The US federal tax collection agency is reportedly preparing to give a team of Elon Musk's Department of Government Efficiency (DOGE) access to personal taxpayer data. 

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This comes after DOGE requested access to the Internal Revenue Service (IRS), the US tax office's system. 

The system contains sensitive information, including detailed financial information about every taxpayer, business, and nonprofit in the US, The Washington Post reported. 

The request is currently under review, and if allowed, it would give DOGE officials "broad access to tax-agency systems, property and datasets, including tax returns”.

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Among them is the Integrated Data Retrieval System, or IDRS, which enables tax agency employees to access IRS accounts—including personal identification numbers—and bank information."

Also read: Elon Musk-led DOGE cancels $21 million intended for 'voter turnout in India', BJP responds

Later, a Trump administration official defended the move, saying that DOGE staff are working on a mission to "eliminate waste, fraud, and abuse, and improve government performance to better serve the people”.

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This latest move by Elon's DOGE has triggered concern within the government and among privacy experts. They warned that granting access to Musk could be dangerously risky, ABC News reported. 

Also read: What is DOGE Clock? Understanding the real-time tracker for government spending cuts

"People who share their most sensitive information with the federal government do so under the understanding that not only will it be used legally, but also handled securely and in ways that minimize risks like identity theft and personal invasion, which this reporting brings into serious question," Elizabeth Laird, a former state privacy officer now with the Center for Democracy and Technology, said. 

White House spokesperson Harrison Fields defended the request, saying, "Waste, fraud, and abuse have been deeply entrenched in our broken system for far too long. It takes direct access to the system to identify and fix it."

Also read: US agencies Trump, Musk and DOGE have been trying to dismantle and downsize. Here's the full list

(With inputs from agencies)