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IRS wins court battle over sharing data with ICE

A federal appeals court has ruled that the IRS can continue sharing taxpayer data with U.S. Immigration and Customs Enforcement (ICE), rejecting a request from the immigrant rights group Centro de Trabajadores Unidos. The court found that the nonprofit’s claims were unlikely to succeed, as the shared information is not protected by IRS privacy laws. Judge Harry T. Edwards said: “the nonprofit groups are unlikely to succeed on the merits of their claim.” Attorney General Pam Bondi hailed the decision as a “crucial victory” for the administration. The data-sharing agreement, signed by Treasury Secretary Scott Bessent and Homeland Security Secretary Kristi Noem, has faced criticism, leading to the resignation of the IRS acting commissioner last year. Recent filings revealed that the IRS mistakenly shared information of thousands with the Department of Homeland Security.