The IRS has revealed that its Data Retrieval Tool, used on fafsa.giv and studentloans.gov, has been hacked and details may have been used to file fraudulent tax returns. There’s no exact number yet, however estimates show this could affect up to 100,000 who have used the tool recently.
The IRS is sending letters to those who have been affected and 35,000 people have been contacted to date.
However, this is not the IRS’ only cybersecurity issue. It has been revealed that there are flaws with its Identity Protection Personal Identification Number (IP PIN) Program – which the IRS watchdog recommended be shut down after a security breach in May 2015.
IRS Failed to Deactivate IP PIN Program After Data Breach – Accounting Web
Data breach of IRS student financial aid tool may have affected 100,000 taxpayers– Accounting Today
FAFSA Data Breach Exposes up to 100,000 People to Tax Fraud– Student Loan Hero