrants without a Social Security number, applying for an Individual Taxpayer Identification Number (ITIN) can raise an uncomfortable question: Could the information provided to the IRS eventually be used by ICE?
That concern has become one reason some people hesitate to obtain an ITIN or file a tax return. But having information on file with the IRS does not mean ICE automatically has access to it.
There are significant restrictions on the disclosure of taxpayer information, and one of the most important distinctions is the reason the government wants that information in the first place. Ordinary deportation proceedings are civil matters. Criminal investigations are different, and that difference can determine what information may be available and how it can be obtained.
Does filing Taxes give ICE access to your information?
Filing a tax return or obtaining an ITIN does not open the door for ICE to freely search through IRS records.
The IRS is restricted in what taxpayer information it can disclose to other government agencies. That matters because most deportation enforcement is civil rather than criminal. In other words, the government cannot simply treat IRS records as a database for locating people for ordinary deportation purposes.
The situation becomes more complicated, however, when there is an actual criminal investigation.
Criminal investigations can change the picture
Homeland Security Investigations can investigate criminal activity, including matters involving trafficking or certain serious cases involving employers who repeatedly hire unauthorized workers.
In that setting, investigators may be able to request limited information concerning a particular person. Even then, however, there is a difference between confirming information investigators already possess and turning over everything contained in a taxpayer's file.
Imagine, for example, that investigators already have an address and want to know whether it matches the address in IRS records. The IRS may be able to confirm whether the two addresses match.
If they do not match, that does not mean the IRS can simply hand over the correct address.
That distinction illustrates how limited access can work: confirming a specific piece of information is different from disclosing new personal information.
What if investigators want more information?
The restrictions become even more important when investigators want to go further.
Information about where a person lives, where they work, how much they earn, or their children is not simply available upon request. Obtaining more extensive information may require a court order from a judge overseeing the criminal investigation.
For someone deciding whether to obtain an ITIN, this distinction is important. Providing information to the IRS does not mean that every detail on a tax return automatically becomes available to immigration enforcement.
But there is another side to the decision that can be easy to overlook.
Avoiding taxes can create a different immigration concern
Someone worried about ICE may think the safest approach is simply to avoid obtaining an ITIN and stay outside the tax system.
That decision can create its own problems.
Tax compliance can matter when good moral character becomes relevant in an immigration case. Paying taxes that are legally required can support evidence of good moral character, while failing to meet tax obligations may be viewed negatively.
That creates a difficult tradeoff for someone considering whether to file.
The question is not simply, “Could the government know where I am if I file taxes?” It is also, “What could happen later if I was required to file taxes and chose not to?”
For many immigrants hoping to obtain an immigration benefit in the future, both questions matter.
So, should someone be afraid to get an ITIN?
Fear of ICE alone does not tell the whole story.
IRS information is not freely available for ordinary deportation enforcement. There are restrictions on what can be shared, and criminal investigations involve different rules from civil immigration proceedings.
At the same time, avoiding tax obligations can have consequences of its own.
That is why the decision should be based on the person's actual tax and immigration circumstances rather than on the assumption that getting an ITIN automatically gives ICE access to everything reported to the IRS.
The bottom line
An ITIN is a tax identification number, and applying for one does not automatically give ICE unrestricted access to IRS records.
There are significant limits on the disclosure of taxpayer information. Limited exceptions can arise in criminal investigations, and access to more extensive personal information may require judicial authorization.
For immigrants concerned about both tax compliance and immigration status, avoiding the tax system out of fear can therefore create a different set of problems.
Questions about ITINs, Taxes, or Immigration?
The Law Office of Louis S. Haskell assists clients with tax and immigration matters, including Individual Taxpayer Identification Numbers.
If you are unsure whether to obtain an ITIN, file taxes, or how your tax situation could affect an immigration matter, contact the office to schedule a consultation. Call or text (978) 459-8359
This article is for informational purposes only and does not constitute legal or tax advice.
TL;DR
Traveling with a travel document may still create immigration problems.
Prior unlawful presence may trigger a 3-year or 10-year bar.
Having a travel document does not automatically mean it is safe to travel.
Attorney Haskell generally recommends waiting for your green card before traveling, when possible.
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¿Puedes viajar mientras tu ajuste de estatus está pendiente? Conoce por qué la presencia ilegal y tu historial migratorio pueden afectar tu regreso a Estados Unidos.