The IRS thief stole and disclosed the files of at least 405,427 taxpayers, but was only charged with one count of theft. The IRS systems are still vulnerable to similar tricks, as revealed by a 2024 security audit. The thief worked for IRS contractor Booz Allen and sought the job with the intention of stealing private files. The stolen data includes tax returns, stock trades, and medical expense deductions of famous and everyday Americans. Despite being the source, the IRS took over 800 days to admit it. The IRS has been criticized for sloppy security practices.
Key Points
IRS thief stole and disclosed files of 405,427 taxpayers
IRS systems are still vulnerable to similar tricks
Thief worked for IRS contractor Booz Allen
Stolen data includes tax returns, stock trades, and medical expense deductions
IRS took over 800 days to admit it was the source of the theft
Pros
Oversight and investigations led by Congressman Jim Jordan revealed the extent of the theft
IRS stopped the practice of 'unannounced surprise visits' to taxpayers' homes
Cons
IRS systems are still vulnerable to data theft
The thief was only charged with one count of theft despite stealing files of over 400,000 taxpayers
IRS took over 800 days to admit it was the source of the stolen files