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IRS privacy protections look pretty darn good

June 17, 2007

Back in April, a convicted identity thief told a Congressional panel that the U.S. tax system was riddled with security holes.

But now comes a news item that makes the IRS look airtight when compared to Swedish tax record keeping.

"Swedes have unfettered access to almost all records that the state
keeps on the population,"
according to an Associated Press story published in today’s New York Times. "Only some 10,000 people who live under some
form of threat, are excluded from the public records."

Previously, nosy Swedes had to visit the local tax office to ask about their friends’ and neighbors’ finances. Then came Ratsit.se.

Ratsit_logo_2_2
Back in November, according to the AP, the Swedish Web site started publishing
financial details, free of charge, from the national tax authority. The
site’s 610,000 registered users, out of a total population of 9 million, have accounted for an average of 50,000 online credit checks a day.

Usually, credit check companies must notify individuals when their records are pulled. But with Ratsit access, notes the story, anonymous snoops could uncover financial information
simply by typing in a name and clicking ”search.”

That’s come to an end … sort of.

Sweden dearly values its transparency laws — its freedom of information act dates to 1766 — so Ratsit searches will continue. But now, snoops must pay.

Ratsit and similar sites still make personal income and debt information available, but starting last week that data costs $21 for 10 requests a week, and $3.60 for each additional request.

And anyone whose finances are viewed will now be notified by mail and told who asked.

”I do think our service is justified because things like wages should
be transparent,” Ratsit’s chief executive, Anders Johansson, told the AP. Employers use the service check whether potential hires are in debt, he said, and ”a lot of people use it to negotiate their pay.”

In additional to privacy concerns, the National Tax Board took action to stem fears that such online openness makes it much too easy for identity thieves.

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The More Tax Posts tab at the top of this page will take you to, well, more tax posts. You also can search below for a tax topic. 

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TO WRAP UP 2026

It’s over! With October’s extended filing deadline behind us, it is now time to focus on year-end moves to reduce your 2026 tax bill. 

You’ll find ways to do just that on the Tax Tips page (see the More Tax Posts drop-down menu at the top of the blog), as well as the separate tax tip pages for each month, notably October through December. If you’re on the Tax Tips page, you’ll find a monthly list at the end of this column. If you’re on another blog page, you can head straight to the October tips; at the bottom of that tips page you’ll find links to all the other 11 months’ collections of tax advice.

Not to spoil what you’ll find in that tax advice, but it does cover such things as tax deductions for charitable donations, investment moves that could reduce tax due, and ways to max out your tax-favored retirement savings. 

Finally, as the year winds down, things get hectic. There are lots of other things to occupy our time, like the much more fun upcoming holidays. But don’t lose sight of taxes, since timing is key. To be of use, most tax moves must be made by the end of the tax year. That’s Thursday, Dec. 31, which also is the last business day of the year. 

So that you don’t miss that final tax year deadline, also keep an eye on the countdown clock below. It will keep you on top of just how much time is left to make important, tax-saving moves. (Note: I’m in the Central Time Zone, so adjust accordingly for where you live.)

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