Menu Help & How To Video Simulation Game Document & Resources Training Link Tag Search clock thumbs-up angle-up arrow-up

IRS Penalties for Unauthorized Inspection and Disclosure of FTI

Unauthorized access or disclosure of federal tax information (FTI) could subject you to criminal penalties and taxpayers may seek civil damages.

CRIMINAL PENALTIES:

Unauthorized Inspection of FTI can result in a fine of up to $1000 plus court cost and/or imprisonment for up to 1 year. (26 U.S.C. § 7213A)

Unauthorized Disclosure of FTI can result in a fine of up to $5000 plus court cost and/or imprisonment for up to 5 years. (26 U.S.C. § 7213)

CIVIL PENALTIES:

Unauthorized inspection or disclosure can result in $1000 for each disclosure or actual damages (whichever is greater) plus court cost. (26 U.S.C. § 7431)

The requirement to safeguard the confidentiality of FTI does not terminate at the end of employment with CSS.