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Press Releases

For Immediate Release:
July 29, 2010
 

Petri Bill Would Enlist IRS Against Identity Theft

 

It's called "identity theft" when someone pretends to be you in order to obtain credit and other benefits in your name.  Victims can spend years demonstrating they have been defrauded, getting free of debts they did not incur, and restoring their credit. 

One Princeton, Wisc., resident learned that he was a victim of the fraud as a result of a call from a debt collector.  He contacted the Internal Revenue Service to alert the agency that somebody was using his Social Security number illegally.

"To his surprise," Rep. Tom Petri explains, "he learned that the IRS already knew of the situation, had known for some time, and had chosen not to tell anybody.  The IRS explained that it is legally required to protect the privacy of the person committing the fraud."

"As the incidence of identity theft has risen, Congress has taken several steps to help Americans fight back and maintain the security of their personal information.  A majority in Congress have agreed that our government should help in the battle against identity theft," Petri said, adding, "Unfortunately, the IRS believes it cannot be part of this fight."

In response, on July 29, Petri introduced legislation to, as he said, "require the IRS to fight on the side of the good guys."  Joining him in introducing the bill is Rep. Melissa Bean (D-IL), who said, “Privacy laws are not intended to protect fraudsters or to enable illegal immigration. If the IRS has information about identify theft, it should share that information immediately with law enforcement and affected parties.”

The Petri-Bean bill - the Social Security Identity Defense (SSIDA) Act - would require the IRS to inform a taxpayer when his or her Social Security number has been used fraudulently to gain employment; provide that the IRS share this information with the FBI and allow the FBI to make facts available to state and local law enforcement agencies; and prevent the appearance of a fraudulently used Social Security number on a W-2 statement.

"The Federal Trade Commission estimates that as many as nine million Americans have their identities stolen each year," Petri said.  "We should ensure that our government does all it can to help identify theft victims.  This bill takes a big step in that direction."