IRS forced to abandon facial-recognition plans due to backlash

The Internal Revenue Service announced on Monday that it is ditching its plans to partner with a third-party agency to use facial recognition services to verify new accounts.

The decision has been considered to be a victory for privacy advocates, and it comes as tax season gears up in the U.S. The IRS said in a statement that the change should not affect attempts by taxpayers to file their tax returns or complete they payment of their taxes.

Though the agency had planned on using the facial recognition technology developed by the company ID.me to cut down on fraudulent new accounts, privacy advocates said that facial recognition technology is frequently flawed and can easily be biased against minorities. They added that it presents a security concern when a third-party group is in charge of sensitive data. 

“The IRS takes taxpayer privacy and security seriously, and we understand the concerns that have been raised,” said IRS Commissioner Charles Rettig, said in a statement. “Everyone should feel comfortable with how their personal information is secured, and we are quickly pursuing short-term options that do not involve facial recognition.”

The agency continued in the statement, “During the transition, the IRS will quickly develop and bring online an additional authentication process that does not involve facial recognition. The IRS will also continue to work with its cross-government partners to develop authentication methods that protect taxpayer data and ensure broad access to online tools.”

Democratic Oregon Sen. Ron Wyden, who publicly requested on Monday that the IRS cut their relationship with ID.me, said the move was a “smart decision.”

He said in a statement, “I appreciate that the administration recognizes that privacy and security are not mutually exclusive and no one should be forced to submit to facial recognition to access critical government services.”

It remains unclear how the IRS plans to streamline taxpayer authentication without using ID.me.