Taxpayer advocates and unions suing to halt IRS information sharing with the Homeland Security Department are accusing the government of omitting details it filed in response to a court order.
The groups, led by the Center for Taxpayer Rights, filed an objection to the administrative record the IRS provided to the court last week, which showed the agency’s response to the DHS’s requests for information from 1.3 million taxpayers. The groups say the disclosures violate privacy laws.
In a notice filed Monday with the US District Court for the District of Columbia, the groups said the IRS’s disclosure didn’t include two important records: a communication from the then-acting IRS chief counsel concerning some deficiencies in an Immigration and Customs Enforcement information request, and an information technology memorandum on delivery of results in response to ICE’s mass data request that was being completed little more than a week before the IRS responded to ICE.
Both are “highly relevant” to the suit, they said.
Judge
Counsel for both sides discussed the communications and the IRS said the omitted information about the ICE request’s deficiencies was “not processible,” the taxpayer groups’ notice said. Meanwhile, the IT delivery of results “concerned the authority for the transfer of data to ICE, and it was relevant to communications to senior IRS leadership about that transfer.”
“Defendants confirmed the existence of this memo and did not claim that it is privileged,” the notice said.
The groups’ lawsuit disputes the Department of Government Efficiency’s access to sensitive tax data, which they say violates the Tax Reform Act, the Privacy Act, and the Administrative Procedure Act.
Earlier this year, Kollar-Kotelly ordered production of the administrative record while the court considers the plaintiffs’ preliminary injunction request.
Democracy Forward Foundation represents the plaintiffs.
The Washington-Baltimore News Guild, which is affiliated with the Communications Workers of America—one of the plaintiffs—represents employees of Bloomberg Law.
The case is Ctr. for Taxpayer Rights v. Internal Revenue Serv., D.D.C., No. 1:25-cv-00457, notice filed 11/3/25.
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